AAR Corp.
| Company type | Public |
|---|---|
| Industry | Aviation maintenance services |
| Founded | 1951 |
| Founder | Ira Allen Eichner |
| Headquarters | Wood Dale, Illinois , United States |
Area served | Worldwide |
Key people | John Holmes (CEO) |
| Products | New and pre-owned aircraft components, aircraft maintenance services |
Number of employees | 6,000 (2024) |
| Website | www |
AAR Corp. is a U.S.-based provider of aviation maintenance services catering to both commercial and governmental sectors worldwide. The company is headquartered in Wood Dale, Illinois and employs roughly 6,000 individuals across nearly 30 nations. John Holmes holds the position of CEO.
Between 2017 and 2020, AAR notably escalated its lobbying efforts, resulting in the acquisition of 10 federal contracts valued at a combined $1.35 billion. In 2024, the firm resolved a $55 million legal matter concerning bribery accusations involving officials from Nepal and South Africa.
Specializing in both new and pre-owned aircraft components, AAR ranks among the top global distributors of used parts. By 2024, its annual revenues approached $2.5 billion. Key maintenance hubs are located in Indianapolis, Miami, Oklahoma City, Rockford (Illinois), Trois-Rivières (Quebec), and Windsor (Ontario).
History
The company was established in 1951 by Ira Allen Eichner with the initial focus on supplying radios and equipment to the commercial aviation industry. It was officially incorporated as I.A. Allen Industrial in 1955, rebranded to Allen Aircraft Radio (AAR) in 1962, and adopted its current name in 1970. Aircraft maintenance services commenced in Oklahoma City in 1969. Its international footprint expanded into Europe by 1965 and Singapore by 1982.
In 1979, Aircraft Turbine Center, Inc. was founded following the addition of David P. Storch—Eichner’s son-in-law and future CEO—to the team.
David P. Storch served as CEO from 1996 until his retirement in 2018, when John M. Holmes succeeded him.
Lobbying
During the Trump presidency, AAR increased its lobbying budget fourfold, with substantial expenditures at properties owned by Trump aimed at influencing decision-makers. From the time of Trump’s inauguration through October 2020, AAR secured ten federal contracts totaling $1.35 billion.
In December 2024, AAR consented to pay more than $55 million to settle U.S. allegations tied to bribery involving officials from Nepal and South Africa, concluding investigations conducted by the Department of Justice and the Securities and Exchange Commission.
Financial trends
Annual financial summary (in millions USD except per share figures):
| Fiscal Year Ending May 31 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 |
|---|---|---|---|---|---|---|---|---|
| Operational results | ||||||||
| Net sales | 1,990.5 | 1,820.0 | 1,652.3 | 2,072.0 | 2,057.8 | 1,748.3 | 1,590.8 | 1,525.4 |
| Operating income | 133.9 | 106.9 | 85.2 | 41.3 | 98.3 | 86.0 | 82.3 | 75.5 |
| Diluted earnings per share from continuing operations | 2.55 | 2.19 | 1.31 | 0.71 | 2.40 | 2.11 | 1.51 | 1.30 |
| Balance sheet data | ||||||||
| Working capital | 746.4 | 600.2 | 1,055.6 | 595.5 | 609.4 | 553.4 | 540.3 | |
| Total assets | 1,097.9 | 1,007.2 | 1,539.7 | 2,079.0 | 1,517.2 | 1,524.7 | 1,504.1 | 1,456.0 |
| Total debt | 382.5 | 191.2 | 135.2 | 602.0 | 142.9 | 178.9 | 156.2 | 145.3 |
| Stockholders' equity | 1,099.1 | 1,034.5 | 974.4 | 902.6 | 905.9 | 914.2 | 865.8 | 865.8 |
See also
External links
- Companies traded on the New York Stock Exchange
- Aircraft engineering firms
- Aerospace corporations in the United States
- American enterprises founded in 1951
- Transportation companies founded in 1951
- Businesses headquartered in DuPage County, Illinois
- U.S. defense contractors
- Establishments from 1951 in Illinois
- Companies of the United States by year of establishment
- American companies established in 1951