Flight simulator maker CAE beats Q2 revenue estimates, helped by civil and defense businesses

Cae

11/11/2025 21:26

Overview

CAE fiscal Q2 2026 revenue grows 9% yr/yr, beating analyst expectations

Adjusted EPS for fiscal Q2 2026 beats consensus, reflecting operational efficiency

Company announced organizational changes as part of transformation plan

Outlook

Company revises Civil outlook for fiscal 2026, maintains Defense outlook

Company expects FY Civil adjusted segment operating income to be in line with prior year

Company expects FY capital expenditures to be approximately 10% lower than fiscal 2025

Result Drivers

CIVIL AVIATION DEMAND - Strong structural demand and record aircraft backlogs drive Civil segment growth

DEFENSE INVESTMENTS - Generational defense investments in key markets support Defense segment growth

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
C$1.24 bln
C$1.14 bln (8 Analysts)
Q2 Adjusted EPS
Beat
C$0.23
C$0.20 (10 Analysts)
Q2 EPS
C$0.23
Q2 Adjusted Operating Income
C$155.3 mln
Q2 Operating Income
C$155.3 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the aerospace & defense peer group is "buy"

Wall Street's median 12-month price target for CAE Inc is C$44.00, about 13.4% above its November 10 closing price of C$38.11

The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nCNWS8y0xa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)