StandardAero

StandardAero, Inc. is a large independent company that repairs and overhauls aircraft engines. It is based in Scottsdale, Arizona, and its shares have traded on the NYSE since its IPO in October 2024. It has two segments. Engine Services overhauls whole engines for airlines, lessors, business jet owners and the military, on engines such as the CFM56, the LEAP and the Pratt & Whitney PT6A.

Component Repair Services repairs engine parts, and it has higher margins. StandardAero needs licenses from the engine makers for much of its work, and it makes money from the labor, parts and materials of each shop visit. For 2026, it expects revenue of $6,525 million to $6,645 million and adjusted EBITDA of $905 million to $920 million. Funds of The Carlyle Group still own a large part of the shares.

The market prices StandardAero for the risk that its growth slows when its customers have less money. The stock fell by more than a quarter from early August to mid-October 2026, while oil prices stayed high. Investors fear that high jet fuel costs make airlines fly less and delay engine overhauls, although management said on August 6, 2026 that airlines still pass the cost on in ticket prices. The leaders also change.

Paul McElhinney replaced Russell Ford as CEO on October 1, 2026, and the COO left her role on September 28, 2026. Net debt was 2.7 times adjusted EBITDA at September 30, 2026, and StandardAero plans a $350 million accelerated share buyback, which slows debt reduction. Carlyle can also sell more shares. In Q3 2026, commercial aerospace revenue grew only 1.3%, partly because StandardAero removed low-margin pass-through revenue, but the adjusted EBITDA margin stayed at 14.4% and StandardAero raised its 2026 guidance again.

For the gap to close, four things must be true. Commercial aerospace revenue must keep growing, after the effect of the removed pass-through revenue, in line with the full-year guidance. The adjusted EBITDA margin must stay near 14.4%, as the LEAP and CFM56 programs earn a profit. Free cash flow must reach the guidance of $270 million to $300 million of adjusted free cash flow for 2026.

Net debt must fall toward 2 times EBITDA after the buyback. The FY 2026 report and the new CEO's 2027 guidance, expected in early February 2027, are the next test. If airline demand holds, the gap can close over the next three to five quarters.

1. Nov 5, 2026Passed

   Q3 2026 results: airline demand and marginCommercial aerospace growth in line with the full-year guidance, an adjusted EBITDA margin near 14% and the 2026 guidance kept or raised pass; a guidance cut or a sign that airlines delay overhauls fails.Outcome: The adjusted EBITDA margin was 14.4%, StandardAero raised its 2026 guidance and kept its commercial aerospace growth assumption, although reported commercial aerospace revenue grew only 1.3% after the removal of pass-through revenue.
2. Feb 5, 2027 · est.Pending

   FY 2026 results and first guidance of the new CEOAdjusted free cash flow of $270 million to $300 million for 2026 and 2027 guidance for double-digit earnings growth pass; weaker cash flow or lower growth targets fail.
3. Q2 2027 · est.Pending

   Net debt toward 2 times EBITDANet debt below 2.5 times adjusted EBITDA by mid-2027 passes; leverage that stays at 2.6 times or rises fails.

Every passed and failed checkpoint across all picks

• November 5, 2026StandardAero reported Q3 2026 results. Revenue rose 4.0% to $1,557.4 million: business aviation grew 7.4%, military and helicopter grew 7.2% and commercial aerospace grew 1.3%. Adjusted EBITDA rose 15.0% to $224.9 million, a margin of 14.4%, and adjusted EPS rose 30% to $0.39. Adjusted free cash flow was $99.2 million. StandardAero raised its 2026 guidance to revenue of $6,525 million to $6,645 million, adjusted EBITDA of $905 million to $920 million and adjusted EPS of $1.57 to $1.62, and kept adjusted free cash flow guidance of $270 million to $300 million.
• November 5, 2026The board raised the share buyback authorization by $560 million to $1.0 billion, with $850 million left. StandardAero plans a $350 million accelerated share buyback with Morgan Stanley.
• October 6, 2026StandardAero won a predictive engine maintenance contract for the US Air Force F100-220 engine program. The company did not give the value.

Last earnings

November 5, 2026 (8-K on sec.gov)

Next earnings

Expected about February 5, 2027. The company has not confirmed the date.

• 10-QQuarterly report for the period ended Sep 30, 2026Filed November 6, 2026 · saro-20260930
• 8-KEarnings releaseFiled November 5, 2026 · Press release and exhibits
• 8-KChange of directors or officersFiled September 28, 2026 · saro-20260928
• 10-QQuarterly report for the period ended Jun 30, 2026Filed August 7, 2026 · saro-20260630
• 8-KEarnings releaseFiled August 6, 2026 · Press release and exhibits
• 8-KShareholder vote resultsFiled June 26, 2026 · saro-20260625
• 8-KChange of directors or officers and Investor disclosureFiled June 2, 2026 · Read it on sec.gov
• 10-QQuarterly report for the period ended Mar 31, 2026Filed May 8, 2026 · saro-20260331
• 8-KEarnings releaseFiled May 7, 2026 · Press release and exhibits
• 10-KAnnual report for the period ended Dec 31, 2025Filed February 26, 2026 · saro-20251231

Every filing on SEC EDGAR (CIK 2025410)

• Airlines can fly less or delay engine overhauls if jet fuel prices stay high or the economy weakens. Commercial aerospace is the largest end market of StandardAero. Management said in August 2026 that about 40% of the business does not depend on jet fuel prices.
• A new CEO took over on October 1, 2026, and the COO left her role in September 2026. A change of leaders can change the plan or slow execution.
• StandardAero needs licenses and parts from engine makers such as CFM, GE and Pratt & Whitney. Engine makers also compete in repair, and late parts can slow shop visits and tie up cash in engines that wait for parts.
• Debt was $2,499 million at September 30, 2026, mostly floating-rate term loans, and the planned $350 million accelerated share buyback can add debt. Free cash flow was weak in Q1 2026. Higher rates or a fall in profit can slow debt reduction.
• Carlyle funds still own a large part of the shares, and sales by large holders, such as the 50 million share offering of January 2026, can weigh on the price.

StandardAero funds itself with senior secured term loans and a revolving credit facility. At September 30, 2026, the term loans were $2,211 million, due October 31, 2031, at SOFR plus 2.00%. Read more

StandardAero does not pay a dividend.

Source: company filings and market data, read on November 13, 2026.