CAE Inc. (CAE) Earnings Call Transcripts

CAE Inc.'s Latest Earnings Call - Q4 FY2026

CAE Inc. reported its fourth-quarter and full-year 2026 results, highlighting a challenging environment with mixed performance across its segments. For fiscal 2026, revenue increased by 4% to $4.9 billion, while adjusted segment operating income decreased by 3% to $710.7 million. Adjusted EPS was $1.20. The company is undergoing a significant transformation plan aimed at cost reductions and operational improvements, with expectations of $125 million to $150 million in structural cost savings by 2030. Management provided guidance for fiscal 2027, expecting low single-digit revenue growth, with civil revenue flat to slightly down and defense growing mid-single-digit. Adjusted EPS for fiscal 2027 is projected between $1.21 and $1.28.

Reported metrics

Guidance from management

For fiscal 2027, CAE expects low single-digit revenue growth, with civil revenue flat to slightly down and defense growing mid-single-digit. Adjusted EPS is projected between $1.21 and $1.28.

What management said

Well, so there's a bigger impact in '28 versus the incremental benefit in '29 and '30. But as Matt said, there's a lot of execution to happen between now and then. So I don't want to put too fine a point on a number. But as we've talked about, there's -- it's full on execution this year. We will see that benefit materialize in '28, and then it's a bit more incremental for '29 and '30.

I would add the only thing I'd add, Fadi, and thanks, Ryan, is that as we look at the investments on transformation, which today is the best use of capital, as I think about where I want to spend our money, these are 2- to 3-year payback projects. Some are on the shorter end, some are on the longer end, but that's a way to characterize, we're spending the bulk of the money in 2027 and think about 2- to 3-year payback...

What analysts pressed on

Analysts expressed concerns about the impact of geopolitical uncertainties on the transformation plan and non-core asset divestitures. Questions also focused on capital allocation priorities and the potential for shareholder returns amidst the transformation.

Main topics on the call

• Transformation Plan — CAE is implementing a transformation plan targeting $125 million to $150 million in cost savings by 2030. The plan includes rationalizing 10% of the civil network and divesting non-core assets. Management emphasized exec...
• Civil Segment Challenges — The civil segment faced headwinds with a lighter order backlog and disruptions in the Middle East. Revenue was $2.7 billion with a margin of 18.6%. Management is rationalizing the training network to improve profitabilit...
• Defense Segment Growth — Defense revenue grew 9% to $2.2 billion, with a margin of 9.2%. The segment benefits from increased defense spending and a strong pipeline of opportunities. Management aims to improve margins to 11% over time.
• Free Cash Flow and Capital Allocation — CAE aims for 100% cumulative free cash flow conversion by 2030. The company is focused on disciplined capital allocation, maintaining an investment-grade balance sheet, and potentially returning capital to shareholders.

Read the full CAE Inc. transcript (Q4 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 35 CAE Inc. earnings call transcripts on record, spanning February 7, 2020 to May 22, 2026. Based on this history, CAE Inc. reports quarterly. The most recent call on file is dated May 22, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

CAE

Exchange

TSX

Country

CA

Sector

Industrials

Industry

Aerospace and Defense

Calls on record

35

First call

February 7, 2020

Most recent

May 22, 2026

Reporting cadence

quarterly