Chicago-based AAR CORP. (NYSE: AIR) has reported fourth quarter Fiscal Year 2018 consolidated sales of USD 473.5 million and income from continuing operations of $18.1 million, or $0.52 per diluted share, the company said.
For the fourth quarter of the prior year, the Company reported sales of $450.5 million and income from continuing operations of $16.3 million, or $0.48 per diluted share. Our adjusted diluted earnings per share from continuing operations was $0.54 in the current quarter compared to $0.49 in the fourth quarter of the prior year.
Consolidated sales increased $23.0 million or 5.1% from the prior year period reflecting continued growth in Aviation Services from our industry-leading integrated supply chain solutions and parts supply activities. This growth was offset by the wind-down of the KC-10 CLS Program, which had $4.5 million in sales in the current quarter compared to $18.3 million in the prior year quarter.
Consolidated gross profit margins increased to 17.9% in the current quarter from 17.3% in the prior year quarter driven by strong Aviation Services sales volumes. Fourth quarter sales to commercial customers represented 74.1% of consolidated sales, compared to 76.2% of consolidated sales in the fourth quarter of last year. Sales to government and defense customers represented 25.9% of consolidated sales compared to 23.8% in the prior year´s quarter.
Full Fiscal Year 2018 consolidated sales were $1.75 billion, an increase of 10.1% over Fiscal Year 2017. Aviation Services sales grew by 9.0% as a result of continued strong growth in our parts supply activities and new contract awards for integrated solutions operations supporting both commercial and government customers. Expeditionary Services sales increased 22.8% in Fiscal Year 2018 reflecting the ramp-up of the WASS program.
Full Fiscal Year 2018 income from continuing operations was $73.7 million, or $2.11 per diluted share. On an adjusted basis, Fiscal Year 2018 income from continuing operations was $62.7 million, or $1.79 per diluted share. In Fiscal Year 2017, income from continuing operations was $52.0 million, or $1.51 per share. On an adjusted basis, Fiscal Year 2017 income from continuing operations was $52.5 million, or $1.53 per diluted share.
AAR is a global aftermarket solutions company that employs more than 5,500 people in over 20 countries. AAR supports commercial aviation and government customers through two operating segments: Aviation Services and Expeditionary Services.