CAE expands Toronto training center with new Boeing full-flight simulators

Montreal, Canada, May 3, 2022

CAE announced today at the 2022 World Aviation Training Summit (WATS), the expansion of the CAE Toronto Training Center for the deployments of a CAE 7000XR Boeing 787 and a CAE 7000XR Boeing 737 MAX full-flight simulators (FFS) to support its Canadian customers.

CAE is expanding its training center as Canadian airlines are expressing optimism that air travel will normalize in 2022, and as airlines around the world are preparing for business and international travel to return to pre-COVID levels in the following years.

“We are excited to expand our training footprint in Toronto with the immediate addition of new Boeing 787 and 737 MAX simulators to be deployed in the second half of 2022,” said Nick Leontidis, CAE’s Group President, Civil Aviation. “These latest additions complement our offerings and support the efforts of our Canadian-based airlines as they ramp up service and look for future growth.”

At the facility, pilots for the airlines will train on the industry’s most advanced full-flight simulators and benefit from digitally immersive solutions that elevate safety, efficiency, and readiness for Canadian travelers from coast to coast.

The CAE 7000XR Series FFS is the latest evolution of CAE’s industry benchmark FFS. Designed in collaboration with CAE’s customers, the CAE 7000XR Series sets a new standard in Level D FFS. Leveraging the latest advancements in technology and training capabilities, the CAE 7000XR Series is designed to optimize life-cycle costs for our customers and to address new and future training requirements. Enhanced features include the CAE Tropos 6000XR for extreme visual realism, a next-generation instructor office, upset prevention recovery training, and it is also built for lower ownership costs and increased reliability.

About CAE

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of 75 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defense and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 13,000 employees, 180 sites, and training locations in over 35 countries. www.cae.com

CAE celebrates 75th anniversary with focus on high-tech future

MONTREAL, March 28, 2022 /CNW Telbec/ – (NYSE: CAE) (TSX: CAE) CAE is celebrating its 75th anniversary with a focus on its high-technology vision for the future. Founded by Ken Patrick in 1947, the company has grown from 18 employees refurbishing radios in a hangar in Saint-Hubert, Quebec, to a global team of more than 13,000 in over 35 countries delivering innovative training and operations-support solutions for the civil aviation, defence and security, and healthcare sectors.

To highlight its 75th and its new mission and vision, the company launched a new corporate video is below.

“CAE has been at the forefront of innovation for over 75 years thanks to the talent and passion of dedicated employees who have contributed to our success over the decades,” said Marc Parent, CAE’s President and CEO. “Safety and readiness are of paramount importance in our evolving world. With digitally immersive solutions, we are shrinking the gap between the virtual and physical worlds to equip people in critical roles – pilots, crew members, defence forces and healthcare professionals – with the expertise and confidence to perform at their best every day. I am more excited than ever for CAE’s high technology future.”

CAE is building technology to accelerate the development and safe adoption of world-changing innovations like electric vertical take-off and landing aircraft (eVTOL) in Civil Aviation, multi domain synthetic environments in Defense and Security, and CAE Maestro Evolve digital twin simulation in Healthcare. This new technology focused on digital immersion will help build the next generation of intelligent solutions.

Over the course of the next year, CAE will mark its 75th anniversary with employee celebrations, customer appreciation activities, and by volunteering initiatives in the communities we call home.

Watch our historical video is below.

Learn more about CAE’s history on our website: https://www.cae.com/about-cae/history/

About CAE

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of 75 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 13,000 employees, 180 sites, and training locations in over 35 countries. www.cae.com

Joby partners with CAE for eVTOL aircraft pilot training

SANTA CRUZ, CA. and MONTREAL, March 9, 2022 /CNW/ – CAE (NYSE: CAE) (TSX: CAE) announced today that it has partnered with Joby Aviation Inc. (NYSE:JOBY), a California-based company developing all-electric aircraft for commercial passenger service, to develop and qualify flight simulation training devices that will be used to train the future pilots of Joby’s revolutionary all-electric aircraft.

The all-electric Joby aircraft in flight above the company's Electric Flight Base in California
Click here to download picture in high resolution: https://www.cae.com/media/documents/Joby_aircraft_in_flight.jpg (CNW Group/CAE INC.)
The all-electric Joby aircraft in flight above the company’s Electric Flight Base in California (CNW Group/CAE INC.)

Leveraging the core simulation technology Joby has been developing for the past five years, CAE will work with Joby to develop pilot training devices specifically for the company’s electric vertical take-off and landing (eVTOL) aircraft.

Joby intends to both manufacture and operate its aircraft, requiring the company to train a new generation of pilots. Used to simulate aircraft flight in various environments and conditions, flight simulators are an integral part of readying pilots to fly a new type of aircraft.

“CAE has a sterling reputation for delivering excellent simulation and training solutions,” said Bonny Simi, Head of Air Operations and People for Joby. “We look forward to a world where thousands of Joby pilots are flying our aircraft every day and we couldn’t ask for a better partner to help make that a reality.”

Joby is currently working with the Federal Aviation Administration (FAA) to secure its Part 135 Air Carrier Certificate, establishing the processes and regulatory approvals necessary for the company to operate commercially, with an expected service launch in 2024.

“We are thrilled to partner with Joby to help bring their pioneering vision to life,” said Nick Leontidis, CAE’s Group President, Civil Aviation Training Solutions. “With more than 75 years of experience in the design, development and manufacture of flight simulators, CAE brings extensive expertise with new aircraft types to support the qualification of Joby’s eVTOL fixed base flight training device and full-flight simulator with the FAA.”

CAE recently announced Project Resilience, a CAD$1 billion investment into aviation technologies of the future. The investment accelerates CAE’s role as a leader in end-to-end technology development, operational support and training solution for eVTOL pilots and Advanced Air Mobility.

With its low noise profile, Joby’s eVTOL aircraft is designed to make fast, emissions-free, and convenient air travel an everyday reality in cities and communities around the world. Joby’s fly-by-wire aircraft employs a unified flight control system and uses controls that are similar to fixed-wing aircraft, resulting in a smooth transition for pilots.

“We believe many pilots will consider flying for Joby to be a great career opportunity,” said Simi. “In addition to flying an environmentally friendly aircraft with a great piloting experience, we’ll offer pilots a reliable schedule that allows them to be home every evening, a luxury not available to most professional pilots.”

ABOUT CAE

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of more than 70 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 11,000 employees, 160 sites, and training locations in over 35 countries. www.cae.com.

ABOUT JOBY AVIATION

Joby Aviation, Inc. (NYSE:JOBY) is a California-based transportation company developing an all-electric vertical take-off and landing aircraft which it intends to operate as part of a fast, quiet, and convenient air taxi service beginning in 2024. The aircraft, which has a maximum range of 150 miles on a single charge, can transport a pilot and four passengers at speeds of up to 200 mph. It is designed to help reduce urban congestion and accelerate the shift to sustainable modes of transit. Founded in 2009, Joby employs around 1,000 people, with offices in Santa Cruz, San Carlos, and Marina, California, as well as Washington, D.C. and Munich, Germany. To learn more, visit www.jobyaviation.com.

CAE statement on the suspension of services and training to Russian airlines and operators

Montreal, Canada, March 8, 2022 – (NYSE: CAE; TSX: CAE)

CAE announced that it has suspended all services and training to Russian airlines, aircraft operators and healthcare distributors, in light of Russia’s invasion of Ukraine.

CAE is saddened by the humanitarian crisis in Ukraine, and in support of its people, CAE has ceased to offer training services to pilots of Russian airlines as well as corporate and cargo operators in its training network. The company has also ceased to sell and service simulators for Russian airlines as well as healthcare distributors.

To support the humanitarian relief operations for Ukrainian refugees fleeing war, CAE has donated C$60,000 to the Red Cross. To date, CAE employees worldwide have donated more than C$65,000 to the Red Cross, for a total of more than C$125,000 donated by CAE and its employees. CAE will continue to match employee donations worldwide until March 31.

CAE employees in Hungary and Poland are also volunteering their time to support the Red Cross as well as individually supporting the needs of Ukrainian refugees.   

CAE does not have any facilities in Russia.  Prior to the suspension, CAE serviced simulators sold to Russian airlines with parts and update services and trained a number of Russian airlines in its global training centre network.

About CAE

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of more than 70 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 11,000 employees, 180 sites, and training locations in over 35 countries. www.cae.com

Canada requests proposals for Future Aircrew Training; SkyAlyne to bid

March 1, 2022—Ottawa, ON— The Government of Canada has officially released the Request for Proposals (RFP) for the Future Aircrew Training (FAcT) Program – a next-generation training and in-service support program for the Royal Canadian Air Force (RCAF). SkyAlyne – a partnership between Canadian aviation and defence companies CAE and KF Aerospace – is invited to submit a proposal.

FAcT will combine all RCAF pilot, Air Combat Systems Officer (ACSO) and Airborne Electronic Sensor Operator (AES Op) training in Canada under one umbrella. The contract will be at least 20-years and valued in the billions, making it one of the most significant service contracts ever awarded by the Department of National Defence.

KF Aerospace and CAE currently provide the RCAF with pilot training and support via two separate contracted programs located in Southport, MB, and Moose Jaw, SK/Cold Lake, AB, respectively. The RCAF exclusively trains ACSO and AES Op personnel at 17 Wing Winnipeg, however that training will also integrate into the future contracted program.

“SkyAlyne is ready to leverage the world-leading capabilities from two Canadian-founded companies in CAE and KF Aerospace,” said France Hébert, President of SkyAlyne. “With our full team of strategic partners and our experience in successfully delivering both current RCAF programs— as well as similar programs around the world— SkyAlyne will offer the RCAF an innovative, world-class training solution.”

Bidders for the FAcT contract will be evaluated based on their technical capabilities and ability to deliver maximum value to Canada while enhancing Canadian supply chains, Key Industrial Capabilities, and Indigenous participation.

“Canada will benefit from a truly Canadian solution,” said Tracy Medve, Board Chair of SkyAlyne. “Our Canadian footprint is unmatched, as is our motivation to collaborate with Canada to build a better future in our own backyard.”

SkyAlyne General Manager JD Richard says SkyAlyne will collaborate with its partners on a program that will build on a proud legacy of training military aircrew in Canada and reinvent the future of aircrew training.

“Our mission is to innovate together and to deliver excellence for our service members. By continuing to work alongside our partners in the Canadian government and military, we will ensure Canadian expertise in future aircrew training continues to lead the world for future generations.”

FAcT bidders will now have approximately eight months to complete and submit their proposals. Contract award is expected sometime in 2023.

About SkyAlyne

Truly Canadian Training | SkyAlyne brings together two Canadian companies with unmatched experience and capabilities in delivering innovative pilot and aircrew training in Canada. Currently, CAE and KF Aerospace deliver all phases of pilot training to the Royal Canadian Air Force (RCAF) through the NATO Flying Training in Canada (NFTC) program managed by CAE, and the Contracted Flying Training and Support (CFTS) program managed by KF Aerospace. Website🔗.

About Future Aircrew Training (FAcT)

The Future Aircrew Training (FAcT) Program is the Government of Canada’s next-generation military pilot and aircrew training program, combing all Royal Canadian Air Force (RCAF) pilot training with aircrew support training. SkyAlyne is a bidder for the FAcT program. Currently, the contract award date is expected in 2023. Website🔗.

CAE concludes acquisition of Sabre’s Airline Operations (AirCentre) portfolio

  • Positions CAE as a digital technology leader, complementing CAE flight simulator and training solutions
  • Offers flight, crew, aircraft movement, airport and in-flight management and optimization tools that deliver efficiency for the flight ecosystem
  • Airline Operations portfolio, RB Group and Merlot form CAE’s new Civil Flight Services portfolio

MONTREAL, March 1, 2022 /CNW Telbec/ – CAE (NYSE: CAE) (TSX: CAE) announced today that it has concluded the previously announced acquisition of Sabre’s Airline Operations portfolio (formerly known as AirCentre solutions), a highly valuable suite of flight and crew management and optimization solutions, for an enterprise value of US$ 392.5 million. The acquisition includes the Sabre Airline Operations product portfolio, related technology and intellectual property as well as the transfer of highly talented workforce.

“We are very pleased to welcome Sabre’s Airline Operations customers and employees to CAE,” said Marc Parent, CAE’s President and CEO. “This acquisition, in addition to our ongoing technological transformation and our previous acquisitions of Merlot and RB Group, allows us to expand our reach into digitally-enabled flight and crew management and optimization services and create additional value for our customers”.

Parent added: “CAE’s Flight Services solutions allow us to help airlines and business jet operators globally to better manage their operations, decrease costly scheduling disruptions, improve staffing and operational decision-making, and decrease fuel consumption and carbon emissions. This ecosystem also enables pilots and crew members to better manage their day-to-day activities, while supporting them throughout their training and career journeys. Our customers are increasingly adopting digital solutions to improve efficiency and operations, and we are thrilled about this opportunity to expand our suite of innovative civil flight services solutions.”

CAE has been carrying out a growth strategy with the intent to emerge from the COVID-19 pandemic a larger, more resilient, and more profitable company than ever before. The acquisition, the ninth accretive acquisition for CAE since the COVID-19 pandemic began, will further expand CAE’s reach across its broad customer base beyond simulators and pilot training and establish the company as a technology leader in the growing marketplace for industry-leading, digitally enabled flight and crew operations solutions. CAE expects that the transaction will be mid-single-digit percentage EPS1 accretive, and even higher free cash flow2 accretive, for CAE within the first year post-closing.

Over the past two years, CAE has been unifying its digital flight operations business with the goal of delivering a holistic suite of solutions designed to improve operations and unite airline, business jet operators and crew in a single, interconnected and growing digital ecosystem. With the addition of this suite of digital capabilities to the existing business, CAE will now engage with pilots at every point of their career life cycles, from training and flight preparation, planning and scheduling right through to in-flight route optimization, performance and analytics.

The acquisitions of Merlot and RB Group in December 2020 and April 2021 marked milestones in CAE’s journey to pioneer the development of a digital flight operations ecosystem. And in July 2021, CAE announced Project Resilience, a multi-year innovation program to develop the technologies of tomorrow, including digitally immersive solutions leveraging data and artificial intelligence in civil aviation. For more information about CAE’s portfolio of flight operations solutions visit these pages.

About Sabre Airline Operations

The Airline Operations business includes almost 500 employees located in 12 countries, including 6 hubs (Dallas, Bangalore, Vienna, Krakow, Montevideo, and Shanghai). It delivers software solutions to more than 150 airline customers, with a portfolio that includes:

  • Crew Management: Enables enhanced long-term planning, innovative tracking and management, and disruption management decision support to help carriers manage crew schedules and keep crew members informed with real-time data
  • Flight Management: Allows airlines to manage the core functions of flight operations to deliver efficient flight plans and support increased productivity
  • Movement Manager: Helps airlines to gain a competitive advantage by optimizing the use of aircraft and operational plans to help meet commercial objectives such as protecting schedules, reducing disruptions and minimizing passenger impact
  • Airport Management: Manages airport operations such as planning, gate assignments and staffing to support increased operational efficiency, help optimize costs and improve the customer experience
  • In-flight: Spans all aspects of service planning, meal ordering, forecasting, operations, materials management, financial controls and reporting

About CAE

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of more than 70 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 11,000 employees, 180 sites, and training locations in over 35 countries. www.cae.com 

CAE reports third quarter fiscal 2022 results

  • Revenue of $848.7 million vs. $832.4 million in prior year
  • EPS of $0.08 vs. $0.18 in prior year
  • Adjusted EPS of $0.19 vs. $0.22 ($0.19 excluding COVID-19 government support programs) in prior year
  • Operating income of $65.5 million vs. $82.9 million in prior year
  • Adjusted segment operating income of $112.7 million vs. $97.2 million ($86.6 million excluding COVID-19 government support programs) in prior year
  • Free cash flow of $282.1 million vs. $224.0 million in prior year
  • Orders of $1,377.2 million for $9.2 billion backlog and 1.62x book-to-sales ratio
  • Civil book-to-sales of 1.93x and training centre utilization of 60%  
  • Defence book-to-sales of 1.39x and 1.05x for the last 12 months   

Montreal, Canada, February 11, 2022 – (NYSE: CAE; TSX: CAE)

CAE today reported revenue of $848.7 million for the third quarter of fiscal 2022, compared with $832.4 million in the third quarter last year. Revenue was 15% higher this quarter, excluding $93.5 million of revenue in the third quarter last year from a contract to provide the Canadian government with ventilators as part of CAE’s COVID-19 humanitarian initiatives. Third quarter net income attributable to equity holders was $26.2 million ($0.08 per share) compared to $48.8 million ($0.18 per share) last year. Adjusted net income(9) in the third quarter of fiscal 2022 was $60.7 million ($0.19 per share) compared to $60.0 million ($0.22 per share) last year.

Operating income this quarter was $65.5 million (7.7% of revenue), compared to $82.9 million (10.0% of revenue) last year. Third quarter adjusted segment operating income was $112.7 million (13.3% of revenue) compared to $97.2 million (11.7% of revenue) last year. Adjusted segment operating income excluding COVID-19 government support programs was $112.7 million (13.3% of revenue) compared to $86.6 million (10.4% of revenue) last year. All financial information is in Canadian dollars unless otherwise indicated.

Summary of consolidated results

(amounts in millions, except per share amounts)Q3-2022Q3-2021Variance %
Revenue$ 848.7$ 832.42%
Operating income$ 65.5$ 82.9(21%)
Adjusted segment operating income (SOI)$ 112.7$ 97.216%
As a % of revenue% 13.3% 11.7 
Adjusted SOI excluding COVID-19 government support programs$ 112.7$ 86.630%
As a % of revenue% 13.3% 10.4 
Net income$ 28.4$ 49.7(43%)
Net income attributable to equity holders of the Company 26.2$ 48.8(46%)
Basic and diluted earnings per share (EPS) 0.08$ 0.18(56%)
Adjusted net income 60.7$ 60.01%
Adjusted EPS 0.19$ 0.22(14%)
Adjusted net income excluding COVID-19 government support   
programs (10) 60.7$ 52.216%
Adjusted EPS excluding COVID-19 government support programs 0.19$ 0.19—%
Order intake 1,377.2$ 710.794%
Total backlog 9,177.2$ 7,820.117%

“I am very pleased with our performance in the third quarter, having delivered double-digit growth, strong free cash flow, and a near doubling of order intake compared to the third quarter last year — all of which adds to my conviction in the path to a larger, more resilient, and more profitable CAE in the future,” said Marc Parent, CAE’s President and Chief Executive Officer. “In a still-challenging global environment, we delivered 15 percent revenue growth, before the contribution of our ventilator humanitarian initiative last year, 16 percent higher adjusted segment operating income, and $0.19 of adjusted earnings per share. Free cash flow was a healthy $282.1 million, underscoring the cash generative nature of our business. Most notably, we made excellent progress on the order front with a book-to-sales ratio of 1.62 times, securing nearly $1.4 billion in orders and concluding the quarter with a $9.2 billion backlog. In Civil, we booked $753 million in orders for a 1.93 times book-to-sales ratio, including long-term training agreements with airlines and business aircraft operators, and 19 full-flight simulator sales. In Defence, we booked orders for training and mission support solutions valued at $593 million for 1.39 times book-to-sales. And in Healthcare, we continued to drive double-digit revenue growth with our reenergized organization and innovative solutions.”

On CAE’s outlook, Parent added, “we have been adeptly playing offence during this period of disruption and the long-term outlook for CAE has never looked more attractive. We expect pandemic headwinds to be with us for some time, including ongoing supply chain disruptions, employee and customer absenteeism due to infections, operational constraints by local authorities, and intermittent border restrictions. The current COVID-19 surge has extended the timeline to a broad global recovery, but our performance in the quarter confirms that we are on the path to strong cyclical recovery and secular growth when our markets eventually open and emerge from the pandemic.” 

Civil Aviation Training Solutions (Civil)

Third quarter Civil revenue was $390.1 million vs. $412.2 million in the third quarter last year on a 10 percentage point increase in Civil training centre utilization to 60%, and lower full-flight simulators (FFSs)(11) deliveries, with seven this quarter compared to 10 in the third quarter last year. The lower number reflects timing differences in the quarterly phasing of FFS deliveries and remains consistent with the outlook for approximately 30 for the year. Civil training services revenue, including CAE’s interest in joint ventures, was approximately 10% higher compared to third quarter last year. Operating income was $57.1 million compared to $48.4 million in the same quarter last year. Adjusted segment operating income was $83.4 million (21.4% of revenue) compared to $62.0 million (15.0% of revenue) in the third quarter last year. Adjusted segment operating income excluding COVID-19 government support programs, of which there was none this quarter, was also $83.4 million (21.4% of revenue) compared to $58.4 million (14.2% of revenue) in the same quarter last year.    

During the quarter, Civil signed training solutions contracts valued at $752.5 million, including contracts for 19 FFSs sales, bringing FFS sales for the first nine months to 33. Since the end of the quarter, Civil has signed orders for an additional four FFSs, bringing the year-to-date tally to 37. More than 60% of the FFS orders Civil has received so far this fiscal year are from customers in the Americas where air travel recovery and pilot training demand has been much more pronounced. Notable training contracts for the quarter include five-year extensions of commercial aviation training agreements with Avianca and Endeavor Air, a nine-year commercial aviation training agreement with Norwegian, as well as five-year business aviation training agreements with Global Jet Luxembourg, XO Jet and Vista Jet. Civil also announced the expansion of its pilot training capacity in Dubai and will deploy its first Bombardier Global 6500 FFS to the Emirates-CAE Flight Training Centre joint venture.

The Civil book-to-sales ratio was 1.93x for the quarter and 1.20x for the last 12 months. The Civil backlog at the end of the quarter was $4.6 billion.

On October 28, 2021, CAE announced it entered into an agreement to acquire Sabre’s AirCentre airline operations portfolio. Subject to completion, the acquisition will further expand its reach across its broad customer base beyond pilot training and establish itself as a technology leader in the growing market for industry-leading, digitally-enabled flight and crew operations solutions. The agreement, which is valued at US $392.5 million excluding post-closing adjustments, includes the Sabre AirCentre product portfolio, related technology and intellectual property as well as the transfer of AirCentre’s highly talented workforce. The closing of the transaction is expected in the first quarter of calendar 2022 and is subject to customary conditions and regulatory approvals

Canada Jetlines and CAE Sign Exclusive 5-Year Pilot Training Agreement

TORONTO, ON, Feb. 2, 2022 – Canada Jetlines Operations Ltd. (NEO: CJET) (“Canada Jetlines”) is excited to announce today that it has signed an exclusive 5-yer pilot training agreement with CAE. Under the agreement, CAE will train Jetlines pilots on the CAE 7000 XR Airbus A320 full flight simulator (FFS) at its Montreal training center. Jetlines anticipates their inaugural flight in the spring of 2022, offering Canadians more selection and more economical options to fly to sun-destinations in the southern United States, Caribbean, and Mexico.

“We’re excited to partner with global aviation training leader CAE,” said Eddy Doyle, CEO of Canada Jetlines, Ltd. “Our pilots will train on the industry’s most advanced full-flight simulators and benefit from digitally immersive solutions that elevate safety, efficiency and readiness for Canadian travelers from coast-to-coast.”

“We are pleased to welcome Jetlines, a new leisure airline, as our customer and proud to support the vision and launch of a fellow Canadian company,” said Nick Leontidis, CAE’s Group President, Civil Aviation Training Soutions. “This agreement is a prime example of our commitment to provide the most innovative training solutions and deliver a world-class training experience.”

Canada Jetlines, Ltd. selected the Airbus A320 as its fleet standard due to the aircraft’s best-in-class operating economics, customer comfort and fly by wire technology. The company will begin servicing the flying public in 2022.

For more information, please visit www.jetlines.ca

About CAE
CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of more than 70 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 11,000 employees, 180 sites, and training locations in over 35 countries. www.cae.com. Follow us on Twitter: CAE_Inc

About Canada Jetlines
Canada Jetlines is a well-capitalized leisure focused carrier, utilizing a growing fleet of Airbus320 aircraft starting in early 2022, subject to Transport Canada approval. The carrier was created to provide Canadian consumers with more value choices and travel options to fly to coveted sun and leisure destinations in the U.S., Caribbean, and Mexico. With a projected growth of 15 aircrafts by 2025, Canada Jetlines aims to offer the best-in-class operating economics, customer comfort and fly-by-wire technology, providing an elevated guest centric experience from the first touchpoint. The efficient aircraft design merged with the experience of the all-Canadian management team, allows for accessible flight options without sacrificing quality or convenience. The carrier will use a state-of-the-art web booking platform, making the turnkey solution available to Travel Agents, Tour Operators, and consumers, with the capability of generating revenue on reservations and ancillary sales. We aim to provide more revenue opportunities to express our gratitude to current and future agent partners and all the work that they do. We look forward to working with you to create memorable travel experiences for consumers. To learn more, please visit www.jetlines.com and follow on all social media platforms for news and updates.  

CAE reports second quarter fiscal 2022 results

  • Revenue of $814.9 million up 16% vs. $704.7 million in prior year
  • EPS of $0.04 vs. negative $0.02 in prior year
  • Adjusted EPS(1) of $0.17 vs. $0.13 ($0.03 excluding COVID-19 government support programs(2)) in prior year
  • Operating income(3) of $39.2 million vs. $28.2 million in prior year
  • Adjusted segment operating income(4) of $90.7 million vs. $79.3 million ($44.1 million excluding COVID-19 government support programs(5)) in prior year
  • Orders(6) of $871.4 million for $8.8 billion backlog(6) and 1.07x book-to-sales ratio(6)
  • Announced agreement post quarter to acquire Sabre’s AirCentre airline operations portfolio

Montreal, Canada, November 11, 2021 – (NYSE: CAE; TSX: CAE)

CAE today reported revenue of $814.9 million for the second quarter of fiscal 2022, compared with $704.7 million in the second quarter last year. Second quarter net income attributable to equity holders was $14.0 million ($0.04 per share) compared to a loss of $5.2 million (negative $0.02 per share) last year. Adjusted net income(7) in the second quarter of fiscal 2022 was $53.2 million ($0.17 per share) compared to $34.2 million ($0.13 per share) last year.

Operating income this quarter was $39.2 million (4.8% of revenue), compared to $28.2 million in the second quarter of fiscal 2021. Second quarter adjusted segment operating income was $90.7 million (11.1% of revenue) compared to $79.3 million last year. Adjusted segment operating income excluding COVID-19 government support programs was $90.7 million (11.1% of revenue) compared to $44.1 million last year. All financial information is in Canadian dollars unless otherwise indicated.Summary of consolidated results

(amounts in millions, except per share amounts)Q2-2022Q2-2021Variance %
Revenue$ 814.9 $ 704.7 16 %
Operating income39.2 $ 28.2 39 % 
Adjusted segment operating income (SOI)90.7 $ 79.3 14 % 
As a % of revenue% 11.1 % 11.3  
Adjusted SOI excluding COVID-19 government support programs$ 90.7 $ 44.1 106 % 
As a % of revenue% 11.1 % 6.3  
Net income (loss)$ 17.2 $ (6.0)387 % 
Net income (loss) attributable to equity holders of the Company14.0 $ (5.2)369 % 
Basic and diluted earnings (loss) per share (EPS)$ 0.04 $ (0.02)300 % 
Adjusted net income53.2 $ 34.2 56 % 
Adjusted EPS0.17 $ 0.13 31 % 
Adjusted net income excluding COVID-19 government support programs (8)53.2 $ 8.4 533 % 
Adjusted EPS excluding COVID-19 government support programs0.17 $ 0.03 467 % 
Order intake871.4 $ 667.8 30 % 
Total backlog8,827.9 $ 8,296.2 6 % 

“Our year over year growth in the second quarter was driven by the strengthening of our Civil training business, the continued ramp up of structural cost saving initiatives, and the integration of the L3 Harris Military Training business in our Defence results,” said Marc Parent, CAE’s President and Chief Executive Officer. “Overall, we delivered 16% year over year revenue growth and $0.17 of adjusted earnings per share. We also booked $871 million in orders for a book-to sales ratio of 1.07 times and concluded the quarter with an $8.8 billion backlog. In Defence, we closed the acquisition of L3 Harris Military Training in the quarter and it delivered solid revenue with a double-digit margin. We had lower organic performance in Defence this quarter, reflecting delays in orders and program execution, particularly internationally, largely due to the pandemic. And in Healthcare, I am encouraged by our third consecutive quarter of year over year revenue growth in our core, as we pursue scale and profitability with an expanded organization.”    

On CAE’s outlook, Parent added, “While COVID-related impacts continue to affect all of our business units, we increasingly see a clearer path to recovery and a larger, more resilient, and more profitable CAE in the future. Specifically, we are currently targeting to reach a consolidated adjusted segment operating margin of approximately 17% by the time our markets are generally recovered, with steady room for further improvement thereafter. We expect to reach this level of profitability on a significantly larger base of business with a post-pandemic capital structure that will allow us to sustain ample flexibility to further invest in our future. We continue to play offence during this period of disruption, as evidenced by our recent announcement of the proposed acquisition of Sabre’s AirCentre business, which marks our ninth accretive acquisition since the pandemic began. As business conditions continue to improve further, we look to extend this posture as it relates to both organic and inorganic growth investment.”

Parent concluded, “Our opportunity set continues to look very attractive, and I’ve never been as excited about CAE’s future as I am today.” Civil Aviation Training Solutions (Civil)

Second quarter Civil revenue was $362.1 million, stable compared to the second quarter last year on higher utilization in the Americas, and only five full-flight simulators (FFSs)(9) deliveries compared to 10 in the second quarter last year. Operating income was $49.9 million compared to $15.5 million in the same quarter last year. Adjusted segment operating income was $65.3 million (18.0% of revenue) compared to $51.9 million (14.2% of revenue) in the second quarter last year. Adjusted segment operating income excluding COVID-19 government support programs, of which there was none this quarter, was also $65.3 million (18.0% of revenue) compared to $34.2 million (9.4% of revenue) in the same quarter last year. During the quarter, Civil training centre utilization(10) was 53%, and since the end of the quarter, average training centre utilization has been trending to upwards of 60% globally.

During the quarter, Civil signed training solutions contracts valued at $408.9 million, including contracts for nine FFSs sales, bringing the first half FFS sales to date to 14. Notable training contracts for the quarter include a five-year aircraft maintenance training partnership agreement with Air Canada, a three-year exclusive agreement with Brussels Airlines, a five-year agreement with Envoy Air, a four-year agreement with PGA Portugalia, and a 5-year agreement with Alaska Airlines. In response to higher customer demand in business aviation training, following the quarter, Civil announced the expansion of its business aviation footprint with the introduction of a new flight-training location in Las Vegas, Nevada. The centre is expected to open in the summer of 2022 and will be Civil’s first west coast training facility in the U.S.

Civil’s digital ecosystem solution has also been selected by Innotech-Execaire Aviation Group (IEAG) to improve efficiency of their operations, marking IEAG as the launch partner for CAE’s innovative suite of digital services in the business aviation market. Furthermore, Civil announced a strategic partnership with BETA Technologies to design and develop a best-in-class pilot and maintenance technician training program for the ALIA eVTOL aircraft, as well as announced a new relationship with Starr Insurance Companies for a first of its kind program that combines a rigorous training regimen and insurance for single-pilot jet owners.

The Civil book-to-sales ratio was 1.13x for the quarter and 0.92x for the last 12 months. The Civil backlog at the end of the quarter was $4.3 billion.

In a move to accelerate Civil’s digital strategy and SaaS solutions, CAE announced an agreement following the quarter to acquire Sabre’s AirCentre airline operations portfolio (AirCentre) – a highly valuable suite of flight and crew management and optimization solutions. The agreement, which is valued at US $392.5 million excluding post-closing adjustments, includes the Sabre AirCentre product portfolio, related technology and intellectual property as well as the transfer of AirCentre’s highly talented workforce. The closing of the transaction is expected in the first quarter of calendar 2022 and is subject to customary conditions and regulatory approvals.Summary of Civil Aviation Training Solutions results

(amounts in millions, except SEU, FFSs)Q2-2022Q2-2021Variance %
Revenue$ 362.1 $ 364.5 (1 %)
Operating income49.9 $ 15.5 222 %
Adjusted segment operating income (SOI)65.3 $ 51.9 26 %
As a % of revenue% 18.0 14.2  
Adjusted SOI excluding COVID-19 government support programs$ 65.3 $ 34.2 91 %
As a % of revenue% 18.0 % 9.4  
Order intake$ 408.9 $ 353.3 16 %
Total backlog$ 4,263.2 $ 4,399.4 (3 %)
Simulator equivalent unit (SEU)(11) 245 251 (2 %)
FFSs in CAE’s network (9)312 308 1 %
FFS deliveries10 (50 %)
Utilization rate% 53 % 49 8 %

CAE is a high technology company, at the leading edge of digital immersion, providing solutions to make the world a safer place. Backed by a record of more than 70 years of industry firsts, we continue to reimagine the customer experience and revolutionize training and operational support solutions in civil aviation, defence and security, and healthcare. We are the partner of choice to customers worldwide who operate in complex, high-stakes and largely regulated environments, where successful outcomes are critical. As a testament to our customers’ ongoing needs for our solutions, over 60 percent of CAE’s revenue is recurring in nature. We have the broadest global presence in our industry, with more than 11,000 employees, 180 sites and training locations in over 35 countries.

CAE deploys first Boeing 737 MAX full-flight simulator in Europe; Signs training deal with SAS

From Asian Aviation – link to source story

By Asian Aviation Staff – 3 November 2021

(PHOTO: CAE)

CAE announced has announced the expansion of its pilot training capacity in Europe through the deployment of a brand new CAE 7000XR Series Boeing 737 MAX full-flight simulator (FFS) at the CAE Amsterdam training centre.

“CAE provides the most innovative full-flight simulators (FFS) to improve training efficiency, offer advanced capabilities, and increase operational efficiency for airlines,” said Nick Leontidis, CAE Group president, Civil Aviation Training Solutions. “We are excited to expand our training footprint in Europe with this latest addition of our Boeing 737 MAX FFS. CAE is leading the industry with innovative training solutions and operational support to all of its customers across the globe”.

CAE has received close to 60 orders for Boeing 737 MAX full-flight simulators and has already  delivered more than 35 B737 FFSs of these orders for various customers around the world. CAE has six B737 Max FFSs installed at the company’s training centers located in Toronto, Dallas, Amsterdam, Dubai and Singapore. The CAE 7000XR Series FFS is the latest evolution of CAE’s industry benchmark FFS. Designed in collaboration with our customers, the CAE 7000XR Series sets a new standard in level D FFS. Leveraging the latest advancements in technology and training capabilities, the CAE 7000XR Series is designed to optimise life-cycle costs for our customers and to address new and future training requirements. Enhanced features include CAE Tropos 6000XR for extreme visual realism, next-generation instructor office, upset prevention recovery training, and built for lower ownership costs and increased reliability.

CAE signs long-term training deal with SAS for Airbus A350 pilots
CAE and Scandinavian carrier SAS, announced the signing of an exclusive Airbus A350 pilot training agreement until 2032. CAE already provides Airbus A320, A330 and Boeing 737 full-flight simulator (FFS) training to the airline’s pilots. CAE has been providing training solutions services, initial and recurrent pilot training, and cabin crew training to SAS for more than 10 years. Pilot training for Airbus A350 aircraft is a key part of SAS’s growth and fleet modernisation as the airline continues to open up new destinations and more frequent flights. In support of this agreement, CAE deployed an Airbus A320 FFS to its CAE Oslo training centre in 2021 and will deploy another Airbus A350 FFS to its CAE Copenhagen training centre in the beginning of 2022.