Louis Dipalma's questions to AAR Corp (AIR) leadership • Q1 2025
Question
Louis Dipalma of William Blair & Company asked about the business development pipeline for TRAX, its potential as a sales channel for parts, the status of recent implementations, competitive dynamics of the Navy P8 contract win, and progress on in-sourcing repair work from the Triumph acquisition.
Answer
John Holmes, Chairman, President and CEO, reported strong progress for TRAX with new customer wins and a healthy pipeline, noting AAR's backing is opening doors at larger airlines. He confirmed that in-sourcing work from Triumph to support the USM business is largely complete, and the opportunity to in-source for commercial programs is larger than initially anticipated, though it represents a longer-term effort.