StandardAero Q4 Adjusted EBITDA Climbs 13% to $210M, Guides $6.3B 2026 Revenue
StandardAero posted Q4 adjusted EBITDA of $210M, up from $186M, and net income of $79M versus a $14M loss. Full-year revenue rose 15.8% year-over-year, and management guided 2026 revenue of $6.275–6.425B, adjusted EBITDA of $870–905M, EPS of $1.35–1.45 and free cash flow of $270–300M, factoring in fire and shutdown headwinds.
1. Q4 Financial Results
In Q4, StandardAero delivered adjusted EBITDA of $210 million, up from $186 million a year earlier, and net income of $79 million versus a $14 million loss, driven by higher operating earnings, lower interest costs and reduced one-time IPO and refinancing expenses. Revenue reached $1.6 billion, marking 13.5% organic growth over the prior-year quarter.
2. Full-Year 2025 Performance
For 2025, the company achieved revenue growth of 15.8% year-over-year and adjusted EBITDA of $808 million, a 17% increase. Net income surged to $277 million from a prior-year loss, while free cash flow rebounded to $209 million versus a $45 million use, reflecting improved working capital and supply-chain normalisation.
3. 2026 Outlook and Headwinds
Guidance for 2026 calls for revenue of $6.275–6.425 billion, adjusted EBITDA of $870–905 million (14% margins), adjusted EPS of $1.35–1.45 and free cash flow of $270–300 million. This outlook already incorporates near-term headwinds from a Phoenix facility fire and a U.S. government shutdown impacting component repair volumes.
4. Program Ramp and Margin Improvement
The company ramped newer engine programs, inducting 60 LEAP engines in 2025 versus 10 in 2024, and expanded CF34/HTF7000 capacity. Contract restructurings will eliminate $300–400 million of low-margin pass-through revenue, supporting margin expansion, while management targets long-term free cash flow conversion of 80%–100%.