Go to the Globe and Mail homepage

Jump to main navigationJump to main content

In this April 21, 2010 file photo, Marc Parent, president and CEO of CAE Inc., poses inside of flight simulator 737. (Christinne Muschi For The Globe and Mail)
In this April 21, 2010 file photo, Marc Parent, president and CEO of CAE Inc., poses inside of flight simulator 737. (Christinne Muschi For The Globe and Mail)

CAE profit halved as restructuring progresses Add to ...

CAE Inc.’s first-quarter profit was cut in half to $21.3-million, as the company absorbed a major acquisition in its civil business unit and sales at its military division dropped from a year ago.

CAE’s profit amounted to eight cents per share, down from 17 cents per share or $43.5-million a year earlier.

More Related to this Story

Nevertheless, the company said its quarterly dividend will be increased by 25 per cent to five cents a share starting with the September payout, reflecting CAE’s confidence that its restructuring efforts will pay off.

The Montreal-based company’s revenue rose to $480.1-million from $427.9-million.

That was partially offset by $32-million in restructuring and acquisition-related costs, including about $21-million for severance payments during the quarter ended June 30.

The company has been integrating Oxford Aviation, an airline pilot training company that CAE acquired in a $314-million deal announced in May.

CAE manufacturers flight simulators and provides training services for commercial airline pilots. It also provides a range of training and simulation equipment for military customers around the world.

Follow us on Twitter: @GlobeInvestor

In the know

Most popular video »

Highlights

More from The Globe and Mail

Most Popular Stories