EMBRAER Q3 RESULTS SHARPLY HIGHER
RESULTS Embraer has reported strong growth in earnings for the third quarter as aircraft deliveries increased. The Brazilian regional aircraft manufacturer's net profit in the three months to the end of September increased more than threefold, to $194.9 million, as sales increased 63%, to $1.42 billion from $876.9 million. Embraer says increased deliveries helped. It delivered 47 jet aircraft during the quarter, up from 30 last time. The company's firm order backlog reached a record $17.2 billion at the end of the third quarter.
CPI AEROSTRUCTURES TURNAROUND 'SUSTAINABLE'
MANUFACTURING CPI Aerostructures turned a 2006 nine-month pre-tax loss of $1.9 million into a profit of $2.2 million as revenue for the first three quarters rose 70% to $20.2 million. Chief executive Ed Fred says: "Many of the orders we were recently awarded have delivery dates into 2008 and beyond. This, coupled with the release of funding on projects on which we are bidding or have bid as a prime and as a subcontractor, give us reason to believe that the positive trends of 2007 will continue into next year." CPI makes structural aircraft parts for the US Air Force and prime defence contractors.
AURORA SEALS $15 MILLION EXPANSION DEAL
FINANCING Unmanned aircraft maker Aurora Flight Sciences has completed a $15 million financing agreement with an unnamed New York private equity firm. The deal gives Aurora $10 million of subordinated debt, $2 million of common equity and issued warrants for another $3 million of common equity over the next six months. "This investment provides significant capital to fund the company's growth," says chief executive John Langford, who adds: "We are excited not just about the financial support provided by our new partner, but look forward to working with them on a strategic basis."
CHINOOK, RAPTOR DRIVE NORTHSTAR REVENUE
RESULTS Gears and transmissions maker Northstar Aerospace turned in a third consecutive record quarter in the three months to end September as revenue jumped 13% year-on-year to $41.7 million and operating income rose 32% to $6.7 million nine-month revenue was up 10.6% to $121.5 million. For the third quarter, revenue was driven by a $2.7 million increase in the defence sector, including CH-47 Chinook and F-22 Raptor programmes. Chief executive Mark Emery will leave Northstar at year-end to join private equity firm Jordan, to be replaced on an interim basis by executive chairman Donald Jackson. Former US Navy pilot and Boeing Rotorcraft general manager Michael Tkach joined as a non-executive director.
ENGINE COMPONENTS MAKER SOLD FOR $2 BILLION
divestment Firth Rixson, the Connecticut- and Sheffield-based supplier of highly engineered rings, industrial forgings and specialised metal products, primarily to aerospace engine manufacturers, has been sold subject to regulatory approval by private equity firm Carlyle and Lehman Brothers Co-Investment to Oak Hill Capital Partners for roughly £945 million ($1.97 billion). Firth Rixson was founded in Sheffield over 160 years ago in 2003 Carlyle took it into private ownership, then merged it with Forged Metals, a Carlyle portfolio company acquired in 2000 and based in California. Firth then bought California-based Schlosser Forge and later claimed to be the first Western ring-roller to establish its own facility in China. In September 2006 Lehman Brothers became a co-investor, acquiring a 36% interest. In May, Firth bought Future Tech, which specialises in machining ultra-large aerospace components.
Source: Flight International
