Benzinga | Aug 11, 2021 02:14PM EDT

CAE Q1 Revenue Surges 37%, Expects Strong Growth In FY22

* CAE INC (NYSE:CAE) reported first-quarter FY22 revenue growth of 37% year-over-year to C$752.7 million.

* Sales by segments: Civil Aviation Training Solutions C$432.9 million (+75% Y/Y); Defence and Security C$288.2 million (+3% y/Y); and Healthcare C$31.6 million (+42% Y/Y).

* Order intake for the quarter increased by 25% Y/Y to C$521.5 million, and the total backlog reduced by 7% Y/Y to C$7.93 billion.

* The Civil book-to-sales ratio was 0.78x for the quarter and 0.88x for the last 12 months, and the backlog was at C$4.2 billion.

* Adjusted EPS improved to C$0.19 from C$(0.11) in 1Q21.

* The gross margin expanded by 880 bps to 28.4%.

* The operating income recovered to C$86.2 million from a loss of C$(110.3) million a year ago.

* Adjusted segment operating income stood at C$98.4 million, compared to a loss of C$(2.1) million a year ago, and the margin for the quarter was 13.1%.

* Net cash used in operating activities totaled C$129.1 million versus C$88.4 million last year. It reported a free cash outflow of C$147.6 million.

* CAE expects continued solid year-over-year growth in the fiscal year 2022, as recovery takes hold in their end markets, integration of recent acquisitions, and ramp-up cost savings initiatives.

* Price Action: CAE shares traded lower by 2.75% at $30.82 on the last check Wednesday.