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CAE shows profit dip in first quarter
August 9, 2012 By The Canadian Press
Aug. 9, 2012, Montreal - 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.
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.
