Wesco Aircraft Holdings Reports Results for Fiscal First Quarter 2014

Wesco Aircraft Holdings, Inc. (“Wesco Aircraft” or the “Company”) (WAIR), a leading provider of comprehensive supply chain management services to the global aerospace industry, today announced results for its fiscal first quarter ended December 31, 2013.

Highlights

Revenue of $224.7 million, up 6.4% compared to $211.2 million in the prior year
Net Income of $24.4 million, with Diluted Earnings Per Share (“EPS”) of $0.25 compared to $18.4 million and $0.19 in the prior year
Adjusted Net Income of $25.9 million, with Adjusted Diluted EPS of $0.27 compared to $24.1 million and $0.25 in the prior year
Reiterating full year 2014 guidance for sales of $975 million to $1.01 billion, Diluted EPS of $1.25 to $1.31, and Adjusted Diluted EPS of $1.31 to $1.37
Fiscal 2014 First Quarter Results

Revenue for the first fiscal quarter was $224.7 million, an increase of 6.4% compared to $211.2 million in the prior year period. The increase in the North America segment was 4.7% over the prior year period. Wesco again demonstrated strong international growth during the quarter with revenues in the Rest of World segment increasing by 19.6% compared to the prior year period. In the first quarter, Ad Hoc, JIT and LTA sales as a percentage of net sales represented 39%, 31% and 30%, respectively, compared to 40%, 26% and 34%, respectively, for the same period last year.

Net income for the first quarter was $24.4 million, resulting in Diluted EPS of $0.25 as compared to $18.4 million or $0.19 per share in the prior year period. Adjusted Net Income was $25.9 million resulting in Adjusted EPS of $0.27 in the first quarter of 2014 as compared to $24.1 million or $0.25 per share in the prior year period. Results for the first quarter of 2014 were impacted by one fewer business day compared to last year, as well as prolonged holiday shutdowns and vacations at a number of our top customers.

Wesco Aircraft’s Chairman, President and Chief Executive Officer, Randy Snyder said, “Our first quarter results were solid despite the timing of the holidays. We are experiencing high levels of activity in orders, additions to our current contracts, and contract renewals with existing customers. These results give us confidence in our full year guidance for sales and earnings growth. In addition, our recently announced acquisition of Haas adds to our optimism for the rest of the year and beyond. None of this would be achievable without our strong customer relationships, the support of our suppliers and the dedicated efforts of the best employees in the business.”

Financial Outlook

Based on our performance during the first quarter, Wesco reiterates its guidance for 2014 and expects full year revenues to be between $975 million and $1.01 billion, representing a growth rate of approximately 8.1% to 12.0% over 2013 results. Diluted EPS and Adjusted Diluted EPS are expected to be in the range of $1.25 to $1.31, and $1.31 to $1.37, respectively. This guidance does not include the expected contribution from the acquisition of Haas Group Inc.; Wesco plans to update its full year guidance after the transaction closes.