CAE Inc (CAE) 2025 Q4 法說會逐字稿

Good day, ladies and gentlemen. Welcome to the CAE fourth-quarter and full fiscal year 2025 conference call. (Operator Instructions) The conference is being recorded. (Operator Instructions) I would now like to turn the conference over to Mr. Andrew Arnovitz. Please go ahead, Mr. Arnovitz.

女士們、先生們，大家好。歡迎參加 CAE 2025 財年第四季和全年電話會議。（操作員指示）會議正在錄音。（操作員指示）現在我想將會議交給安德魯·阿諾維茨先生。請繼續，阿諾維茨先生。

Good morning, everyone, and thank you for joining us. Before we begin, I'd like to remind you that today's remarks, including management's outlook for fiscal '26 and answers to questions contain forward-looking statements. These forward-looking statements represent our expectations as of today, May 14, 2025, and accordingly, are subject to change.

大家早安，感謝大家的收看。在我們開始之前，我想提醒您，今天的講話，包括管理層對 26 財年的展望和對問題的回答都包含前瞻性陳述。這些前瞻性陳述代表了我們截至 2025 年 5 月 14 日的預期，因此可能會發生變化。

Such statements are based on assumptions that may not materialize and are subject to risks and uncertainties. Actual results may differ materially, and listeners are cautioned not to place undue reliance on these forward-looking statements. A description of the risks, factors and assumptions that may affect future results is contained in CAE's annual MD&A available on our corporate website and in our filings with the Canadian Securities Administrators on SEDAR+ and the US Securities and Exchange Commission on EDGAR.

此類聲明基於可能不會實現的假設，並且受風險和不確定性的影響。實際結果可能存在重大差異，敬請聽眾不要過度依賴這些前瞻性陳述。有關可能影響未來結果的風險、因素和假設的描述包含在 CAE 的年度 MD&A 中，該報告可在我們公司網站上查閱，也可在我們向加拿大證券管理局 (SEDAR+) 和美國證券交易委員會 (EDGAR) 提交的文件中查閱。

On the call with me this morning are Marc Parent, CAE's President and Chief Executive Officer; and Constantino Malatesta, our Interim Chief Financial Officer. Nick Leontidis, CAE's Chief Operating Officer, is also on hand for the question period. After remarks from Marc and Constantino, we'll open the call to questions from financial analysts.

今天早上與我一起通話的還有 CAE 總裁兼執行長 Marc Parent；以及我們的臨時財務長康斯坦丁諾·馬拉泰斯塔 (Constantino Malatesta)。CAE 營運長 Nick Leontidis 也將出席問答環節。在馬克和康斯坦丁諾發言之後，我們將開始回答金融分析師的問題。

Let me now turn the call over to Marc.

現在讓我把電話轉給馬克。

Thanks, Andrew, and good morning, everyone. We delivered an exceptional fourth quarter that capped a strong year across all of our key financial and operational metrics. I'm very pleased with the performance and proud of how the team delivered with disciplined execution and efficient capital management.

謝謝，安德魯，大家早安。我們在第四季表現出色，為全年所有關鍵財務和營運指標的強勁表現畫上了圓滿的句號。我對團隊的表現非常滿意，並為團隊嚴謹的執行和高效的資本管理感到自豪。

We generated $289 million in free cash flow in the quarter and a record $814 million for the full year, translating to a very robust cash conversion rate of 211%. That level of cash generation enabled us to meet our year-end leverage target, giving us stronger financial position, and increased flexibility as we look ahead.

我們在本季產生了 2.89 億美元的自由現金流，全年創造了 8.14 億美元的創紀錄，現金轉換率達到 211%。這種水準的現金產生使我們能夠實現年底的槓桿目標，使我們的財務狀況更加穩健，並在未來具有更大的靈活性。

Importantly, we also continued building momentum for long-term growth and profitability. We secured $1.3 billion in new orders in the quarter for a record end of year adjusted backlog of $20.1 billion, which is up 65% from last year. This achievement is a testament to the confidence of our customers that have in CAE and the strength of demand across our markets.

重要的是，我們也繼續為長期成長和獲利積蓄動力。我們在本季獲得了 13 億美元的新訂單，年底調整後的積壓訂單達到創紀錄的 201 億美元，比去年增長了 65%。這項成就證明了客戶對 CAE 的信心以及我們整個市場強勁的需求。

Turning to our segments. I'm extremely proud of what we've accomplished, executing our strategy with dedicated focus and operational rigor. On the Civil side, despite ongoing constraints in global aircraft supply and the temporary drop in US pilot hiring, we delivered another strong quarter, demonstrating both the resilience of our business model and the strength of our global franchise.

轉向我們的部分。我對我們所取得的成就感到非常自豪，我們以專注和嚴謹的態度來執行我們的策略。在民用方面，儘管全球飛機供應持續受限且美國飛行員招聘暫時下降，但我們仍取得了又一個強勁的季度業績，這既證明了我們商業模式的彈性，也證明了我們全球特許經營的實力。

Civil achieved a record adjusted segment operating margin of 28.6% in Q4 and 21.5% for the year. Adjusted segment operating income grew 6% year-over-year, a particularly good result, given the factors that have been holding the commercial market back to more normalized operating levels.

Civil 部門調整後營業利潤率在第四季創下新高，達到 28.6%，全年達到 21.5%。調整後的分部營業收入年增 6%，考慮到阻礙商業市場恢復到更正常營運水準的因素，這是一個特別好的結果。

Our backlog of Civil grew an impressive 37% to a record $8.8 billion, supported by $3.7 billion in new orders, including 56 full-flight simulators. During the quarter, Civil assigned training and operating support solutions contracts valued at $742 million, including the sale of 14 full-flight simulators and long-term training and airline operations, digital solutions contracts.

我們的民用飛機積壓訂單大幅增加了 37%，達到創紀錄的 88 億美元，這得益於 37 億美元的新訂單，其中包括 56 台全飛行模擬器。本季度，Civil 分配了價值 7.42 億美元的培訓和營運支援解決方案合同，包括銷售 14 台全飛行模擬器以及長期培訓和航空公司營運、數位解決方案合約。

In Defense, we accelerated our path to greater profitability. We delivered an adjusted segment operating income margin of 9.2% in the quarter and 7.5% for the year, driven by solid program execution and a near doubling of the adjusted defense backlog to $11.3 billion.

在國防領域，我們加快了提高獲利能力的腳步。由於穩健的專案執行以及調整後的國防積壓訂單幾乎翻了一番，達到 113 億美元，我們本季調整後的分部營業利潤率達到 9.2%，全年調整後的分部營業利潤率達到 7.5%。

During the quarter, Defense booked orders for $596 million, bringing the full year total to a record $4.0 billion. It's very clear that we're gaining traction and are well positioned for continued growth in a market with significant long-term tailwinds.

本季，國防訂單總額達 5.96 億美元，使全年總額達到創紀錄的 40 億美元。很明顯，我們正在獲得發展動力，並且在具有長期巨大順風的市場中處於持續增長的有利地位。

With that, I'll now turn the call over to Dino, who can provide some detailed look at our financial performance. I'll return at the end of the call to comment on our outlook. Dino?

說完這些，我現在將電話轉給 Dino，他可以詳細介紹我們的財務表現。我會在通話結束後回來評論我們的展望。迪諾？

Thank you, Marc, and good morning, everyone. Looking at our fourth quarter results on a consolidated basis, revenue of $1.3 billion was up 13% compared to the fourth quarter last year. Adjusted segment operating income was $258.8 million compared to $125.7 million last year. Quarterly EPS was $0.47 per share, compared to $0.12 in the fourth quarter last year.

謝謝你，馬克，大家早安。從合併後的數據來看，我們第四季的營收為 13 億美元，與去年第四季相比成長了 13%。調整後部門營業收入為 2.588 億美元，去年同期為 1.257 億美元。季度每股收益為 0.47 美元，而去年第四季為 0.12 美元。

For the year, consolidated revenue was up 10% to $4.7 billion. Adjusted segment operating income was up 33% to $732 million and annual adjusted net income was $385.5 million or $1.21 per share, which is up compared to $0.87 last year.

全年綜合收入成長 10%，達到 47 億美元。調整後的部門營業收入成長 33% 至 7.32 億美元，年度調整後淨收入為 3.855 億美元或每股 1.21 美元，高於去年的 0.87 美元。

Net finance expense this quarter amounted to $56.5 million, which is up from $52.4 million in the fourth quarter of last year. I expect to run rate quarterly finance expense to be approximately $55 million in fiscal 2026, which is a bit higher than last year because of additional lease expenses related to recently opened trading centers in our global network and support on product and the financing costs associated with the consolidation of the SIMCOM joint venture in business aviation.

本季淨財務支出為 5,650 萬美元，高於去年第四季的 5,240 萬美元。我預計 2026 財年的季度財務支出約為 5500 萬美元，比去年略高，原因是與我們全球網路中最近開設的交易中心和產品支援相關的額外租賃費用以及與合併商務航空合資企業 SIMCOM 相關的融資成本。

Income tax expense this quarter was $45.2 million, representing an effective tax rate of 25% compared to an effective tax rate of just 14% in the fourth quarter last year. The adjusted effective tax rate, which is the income tax rate used to determine adjusted net income and adjusted EPS was 25% this quarter compared to 47% in the fourth quarter last year.

本季所得稅費用為 4,520 萬美元，有效稅率為 25%，而去年第四季的有效稅率僅為 14%。調整後有效稅率（即用於確定調整後淨收入和調整後每股收益的所得稅率）本季為 25%，而去年第四季為 47%。

The annual effective income tax rates in fiscal 2026 is expected to be approximately 25%, considering the income anticipated from various jurisdictions and the impact from global minimum tax legislative changes. Net cash provided by operating activities was $322.7 million for the quarter compared to $215.2 million in the fourth quarter of last year.

考慮到預期來自各個司法管轄區的收入以及全球最低稅立法變化的影響，預計 2026 財年的年度有效所得稅率約為 25%。本季經營活動提供的淨現金為 3.227 億美元，去年第四季為 2.152 億美元。

For the year, we generated $896.5 million from operating activities compared to $566.9 million last year. The strong performance is a result of the team's focus on execution, hitting program milestones and being highly prudent about cash management. This effort translated into an excellent free cash flow performance this year, and we're now targeting a conversion rate of 150% for fiscal 2026 and beyond.

今年，我們的經營活動產生了 8.965 億美元的收入，而去年同期為 5.669 億美元。強勁的表現得益於團隊專注於執行、實現專案里程碑以及對現金管理的高度謹慎。這項努力轉化為今年出色的自由現金流表現，我們現在的目標是在 2026 財年及以後將轉換率提高到 150%。

This represents a step change increase from approximately 100% conversion rate, which we previously targeted and underscores the highly cash-generative nature of CAE business. Uses of cash involved funding CapEx for $109 million in the fourth quarter and $356.2 million for the year, driven mainly by expansion of our civil aviation training network in lockstep with secured customer demand.

這代表著我們先前設定的約 100% 轉換率的階躍式成長，並凸顯了 CAE 業務的高度現金產生特性。現金用途涉及第四季度 1.09 億美元的資本支出和全年 3.562 億美元的資本支出，主要原因是我們為滿足有保障的客戶需求而擴展了民航培訓網絡。

These opportunities translate to some of our best returns as our simulator assets ramp up with the first three years of development, reaching an average 20% to 30% pretax incremental return on capital employed. We remain highly focused on capital efficiency and expect total CapEx in fiscal 2026 to be modestly lower than in fiscal 2025.

隨著我們的模擬器資產在開發的前三年不斷增加，這些機會轉化為我們最好的回報，達到了平均 20% 至 30% 的稅前增量資本回報率。我們仍高度關注資本效率，預計 2026 財年的總資本支出將略低於 2025 財年。

This will be concentrated mainly on organic growth investments and similar capacity to be deployed to CAE's network of aviation training centers, which are backed by multiyear customer contracts. Our net debt position at the end of the quarter was $3.2 billion for a net debt to adjusted EBITDA of 2.77 times, comfortably below our expected year target of below 3 times. Consistent with our disciplined capital allocation strategy and commitment to financial resilience, we expect to firmly reduce net leverage to 2.5 times by the end of fiscal 2026, supported by strong and sustained free cash flow generation.

這將主要集中在有機成長投資和部署到 CAE 航空培訓中心網路的類似能力上，這些中心由多年的客戶合約支援。我們本季末的淨負債狀況為 32 億美元，淨負債與調整後 EBITDA 比率為 2.77 倍，遠低於我們預期的年度目標（低於 3 倍）。秉承我們嚴謹的資本配置策略和對財務韌性的承諾，在強勁且持續的自由現金流的支持下，我們預計到 2026 財年末，淨槓桿率將穩步降至 2.5 倍。

Now to briefly recap our segmented performance. In Civil, fourth quarter revenue was up 4% over a year to $728.4 million and adjusted segment operating income was up 9% year-over-year to $208.4 million or a margin of 28.6%.

現在簡單回顧一下我們的分段表現。在民用領域，第四季營收年增 4% 至 7.284 億美元，調整後部門營業收入年增 9% 至 2.084 億美元，利潤率為 28.6%。

For the year, Civil revenue was up 11% to $2.7 billion, and adjusted segment operating income was up 6% to $581.5 million for an annual margin of 21.5%. Average training center utilization was 75% for the fourth quarter, down from 78% the prior year, mainly through the reduction in pilot hiring in Americas related to OEM aircraft supply constraints. Utilization was 74% for the year, down from 76% a year prior.

全年民用業務收入成長 11% 至 27 億美元，調整後分部營業收入成長 6% 至 5.815 億美元，年利潤率為 21.5%。第四季度，訓練中心平均利用率為 75%，低於去年同期的 78%，主要原因是由於 OEM 飛機供應限制導緻美洲飛行員招募減少。全年利用率為 74%，低於去年的 76%。

In products, we delivered 15 Civil full-flight simulators in the quarter and 61 for the year compared to 47 deliveries in the prior year. In Defense, fourth quarter revenue of $547 million was up 29% over Q4 of last year. Adjusted segment operating income was $50.4 million for a 9.2% adjusted segment operating income margin.

在產品方面，我們在本季度交付了 15 台民用全飛行模擬器，全年交付了 61 台，而去年同期交付了 47 台。在國防方面，第四季營收為 5.47 億美元，比去年第四季成長 29%。調整後的分部營業收入為 5,040 萬美元，調整後的分部營業收入利潤率為 9.2%。

Legacy contracts remain on track with costs and schedules well managed and the margin excluding legacy contracts was 9.9%. This compares to a negative adjusted segment operating income of $65.7 million in the fourth quarter last year. For the year, Defense revenue was up 8%, at $2 billion and adjusted segment operating income reached $150.5 million for an adjusted segment operating income margin of 7.5%.

遺留合約進展順利，成本和進度得到良好管理，不包括遺留合約的利潤率為 9.9%。相較之下，去年第四季該部門調整後營業收入為負 6,570 萬美元。全年國防收入成長 8%，達到 20 億美元，調整後分部營業收入達 1.505 億美元，調整後分部營業收入利潤率為 7.5%。

Before I turn the call over to Marc, I'll make a few comments about the potential impacts of tariffs. CAE is well insulated from direct tariff impacts. Approximately 70% of our CAE's total revenues come from services delivered within our customers own countries, which significantly limits our exposure to cross-border tariffs. For the US market, this proportion was even higher, around 80% last year.

在將電話轉給馬克之前，我想對關稅的潛在影響發表一些評論。CAE 可以很好地抵禦直接關稅的影響。我們 CAE 總收入的約 70% 來自於客戶所在國家/地區提供的服務，這大大限制了我們受到的跨境關稅影響。對美國市場來說，這一比例甚至更高，去年約為80%。

Moreover, our flagship product, the full-flight simulator, is exempt from tariffs under the USMCA. From an enterprise risk standpoint, with roughly one-third of our workforce based in the United States, a substantial operating footprint and an already significant US bill of materials, we're confident that we have the flexibility to effectively manage any residual risk exposure.

此外，我們的旗艦產品全飛行模擬器根據USMCA免關稅。從企業風險的角度來看，我們大約三分之一的員工位於美國，擁有龐大的營運足跡，並且已經擁有大量的美國物料清單，因此我們有信心靈活地有效地管理任何剩餘風險敞口。

With that, I will ask Marc to discuss the way forward.

有了這些，我將請馬克討論下一步的行動。

Thanks, Dino. Before getting into our outlook, I want to take a moment to reflect on how far we've come. Over the past few months, I've had the real privilege of onboarding our new directors and our new Chairman, and spending time with our teams around the world, from training centers to manufacturing and engineering sites.

謝謝，迪諾。在談到我們的展望之前，我想花點時間回顧我們已經走了多遠。在過去的幾個月裡，我很榮幸能夠接待我們的新董事和新董事長，並與我們在世界各地的團隊（從培訓中心到製造和工程基地）共度時光。

And what I've seen confirms everything that I have always known about is a remarkable company of ours. CAE has transformed into a purpose-driven, high-performance organization. Our mission to make the world safer isn't just words, it's really deeply embedded in who we are and what we do, whether it's preparing pilots for complex aerospace, enabling defense forces to be mission-ready or supporting critical operations, we are there for the moments that matter.

我所看到的一切證實了我一直以來所知道的一切，我們是一家卓越的公司。CAE 已轉型為一個目標明確、高績效的組織。我們讓世界更安全的使命不僅僅是口頭說說，它深深植根於我們的本質和工作之中，無論是為複雜的航空航天領域培養飛行員，使國防部做好執行任務的準備，還是支持關鍵行動，我們都會在重要的時刻出現。

And what always strikes me most is the caliber and the commitment of our people across 240 sites in more than 40 countries, our 13,000 employees show up every day with focus, resilience and a deep sense of purpose. That mindset, combined with our unmatched technology, our operational excellence, our strategic position, has made CAE a clear leader in this industry.

最令我印象深刻的是我們遍布 40 多個國家的 240 個站點的員工的能力和奉獻精神，我們的 13,000 名員工每天都以專注、堅韌和強烈的使命感出現。這種思維方式，加上我們無與倫比的技術、卓越的營運和戰略地位，使 CAE 成為該行業的領導者。

And over the last couple of decades, we've evolved from an industrial products company to a global powerhouse in training and simulation. We're no longer working to meet the standard, we're defining, and with the momentum that we've built, I believe that the best is still ahead.

在過去的幾十年裡，我們從一家工業產品公司發展成為培訓和模擬領域的全球巨頭。我們不再努力滿足標準，而是在定義，憑藉我們已經建立的勢頭，我相信最好的還在後頭。

The market has begun to recognize our progress across the business as reflected in our stock's outperformance relative to broader North American industry this year. And as we look ahead to fiscal 2026, we're carrying forward significant momentum with confidence and clarity.

市場已經開始認可我們在整個業務中所取得的進步，這反映在我們的股票今年相對於整個北美產業的優異表現。展望 2026 財年，我們正滿懷信心、清晰地向前邁進。

We have an over $20.1 billion of adjusted backlog and with the financial and operational discipline that we've demonstrated, we're entering the new fiscal year from a position of real strength. We continue to focus on execution, innovation and value creation. I'm confident that we'll build on this foundation to deliver growth, higher margins and stronger free cash flow.

我們擁有超過 201 億美元的調整後積壓訂單，憑藉我們所展現的財務和營運紀律，我們將以真正的實力進入新的財政年度。我們繼續專注於執行、創新和價值創造。我相信，我們將在此基礎上實現成長、更高的利潤率和更強勁的自由現金流。

In Civil, we remain well positioned with strong fundamentals and solid demand across both commercial and business aviation. Before getting into the specifics of our outlook, it's worth highlighting the recurring nature of our Civil business, which is a key reason that we remain confident in its long-term resilience and growth.

在民用領域，我們仍然佔據有利地位，商業和公務航空領域的基本面強勁，需求旺盛。在深入探討我們的前景細節之前，值得強調的是我們的民用業務的重複性，這也是我們對其長期韌性和成長充滿信心的關鍵原因。

Recurrent training, which is required approximately every six months to maintain pilot certification, represents about 70% of total training activity. And these regulatory requirements are consistent worldwide, making this portion of demand durable and relatively insulated from short-term economic volatility.

複訓大約每六個月進行一次，以維持飛行員認證，複訓佔總訓練活動的 70% 左右。而這些監管要求在世界範圍內是一致的，使得這部分需求具有持久性，並且相對不受短期經濟波動的影響。

And the remaining 30% of trading demand comes from new pilot certifications and aircraft type transitions driven by fleet growth and pilot retirements. In the Civil business, we also need to market in the sale and support of full-flight simulators. And while this is entirely more cyclical and closely tied to aircraft deliveries, this part of the business is all supported by very strong long-term fundamentals, because our short-term supply chain constraints that have impacted OEM aircraft output, we expect modestly lower simulator deliveries this fiscal year with a greater proportion occurring in the second half.

其餘 30% 的交易需求來自機隊成長和飛行員退休所推動的新飛行員認證和飛機類型轉換。在民用業務中，我們還需要進行全飛行模擬器的銷售與支援。雖然這完全是週期性的，並且與飛機交付密切相關，但這部分業務都受到非常強勁的長期基本面的支撐，因為我們的短期供應鏈限制影響了 OEM 飛機的產量，我們預計本財年的模擬器交付量將略有下降，其中更大比例發生在下半年。

For the year as a whole, we expect to continue winning our fair share of full-flight simulator owners. Looking longer term, the outlook remains highly compelling. Boeing and Airbus have a combined backlog of over 17,500 aircraft and both projects a global in-service fleet to nearly double over the next 20 years.

就全年而言，我們期望繼續贏得全飛行模擬器擁有者的青睞。從長遠來看，前景仍然十分引人注目。波音和空中巴士的積壓飛機訂單總計超過 17,500 架，兩家公司都預計未來 20 年全球在役飛機數量將增加近一倍。

On top of that, more than 280,000 new pilots will be needed globally over the next decade to support this growth and offset pilot retirements. These structural drivers create a clear and compelling runway for sustained growth in pilot training long term.

除此之外，未來十年全球將需要超過 28 萬名新飛行員來支持這項成長並抵消飛行員退休。這些結構性驅動因素為飛行員培訓的長期持續成長創造了清晰且引人注目的跑道。

In business aviation, we expect to see continued momentum as we scale operations at new training centers and ramp up recent simulator deployments. The business segment is benefiting from growth in the number of high net worth individuals in the world, strong OEM backlogs and structural shifts towards fractional ownership.

在商務航空領域，隨著我們擴大新培訓中心的營運規模並加強近期模擬器的部署力度，我們預計會看到持續的成長勢頭。該業務部門受益於全球高淨值個人數量的成長、強勁的 OEM 積壓訂單以及向部分所有權的結構性轉變。

Flight activity levels in the United States are 15% above 2019 levels and fractional operators like Flexjet have seen a nearly 60% increase in flight hours over the same period, reinforcing the underlying demand fundamentals.

美國的飛行活動水準比 2019 年高出 15%，而 Flexjet 等分時營運商的飛行小時數同期增加了近 60%，這強化了潛在的需求基本面。

Our exposure is weighted towards larger business aircraft types, which have historically demonstrated greater resilience economic cycles, a dynamic that gives us added confidence in the current macroeconomic environment. In any event, we see no significant indications of worsening conditions at this time.

我們的投資重​​點是大型商務飛機類型，這類飛機在歷史上展現了更強的經濟週期適應能力，這一動態讓我們對當前的宏觀經濟環境更有信心。無論如何，我們目前沒有看到情況惡化的明顯跡象。

Another example of growth and resiliency of our Civil business is our strategic expansion into the air traffic controller training market, which is a natural adjacency that builds on our decades of experience and simulation-based training for highly regulated safety critical roles. This initiative has been notably capital efficient with the launch last year of our first air traffic services or ATS training center in Montreal, which leverages our existing asset base and is in partnership with NAV CANADA, which manages one of the largest aerospace areas in the world.

我們的民用業務成長和彈性的另一個例子是我們向空中交通管制員培訓市場的策略擴張，這是一個自然的鄰接，建立在我們數十年的經驗和針對嚴格監管的安全關鍵角色的模擬培訓的基礎上。這項措施顯著提高了資本效率，去年我們在蒙特婁建立了第一個空中交通服務或 ATS 培訓中心，該中心利用我們現有的資產基礎，並與管理世界上最大的航空航天領域之一的 NAV CANADA 合作。

A mere six months later, the center welcomed its first students and just over a year since announcing our entry into the ATS training, CAE has now successfully trained seven cohorts of air traffic controllers and flight service specialists who have now completed their basic training and transitioned back to NAV CANADA for their on the job training.

僅僅六個月後，該中心就迎來了第一批學生，而自宣布進入 ATS 培訓領域僅一年多以來，CAE 已成功培訓了七批空中交通管制員和飛行服務專家，他們現已完成基礎培訓並返回 NAV CANADA 進行在職培訓。

Through this partnership, we aim to train approximately 500 personnel by 2028. And our decision to expand into this segment was driven by clear and growing global need. By our own estimates, some 70,000 new air traffic controllers are going to be required over the next decade. And shortages, particularly in the United States and particularly in Europe are already putting pressure on aerospace capacity and system efficiency.

透過此次合作，我們的目標是到 2028 年培訓約 500 名人員。我們決定進軍這一領域，是因為全球需求明顯且不斷成長。根據我們的估計，未來十年將需要大約 70,000 名新的空中交通管制員。尤其是美國和歐洲的短缺已經對航空航太產能和系統效率造成壓力。

With our established expertise and high consequence training environments, we're well positioned to support this essential function of the aviation ecosystem, enhancing both safety and throughput while adding a new durable revenue stream CAE Civil portfolio.

憑藉我們成熟的專業知識和高效的培訓環境，我們完全有能力支援航空生態系統的這項基本功能，提高安全性和吞吐量，同時增加新的持久收入來源 CAE 民用產品組合。

For Civil overall, we're taking a measured view of the first half of fiscal '26 as we monitor broader macroeconomic conditions and OEM aircraft delivery rates. In terms of our quarterly cadence in Civil, we expect this fiscal year to begin much like last year in both revenue and margins, with performance building progressively towards a stronger second half driven by increased training activity and product deliveries.

對於民用飛機總體而言，我們在監測更廣泛的宏觀經濟狀況和 OEM 飛機交付率的同時，對 26 財年上半年進行了審慎的展望。就民用業務的季度節奏而言，我們預計本財年的開局在收入和利潤率方面將與去年大致相同，在培訓活動和產品交付增加的推動下，業績將逐步向更強勁的下半年邁進。

For the year ahead, we expect segment operating income to grow in the mid- to high single-digit percentage range with a modest increase in the annual adjusted segment operating income margin. In Defense, CAE is well positioned to benefit from a sustained global upcycle in military spending.

對於未來一年，我們預期分部營業收入將以中高個位數百分比成長，年度調整後分部營業收入利潤率將小幅成長。在國防領域，CAE 處於有利地位，可以從全球軍事開支持續上升的趨勢中受益。

The European condition recently introduced the rearm EU program targeting EUR800 billion in defense investment by 2030 and could potentially be even greater with proposed fiscal rule exemptions. Across NATO and allied nations, including a notably stronger commitment from Canada, increasing defense budgets are driving demand for the advanced training and simulation solutions with CAE as a clear competitive differentiation.

歐洲國家最近推出了重新武裝歐盟計劃，目標是到 2030 年實現 8,000 億歐元的國防投資，如果加上擬議的財政規則豁免，這一數字可能會更大。在北約和盟國中，包括加拿大在內的承諾明顯加強，不斷增加的國防預算正在推動對先進訓練和模擬解決方案的需求，而 CAE 成為明顯的競爭優勢。

We've built a strong franchise in Canada over the past several years with major program wins and extensions, including contracts like FAcT contract, the RPAS contract, fixed wing search and rescue, NFTC and the CF-18 systems engineering support contract.

過去幾年來，我們在加拿大建立了強大的特許經營權，贏得了多項重大項目並獲得了延期，其中包括 FAcT 合約、RPAS 合約、固定翼搜索和救援合約、NFTC 和 CF-18 系統工程支援合約等。

The Canadian federal government plans to nearly double its annual defense spending from approximately $40 billion to over $80 billion by 2032. And despite of this substantial growth opportunity or in light actually of the substantial growth opportunity and the scale of our current program base, we've recently evolved our defense organizational structure to establish Canada as a standalone region with its own dedicated P&L alongside our US and international segments.

加拿大聯邦政府計劃在2032年將年度國防開支增加近一倍，從約400億美元增加到800多億美元。儘管存在巨大的成長機會，或者實際上考慮到巨大的成長機會和我們當前專案基礎的規模，我們最近改進了國防組織結構，將加拿大確立為一個獨立的地區，擁有自己的專用損益表，與美國和國際部門並駕齊驅。

This change reflects the growing strategic importance of the Canadian defense market and our leadership position within it, while also enabling our international team to sharpen its focus on broader global opportunities. We're immensely proud to have been ranked another once more as Canada's Top Defense Company by Canadian Defense Review Magazine, marking the third time that CAE has received this honor.

這項變化反映了加拿大國防市場日益增長的戰略重要性以及我們在其中的領導地位，同時也使我們的國際團隊能夠更加關注更廣泛的全球機會。我們非常自豪能夠再次被《加拿大國防評論》雜誌評選為加拿大頂級國防公司，這是 CAE 第三次獲得此榮譽。

To me, this recognition highlights our commitment to advancing global defense capabilities through cutting-edge training solutions, ensuring that we remain a trusted ally in the pursuit of security and operational readiness. Our aim is to be Canada's premier training partner and one clear validation of the progress we're making came in February when CAE was named the strategic partner to the government of Canada for the future fighter leading training program.

對我來說，這項認可凸顯了我們致力於透過尖端訓練解決方案提升全球防禦能力的承諾，確保我們在追求安全和作戰準備方面仍然是值得信賴的盟友。我們的目標是成為加拿大首屈一指的培訓合作夥伴，而我們所取得的進展的一個明確證明是，2 月份 CAE 被任命為加拿大政府未來戰鬥機領先培訓計劃的戰略合作夥伴。

Under this initiative, we will design and co-develop the next generation of training for Royal Canadian Air Force fighter pilots supporting Canada's fifth generation fighter readiness and reinforcing our leadership in high consequence training and mission support. This is just another example of a long-term high-value opportunities that we see unfolding, and it highlights CAE's growing role and strengthening the capabilities of Canada and its allies.

根據這項舉措，我們將設計和共同開發加拿大皇家空軍戰鬥機飛行員的下一代訓練，支持加拿大第五代戰鬥機的準備，並加強我們在高後果訓練和任務支援方面的領導地位。這只是我們看到的正在展開的長期高價值機會的另一個例子，它凸顯了 CAE 日益增長的作用以及加強加拿大及其盟友的能力。

With a defense backlog that clearly doubled year-over-year and a solid foundation of program execution, we expect continued progress towards reaching our goal of a low double-digit percentage margin and above-market long-term growth. Specifically for the year ahead, we expect defense to have low double-digit percentage annual segment operating income growth and an annual segment operating margin in the 8% to 8.5% range.

由於國防積壓訂單同比明顯翻了一番，且專案執行基礎堅實，我們預計將繼續朝著實現低兩位數百分比利潤率和高於市場的長期增長的目標邁進。具體來說，對於未來一年，我們預計國防業務部門的年度營業收入成長率將達到低兩位數百分比，年度營業利潤率將在 8% 至 8.5% 之間。

To sum up, CAE is entering fiscal 2026 from a position of strength. CAE remains both a highly compelling long-term growth story and at the same time, a very good cornerstone. We've built a resilient, high-performing company, one that's winning in the market, delivering for customers and creating long-term value for shareholders.

總而言之，CAE 將以強勁的勢頭邁入 2026 財年。CAE 仍然是一個極具吸引力的長期成長故事，同時也是一個非常好的基石。我們建立了一家具有韌性、高績效的公司，一家在市場上取得成功、為客戶提供服務並為股東創造長期價值的公司。

We bring together all the hallmarks of an excellent company, a record order backlog, deep customer intimacy, strong competitive differentiation, a high proportion of recurring revenue and cash flow and exposure to secular growth markets. Our focus remains squarely on innovation and delighting our customers, coupled with capital efficiency, operational excellence, and disciplined execution.

我們匯集了優秀公司的所有特徵，創紀錄的訂單積壓、深厚的客戶親密度、強大的競爭差異化、高比例的經常性收入和現金流以及對長期增長市場的敞口。我們的重點始終是創新和取悅客戶，同時兼顧資本效率、卓越營運和嚴謹的執行。

Lastly, as we manage our planned CEO transition later this summer, the Board and I are committed to smooth and seamless handover. The process to identify the next CEO is well underway, and we're confident it's going to result a leader who will carry forward CAE's strategy, culture, and momentum. I feel very good about our strong foundation, our deep leadership team and the clear path ahead. CAE is exceptionally well positioned for continued success and sustainable growth well into the future.

最後，當我們在今年夏天晚些時候管理計劃中的執行長過渡時，董事會和我致力於平穩無縫地交接。確定下一任執行長的過程正在順利進行中，我們相信，最終將產生一位能夠繼承 CAE 策略、文化和發展勢頭的領導者。我對我們堅實的基礎、深厚的領導團隊和清晰的未來道路感到非常滿意。CAE 已做好充分準備，能夠在未來繼續取得成功並實現永續成長。

With that, I thank you for your attention, and we're now ready to answer your questions.

最後，感謝您的關注，現在我們準備好回答您的問題。

Thanks, Marc. The operator will now open the line to financial analysts.

謝謝，馬克。該運營商現在將向金融分析師開放該熱線。

Thank you. We will now begin the question-and-answer session. (Operator Instructions)

謝謝。我們現在開始問答環節。（操作員指示）

Kevin Chiang, CIBC.

加拿大帝國商業銀行 (CIBC) 的 Kevin Chiang。

Hi. Good morning here. Thanks for taking my question. Maybe just my first one, maybe if I can dig into what's underpinning your Civil outlook? I understand the prudency, just given all the macro uncertainty. But maybe if you can dig into what you're seeing in terms of commercial training demand versus business jet training demand? And then on the margin outlook for the year, I guess I would have thought mix would have been more of a tailwind because you're selling fewer FFS this year and you have the full benefit of SIMCOM.

你好。早安.感謝您回答我的問題。也許這只是我的第一個問題，也許我可以深入了解你的民事觀點的基礎是什麼？考慮到所有宏觀不確定性，我理解這種謹慎。但是，您是否可以深入了解商業培訓需求與公務機培訓需求之間的差異？然後就今年的利潤前景而言，我想我會認為組合會更具順風性，因為今年你們銷售的 FFS 較少，而且你們擁有 SIMCOM 的全部好處。

Maybe if you can just walk me through some of the puts and takes on the margin outlook as well. Thank you.

也許您也可以向我介紹保證金前景的一些優點和缺點。謝謝。

Okay. Well, look, I'll kick it off and maybe turn it over to Nick for some additional color on some of it. Look, I'm just going back to the Civil outlook. I mean, what we're doing, we're taking a measured approach, specifically in light of the more cautious tone that we hear from airlines and a little bit of softness that we saw late in the fiscal year. As we point out, the second half is typically stronger, and we've seen that, I think, every year I've been at CAE.

好的。好吧，看，我會開始，也許會把它交給尼克，讓他對其中的一些內容進行一些額外的著色。瞧，我只是要回到民事觀點。我的意思是，我們正在採取一種審慎的態度，特別是考慮到我們從航空公司聽到的更謹慎的語氣以及我們在財政年度末看到的一些疲軟情緒。正如我們所指出的，下半年通常會更加強勁，我想，我在 CAE 的每一年都看到了這一點。

So we're expecting a more moderate environment in the first half, both in terms of what we see in terms of deliveries of simulators that we're going to execute and some near-term uncertainty. But all that's reflected in the guidance that we had. I think we'll haste in one thing is on the trade side, again, I'll turnover to Nick, trade demand remains very resilient. I mean we see some regional variation.

因此，我們預計上半年的環境將更加溫和，無論是從我們將要執行的模擬器交付情況來看，還是從一些近期的不確定性來看。但所有這些都反映在我們的指導中。我認為我們會盡快在貿易方面採取一項行動，再次，我會把話題轉交給尼克，貿易需求仍然非常有彈性。我的意思是我們看到了一些地區差異。

We see the pilot activity pick up recently in the United States. So we're watching that very closely. Coming back to similar deliveries, which are will really a function of the delivery of aircraft out of Boeing and Airbus. I mean what we see is the supply chain issues are getting better, but they continue to constrain the aircraft production itself. We're certainly not at peak production rates.

我們看到美國近期的試點活動正在升溫。因此我們正在密切關注此事。回到類似的交付，這實際上是波音和空中巴士飛機交付的功能。我的意思是，我們看到供應鏈問題正在好轉，但它們仍然限制著飛機生產本身。我們的生產率肯定還沒有達到高峰。

So we're expecting modestly lower deliveries this in the first half of this year. So that's going to be a way for the back half. So those are some of the components. So maybe just add a little bit to that. Thanks.

因此，我們預計今年上半年的交貨量將略有下降。所以這將是後半部分的一種方式。這些就是其中的一些組成部分。所以也許只需添加一點點即可。謝謝。

I'm just going to say, Kevin, just the pilot hiring. If you go through the drivers, pilot hiring, which is one driver is improving for sure, but not where they were last year. Aircraft delivery is the same thing. I mean things are improving actually with Boeing, but we've been pretty lopsided with Airbus being the vast majority of the deliveries, and therefore, a lot of our product sales have been in Airbus versus Boeing.

我只想說，凱文，只是招募飛行員。如果你看一下司機和飛行員的招募情況，你會發現司機的素質肯定在提高，但與去年相比還是有差距。飛機交付也是同樣的事情。我的意思是，波音的情況實際上正在改善，但我們的交付量一直相當不平衡，空中巴士佔據了絕大多數，因此，我們的許多產品銷售都是在空中巴士而不是波音。

And so you -- and of course, the customers themselves, there is a certain amount of, I guess, flat in the system right now because they were hiring at a certain level. So we just need to let all this kind of balance out a little bit, I think. And so when we look at the year and we look at the forecast, and the guidance that we've given, I mean it's taking a little bit of that into consideration because, obviously, we see it improving.

所以你——當然還有顧客自己，我猜現在系統中存在一定程度的平穩，因為他們的招募水準處於一定水準。所以我認為，我們只需要讓這一切稍微平衡一下。因此，當我們回顧今年的情況並查看預測和我們給出的指導時，我的意思是我們會考慮到這一點，因為顯然我們看到情況正在改善。

As Marc said, demand in the training centers is still quite strong. I mean obviously, it can always be stronger, but the difference is not that big as you see. And we are I mean, mid-to high single-digit growth on a base of Civil, which is this high is something that is not -- we need some of these drivers to improve.

正如馬克所說，培訓中心的需求仍然相當強勁。我的意思是，顯然它總是可以更強大，但差異並不像你所看到的那麼大。我的意思是，我們在 Civil 基礎上實現了中高個位數成長，這種高成長率是不可想像的——我們需要一些驅動因素來改進。

That's helpful. I'll leave it there. This is super helpful. Thank you very much.

這很有幫助。我就把它留在那裡。這非常有幫助。非常感謝。

Fadi Chamoun, BMO.

法迪·查蒙（BMO）。

Okay, good morning. Thank you for taking my question. I want to ask about the flight operation business. The -- you put together a few small acquisitions in Sabre And I think I recall, you have been investing in kind of modernizing the software and modernizing the approach to market and that business recently saw Boeing sell, the competing assets to our private equity. I wanted to get your thoughts, like what state of readiness that business segment is at right now from a competitive position perspective? And if you can give us some color about how it's performing relative to the level that you had expected by this time?

好的，早安。感謝您回答我的問題。我想問一下關於飛行運營業務的問題。你們在 Sabre 進行了幾次小型收購，我記得你們一直在投資軟體現代化和市場方法現代化，而波音公司最近將競爭資產出售給了我們的私募股權公司。我想了解您的想法，例如從競爭地位的角度來看，該業務部門目前處於什麼準備狀態？您能否向我們介紹一下它相對於您目前預期的水平的表現如何？

Okay, yeah, Fadi, thanks for the question. And I'll kick it off maybe again with Nick. Look, I mean, we're winning in the market. That's the first thing I'll say. We're very, and this is just continuing what I said in previous call, we're winning a disproportionate proportion of the business that we get in campaigns that we see out there.

好的，是的，Fadi，謝謝你的提問。我也許會再次與尼克一起開始。看，我的意思是，我們在市場上取得了勝利。這是我要說的第一件事。我們非常，這只是延續我在上次電話會議中所說的，我們在我們所看到的活動中獲得的業務比例不成比例。

So our order book is growing. I could tell you that basically, I would say we're at capacity for the work that we can take on right now. And if anything, we're paced right now in terms of growth at the speed at which the airlines actually undergo the changes in our operational control centers because when you're making a change, you're adopting a system like ours, it takes a lot of time and effort. But I think to implement, think like for a company implementing the ERP program, it's the same kind of thing.

因此我們的訂單正在增加。我可以告訴你，基本上，我想說我們已經有能力承擔目前所能承擔的工作了。如果有什麼不同的話，那就是我們現在的成長速度與航空公司實際經歷的營運控制中心變革的速度一致，因為當你做出改變時，你要採用像我們這樣的系統，這需要花費大量的時間和精力。但我認為實施，就像公司實施 ERP 程序一樣，是同樣的事情。

So it takes a lot. So you're working hand-in-hand with airlines then. So we're kind of pace from that standpoint. But look, again, we're winning in the market, we're very careful that we have a growth business over the next few years. What we're seeing, what you're seeing us do right now is we're winning orders that are basically SaaS kind of profile orders, which means that we are going to be recognizing the revenue and the earnings over a number of years as we execute those orders.

所以這需要很多。那麼，你們正在與航空公司攜手合作。因此，從這個角度來看，我們的步伐是比較快的。但是，再看看我們，我們在市場上取得了勝利，我們非常謹慎，以確保未來幾年我們的業務能夠成長。我們現在看到的是，我們贏得的訂單基本上都是 SaaS 類型的個人資料訂單，這意味著我們將在執行這些訂單的幾年內確認收入和收益。

It's kind of like the analogy. We're moving but rather selling a simulator, so it's sounding like an on-premise solution or delivery training, which is over quite a few years. So in terms of the execution of our business, that's where we stand, quite happy with our position in market and we're executing well. We have a strong order book.

這有點像類比。我們正在轉型，但更確切地說是在銷售模擬器，因此它聽起來像是內部解決方案或交付培訓，這已經持續了好幾年了。因此，就我們業務的執行而言，這就是我們的現狀，我們對我們在市場中的地位感到非常滿意，而且我們的執行情況良好。我們擁有大量訂單。

In terms of the question you asked about Boeing selling and the Jefferson deal, I think the strong level of interest that we saw in the market demonstrate the attractiveness of this side of the market. So I mean, I think basically, that's what I pointed at. I don't know, Nick, if you want anything more to add?

關於您提出的有關波音出售和傑斐遜交易的問題，我認為我們在市場上看到的強烈興趣證明了這個市場的吸引力。所以我的意思是，我認為基本上這就是我所指出的。我不知道，尼克，你還有什麼要補充的嗎？

I was just going to say right now the business, the number of implementations have ramped up significantly with all of the wins. So the way I would look at this is we have about $700 million of orders and the average contract is about five years. So we have $100 million, $150 million of revenue sitting there that we need to implement solutions that we've sold and start to generate revenue. So the best is yet to come, I guess, is the way I would put it.

我剛才想說的是，隨著所有勝利的取得，現在業務、實施的數量已經大幅增加。所以我認為我們有大約 7 億美元的訂單，平均合約期限約為 5 年。因此，我們有 1 億美元、1.5 億美元的收入，我們需要實施已銷售的解決方案並開始產生收入。所以我想，最好的事情還在後頭。

Okay, and just kind of follow up on these comments. Like from a scale perspective, do you think you have the scale ultimately to be effective in this part of the business? And are you finding, I mean, from the backlog, I guess the answer is yes. But are you finding a lot of synergies in your commercial approach between kind of what you're doing on the training side and what you're doing on the flight operations side?

好的，我只是跟進一下這些評論。從規模的角度來看，您是否認為您的規模最終能夠有效地開展這部分業務？您是否發現，從積壓的情況來看，我猜答案是肯定的。但是，您是否發現您在商業方法中在培訓方面所做的工作和在飛行運營方面所做的工作之間存在許多協同效應？

Well, I'll just point to one thing, just a recent example. We just had a big customer meeting of the business just last week in Greece. And we hosted that at our new AEGEAN training center and that was with the co-CEOs of AEGEAN. And I can tell you that the reaction of airlines to be basically witnessing the scope of CAE, both in its training market and then in the service market, just from a brand capability. I think there was definitely synergies there. But that's just anecdotal. Nick, do you want to add anything to it?

好吧，我只想指出一件事，一個最近的例子。我們上週剛在希臘舉行了一次大型客戶會議。我們在新的愛琴海培訓中心舉辦了這場活動，愛琴海的聯合執行長也出席了這場活動。我可以告訴你，航空公司的反應基本上見證了 CAE 在其培訓市場和服務市場中的範圍，僅從品牌能力來看。我認為那裡肯定存在協同效應。但這只是軼事。尼克，你還有什麼要補充的嗎？

No. I mean the synergies for this business are primarily in the front end. We have teams that are active on both sides of the house when it comes to capturing customers, and we leverage everything that we do with our customers to support more business with Flightscape in particular. So I mean, it's a different business, but it's another way for us to become at the end, we want to become as important as we can to our customers. And this is another way to do that.

不。我的意思是這項業務的綜效主要在前端。在吸引客戶方面，我們擁有活躍於各個領域的團隊，我們利用與客戶合作的一切機會來支持 Flightscape 開展更多業務。所以我的意思是，這是一項不同的業務，但這是我們最終成為的另一種方式，我們希望對我們的客戶盡可能地重要。這是另一種方法。

And maybe just to add on and I don't think that maybe that was part of your question, Fadi. I mean to be specific, I mean, we have what we need in this business, not like we need to add any more capability through M&A or anything like that in this business. Again, the portfolio that we have and the various software platforms that we have allows us to have the success we have in the market, which is going to fuel a strong business for us, as demonstrated in the $700 million of added backlog that Nick talked about. Thank you.

也許只是想補充一下，但我認為這可能不是你問題的一部分，法迪。我的意思是具體一點，我們已經擁有了這項業務所需的一切，而不需要透過併購或類似方式來增加任何能力。再次，我們擁有的產品組合和各種軟體平台使我們在市場上取得成功，這將為我們帶來強勁的業務動力，正如尼克談到的 7 億美元新增積壓訂單所證明的那樣。謝謝。

Konark Gupta, Scotiabank.

加拿大豐業銀行的 Konark Gupta。

Thanks, and good morning. Just wanted to kind of touch on defense margin a bit here. Looking at, obviously, the last year, the sequential progression has been pretty remarkable. But the margin exiting the fiscal year at about, call it, 9%, if we exclude the tax credit and the legacy dilution. What's keeping sort of the lid on your expectation for this fiscal year? I mean you're expecting 8% to 8.5% margin.

謝謝，早安。我只是想在這裡稍微談談防禦優勢。顯然，回顧去年，連續的進展相當顯著。但如果我們排除稅收抵免和遺留稀釋，財政年度結束時的利潤率約為 9%。什麼因素限制了您對本財政年度的期望？我的意思是您預期的利潤率為 8% 到 8.5%。

I mean is there a timing in terms of how the legacy programs unfold or is there something in the mix in the backlog that's not letting the margin kind of exceed that 9% you saw in the latest quarter?

我的意思是，遺留項目的展開是否存在時間安排，或者積壓訂單中是否存在某些因素導致利潤率無法超過您在最近一個季度看到的 9%？

Well, I'll start by saying we're not putting a lid on anything. If you think about going to 8.5% on average, what's inherent in that is you could continue to see inherently the progression that kind of progression you saw this year. I think, look I'd like to walk before we can run, and we've been walking pretty fast. And I think we're going to continue to do that.

好吧，首先我要說的是，我們不會限制任何事情。如果您考慮平均成長 8.5%，那麼其中固有的意義就是您可以繼續看到今年所看到的那種成長。我想，看，在我們學會跑之前，我想先學會走路，而且我們走得相當快。我認為我們會繼續這樣做。

So look, I'd say I think you saw it in the numbers. We were confident in this year. We continue to feel very good about where we are, how we close the fiscal year. We're carrying very strong momentum into the new year. Look, and there are two drivers behind the outlook that we're giving.

所以你看，我想你已經從數字中看到了這一點。我們對今年充滿信心。我們對於目前的狀況以及財政年度的結束方式感到非常滿意。我們正以非常強勁的勢頭進入新的一年。你看，我們給的展望背後有兩個驅動因素。

First, what you're seeing is the benefit of strong program execution. We're hitting the milestones. We're unlocking the cash, which, by the way, was a key contributor to the very strong free cash flow performance that we had in the fourth quarter.

首先，您看到的是強大的程式執行帶來的好處。我們正在實現里程碑。我們正在釋放現金，順便說一句，這是我們第四季度自由現金流表現非常強勁的關鍵因素。

Second, really, we're ramping up higher margin programs that we won and committed backlog. If you remember the story that we had for quite a few quarters now is that basically, what we've been doing is basically the retiring programs, executing a program that are inherently been won at margins that are basically, if you like dilutive or not accretive to the low double-digit margin expectations we have in the business, replacing them with contracts that do.

其次，我們確實正在加大我們贏得的和承諾的積壓的利潤率更高的項目。如果您還記得我們過去幾個季度的情況，那就是我們一直在做的基本上是淘汰一些項目，執行一些本質上是以利潤率贏得的項目，如果您喜歡稀釋性或不增值性，那麼我們就會用可以增值的合同來代替它們，以達到我們業務中低兩位數的利潤率預期。

And that continues to be the story here. And when you look at the size of the backlog, ending the year at $11.3 billion backlog, which, by the way, I would say, and that's not over, we have like over $7 billion in bids and proposals are outstanding, so submitted to customers, waiting in terms of a customer decision.

這就是這裡的故事。當您查看積壓訂單的規模時，您會發現，今年年底的積壓訂單金額為 113 億美元，順便說一句，這還沒有結束，我們還有超過 70 億美元的投標和提案尚未完成，因此已提交給客戶，等待客戶的決定。

I mean it really positions us extremely well, continue shaping the business towards a high -- towards our goal of higher quality, higher margin work. So look, we'll -- so I continue to again, going back to say there's no limit on this business. I don't certainly expect to perfectly linear upward trajectory. We've done very well. There's always going to be quarterly variability in this business because inherently, when you execute depending on which programs you execute in any given quarter.

我的意思是，它確實使我們處於非常有利的位置，繼續塑造業務，朝著更高品質、更高利潤的目標邁進。所以你看，我們會——所以我繼續說，回過頭來說，這項業務沒有限制。我當然不期望完美的線性上升軌跡。我們做得很好。這個行業總是會存在季度變化，因為本質上，當你執行時取決於你在任何特定季度執行哪些程序。

But look, we anticipate look, to be, I would say, cadence similar to last year, performance building progressively from Q1 onwards. So look, I mean, bottom line, the fundamentals clearly improved. We've done to turn around this business and we're very good about this trajectory.

但是，我們預計，我認為節奏與去年相似，從第一季開始業績將逐步提升。所以，我的意思是，從根本上來說，基本面明顯改善了。我們已經盡力扭轉這項業務，我們對這一發展軌跡非常滿意。

Makes sense, thank you. And I think you touched on the working capital aspect there. So I wanted to ask, maybe from Dino, how should we think about the working capital in this fiscal year? Do you see these cash conversions continuing at a similar clip or the mix will have some implications?

有道理，謝謝。我認為您談到了營運資金方面。所以我想問一下，也許是來自 Dino，我們該如何考慮本財年的營運資金？您是否認為這些現金轉換會以類似的速度持續下去，或者這種組合會產生一些影響？

So thank you for the question. Effectively, I'm really, really pleased with the free cash flow generation of $290 million this quarter and the record $814 million free cash flow generated record '25. So that's a conversion rate of 211%. So the capital allocation priorities do remain unchanged. Deleveraging is essential part of what we're envisioning going forward.

謝謝你的提問。實際上，我對本季 2.9 億美元的自由現金流以及 25 年創下的 8.14 億美元自由現金流記錄感到非常非常滿意。所以轉換率是 211%。因此資本配置優先順序確實保持不變。去槓桿是我們未來設想的重要組成部分。

We are aiming to take our leverage down to 2.5 times by the end of the year. And that is, again, as a result of our confidence in the cash, recurring cash generation nature of our business moving forward as well as maintaining a focus on capital discipline including non-cash working capital.

我們的目標是在今年年底將槓桿率降至 2.5 倍。這再次源自於我們對現金的信心、對未來業務的經常性現金產生特性的信心，以及對包括非現金營運資本在內的資本紀律的關注。

Now in this year, we unlocked a lot from the noncash working capital for '26 to help with the cash flow generation and the deleveraging goals. Next year, we'll see a continued focus on non-cash working capital efficiency and allowing us to maintain our 2.5 times deleveraging target for next year.

今年，我們從 26 年的非現金營運資本中釋放了大量資金，以幫助產生現金流和實現去槓桿目標。明年，我們將繼續關注非現金營運資本效率，並讓我們維持明年 2.5 倍的去槓桿目標。

Yeah, thank you.

是的，謝謝。

Cameron Doerksen, National Bank Financial

卡梅倫‧多爾克森，國家銀行金融

Yeah, thanks. Good morning. Just maybe to follow up on the cash question just on the CapEx indicating a modest decline year-over-year. Maybe just two quick questions on this. I mean, one, what is your expectation for maintenance CapEx for 2026? Should we expect something similar to what we saw in 2025? And then secondly, maybe you can just sort of detail where, I guess, the growth CapEx is going for this year. What specific areas are you investing in?

是的，謝謝。早安.也許只是為了跟進現金問題，資本支出顯示年比略有下降。關於這一點，也許只需要問兩個簡單的問題。我的意思是，第一，您對 2026 年的維護資本支出有何預期？我們是否應該期待出現與 2025 年類似的情況？其次，也許您可以詳細說明今年資本支出的成長方向。您投資的具體領域是哪些？

Yeah, thank you for the question, Cameron. So effectively we had adjusted our CapEx guidance to be $30 million higher than 2024, and we and we achieved that by hitting (inaudible) this year. So total CapEx is expected to be modestly lower than last year. Again, continued example discipline capital approach. We invest organically to keep pace with the growth of our existing customers.

是的，謝謝你的提問，卡梅倫。因此，我們實際上已將資本支出指導調整為比 2024 年高出 3000 萬美元，並且我們透過今年達到（聽不清楚）實現了這一目標。因此，預計總資本支出將略低於去年。再次，繼續舉例說明紀律資本的方法。我們進行有機投資以跟上現有客戶的成長步伐。

Around 75% of next year's CapEx will be effectively to address some of the market needs going forward, 25% maintenance CapEx. So very similar to what we had this year. Generally speaking, these opportunities give us the highest returns ramping up with the first year of deployment and reaching an average 20% to 30% pretax incremental return of capital employed, right?

明年約 75% 的資本支出將有效滿足未來的部分市場需求，25% 用於維護資本支出。與我們今年所經歷的非常相似。一般來說，這些機會為我們帶來最高的回報，在部署的第一年就不斷增加，並達到平均 20% 到 30% 的稅前增量資本回報，對嗎？

We have experienced a more intensive multi-year deployment schedule recently. Now we're focused on cash generating, returning capital and return on capital as well as long-term margin profile. So a lot of discipline in our execution going forward next year, working lockstep with the market to make sure that we have the ability to address and reduce any CapEx if the market calls for it.

我們最近經歷了更密集的多年部署計劃。現在我們專注於現金創造、資本回饋和資本回報率以及長期利潤率。因此，明年我們在執行過程中會採取許多紀律，與市場保持同步，以確保我們有能力在市場需要時解決和減少任何資本支出。

Just closing it off to Dino's comments, Cameron. Look, we just come off as -- set a multiyear investment cycle. We invest a lot of new training locations we played offense during the downturn in a big way. We see the opportunity, but we took share. We helped customers outsource their training.

卡梅倫，我只想結束對迪諾的評論。你看，我們剛剛設定了一個多年的投資週期。我們投資了很多新的訓練場地，在經濟低迷時期大力進攻。我們看到了機會，但我們搶佔了份額。我們幫助客戶外包他們的培訓。

We built these centers for you, expanded a lot, particularly in business aircraft. So now we find ourselves in a place, a very attractive place where we're now consolidating and operationalizing that opportunity, and that really translates into the guys we have that basically both CapEx volumes and CapEx intensity is going off as peak.

我們為您建造了這些中心，並進行了大量擴展，特別是在商務飛機方面。因此，現在我們發現自己處於一個非常有吸引力的地方，我們正在鞏固和實施這個機會，這實際上轉化為我們擁有的員工，基本上資本支出量和資本支出強度都達到了頂峰。

Okay. That's helpful. And maybe just to follow up. I mean, just thinking about the growth CapEx, I mean, largely driven by customer needs. I mean should we think about the investment here is largely just adding simulators to existing training centers? Or are there still some areas where you think you need a new training center either on the Civil side or on the business jet side?

好的。這很有幫助。或許只是為了跟進。我的意思是，僅考慮成長資本支出，很大程度上是由客戶需求所驅動的。我的意思是，我們是否應該認為這裡的投資主要只是在現有的培訓中心添加模擬器？或者您認為在民用航空或公務機方面是否仍存在一些需要新訓練中心的領域？

Nick, do you want to take that?

尼克，你想接受這個嗎？

Yeah, no. So right this year, the -- most of the CapEx that we're spending is we're opening Vienna and we're expanding in Orlando after the acquisition. There's a few sims there. So -- and we have a couple of sims in one of our existing training centers in caps. So there's no planed new facilities. It's really just growing some of the training operations that we -- as part of the business case like SIMCOM is a good example. The business case calls for a bunch of simulators. So these simulators are starting to be manufactured now.

是的，不。所以今年，我們花費的大部分資本支出用於開設維也納店以及收購後在奧蘭多的擴張。那裡有幾個模擬。所以——我們在現有的一個訓練中心裡有幾個模擬。因此沒有計劃建設新設施。這實際上只是擴大我們的一些培訓業務——作為商業案例的一部分，SIMCOM 就是一個很好的例子。商業案例需要大量模擬器。這些模擬器現在開始製造。

Okay, so that's very helpful. Thanks very much.

好的，這非常有幫助。非常感謝。

Greg Connor, Jefferies

康納（Greg Connor），傑富瑞

Good morning. Maybe just to focus on Civil backlog? I mean you gave a little bit of color around flight operations. But if we think about 2025 growth in backlog of 37%, maybe mid-single-digit revenue growth, it implies a much higher coverage of 2026 revenue than you historically have. What shifted in backlog either from a margin perspective or just recognition, just given the high coverage in 2026?

早安.也許只是關注民事積壓案件？我的意思是你對飛行操作做了一些描述。但如果我們考慮到 2025 年積壓訂​​單成長 37%，營收可能會成長中等個位數，這意味著 2026 年營收的覆蓋率將比歷史上高得多。考慮到 2026 年的高覆蓋率，無論是從利潤率角度還是從認可度角度來看，積壓訂單發生了什麼變化？

I'm a little bit confused about where you were asking. You started with basically your question with I think flight service or in that regard?

我有點不懂你問的是什麼。您一開始的問題基本上是關於航班服務還是與此相關的？

Maybe add a little bit more segment overall as a whole you're talking about.

也許可以添加一些您正在談論的整體片段。

Yeah, just given the strong backlog growth and revenue outlook for 2026, I mean, how you think about that backlog converting to revenue, just given there seems to be a much higher coverage for 2026 than you've historically had, just given the size of the backlog.

是的，考慮到 2026 年強勁的積壓成長和收入前景，我的意思是，您如何看待積壓轉化為收入，因為 2026 年的覆蓋率似乎比歷史上要高得多，考慮到積壓的規模。

Yeah, Greg, it's Andrew. I think I know where you're coming from. One of the big components of the increase is the consolidation of the SIMCOM JV and the Flexjet contract, which is spread over 15 years. So you can't sort of align the period of backlog increase one-to-one with the revenue generation year one.

是的，格雷格，我是安德魯。我想我知道你來自哪裡。此次增幅的一大因素是 SIMCOM JV 與 Flexjet 合約的合併，該合約為期 15 年。因此，您無法將積壓訂單增加期間與第一年的收入產生期一一對應起來。

Perfect. And then maybe just given on the Civil side, you talked about the US a little bit, but just given most of the training or most of the revenue in '26 is coming from training. Can you maybe just talk about regionally, where you're seeing the biggest areas of strength within civil aviation?

完美的。然後也許只是從民用方面來說，你談到了美國，但考慮到 26 年的大部分培訓或大部分收入都來自培訓。您能否從區域角度談談，您認為民航業最有實力的領域是哪些？

Yeah, so I think in terms of by region, I would say Americas would be probably our weakest region right at the moment. And Asia is probably our strongest because of all the things that you're probably inferring in your question, there's a lot of new airlines, a lot of growth in some of our customers. And in particular, some of our customers, we're seeing some good growth. Business aircraft, I would say, relatively stable.

是的，所以我認為就地區而言，美洲可能是我們目前最弱的地區。亞洲可能是我們最強大的市場，因為從您的問題中可能可以看出，這裡有許多新航空公司，我們的一些客戶數量也有很大增長。特別是我們的一些客戶，我們看到了一些良好的成長。我想說，商務飛機相對穩定。

I mean we are expecting some improvement in utilization in business aircraft, but nothing outrageous. So I think training demand is pretty strong across the board. But of course, the US is the one which is a little bit more muted for us.

我的意思是，我們預計商務飛機的使用率會提高，但不會太誇張。所以我認為各方面的培訓需求都相當強勁。但當然，美國對我們來說是比較沉默的一個國家。

Thank you.

謝謝。

(Operator Instructions)

（操作員指示）

Tim James, TD Cowen.

蒂姆·詹姆斯 (Tim James)，TD Cowen。

Thanks very much for taking my call. Good morning. Just one question. Marc, you're highlighting the great growth outlook now for Canadian defense spending doubling, as you mentioned by 2032. CAE already has just a great presence and a lot of very strong contracts in Canada. Can you talk about and maybe it's early, but anything you can say in terms of what that big pickup in defense spending could mean in terms of additional opportunities for CAE and what those might look like if you have any kind of sense for that at this point?

非常感謝您接聽我的電話。早安.只有一個問題。馬克，您強調了加拿大國防開支的巨大成長前景，正如您所提到的，到 2032 年，加拿大國防開支將翻倍。CAE 在加拿大已經擁有很大的影響力並簽訂了許多非常重要的合約。您能否談談，也許現在還為時過早，但您能否說說國防開支的大幅增加對 CAE 的額外機會意味著什麼，以及如果您現在對此有任何看法，這些機會可能會是什麼樣子？

Well, I can only give directional. And you just look at what I talked about in terms of doubling of the size or the expenditure of defense budget in Canada over the next few years. I mean I feel very, very good that that's going to translate into significant growth for CAE. On top of the are a very significant level of order intake and actually revenue that we're generating right now on contracts in Canada.

嗯，我只能給出方向性。你只要看看我談到的關於未來幾年加拿大國防預算規模或支出增加一倍的問題。我的意思是，我感到非常非常高興，這將轉化為 CAE 的顯著成長。除此之外，我們目前在加拿大的合約中獲得了非常可觀的訂單量和實際收入。

And we I think we will get or what I would say, disproportionate share because we actually literally are a strategic partner, and those are we're a strategic partner to the government of Canada as they want to operationalize the acceleration of defense spending in Canada.

我認為我們將獲得或我會說不成比例的份額，因為我們實際上是戰略夥伴，而且我們是加拿大政府的戰略夥伴，因為他們希望實現加拿大國防開支的加速增長。

And when you think about what militaries do when they're not in conflict like hopefully, you're never in conflict, like what do you militaries do? Well, basically, they train. They train, that's all they do train, train, train. So obviously, that's what we do.

當你思考軍隊在沒有發生衝突時會做什麼時，例如希望永遠不會發生衝突，那麼你們軍隊會做什麼呢？嗯，基本上，他們進行訓練。他們訓練，他們所做的就是訓練、訓練、訓練。顯然，這就是我們所做的。

So you could see right off the bat that any capability that they deploy, whether it's new aircraft or new helicopters or new shippers or new submarine, all that is going to require very significant and realistic training. So as Canada's strategic partner, I think we were going to continue to do very well in that market in that sense.

因此，你可以立即看到，他們部署的任何能力，無論是新型飛機、新型直升機、新型運輸船還是新型潛艇，都需要非常大量和現實的訓練。因此，作為加拿大的戰略合作夥伴，我認為我們將繼續在該市場上取得良好的表現。

Okay, great, thank you.

好的，太好了，謝謝。

Great. Well, operator, I think we'll bring the call to a close. I want to thank all participants for joining us this morning and remind you that a transcript of the call and Q&A will be available on CAE's website. Thanks very much, and a good day to all.

偉大的。好吧，接線員，我想我們可以結束通話了。我要感謝所有參與者今天上午的參加，並提醒大家，電話會議和問答的記錄將在 CAE 的網站上提供。非常感謝，祝大家有愉快的一天。

This brings to close today's conference call. You may disconnect your lines. Thank you for participating, and have a pleasant day.

今天的電話會議到此結束。您可以斷開線路。感謝您的參與，祝您有個愉快的一天。