SIA Engineering *Official* (SGX:S59)

[UptheToon]

Not so good news but rising price. Many investors quite confident?

 

[Shion]

SIA Engineering Company to form line maintenance JV in Cambodia​

https://www.theedgesingapore.com/ne...ing-company-form-line-maintenance-jv-cambodia
SIA Engineering Company (SIAEC) S59 0.00% will be forming a line maintenance joint venture (JV) in Cambodia with Cambodia Airport Investment Co. Both airports signed a joint venture agreement (JVA) on May 30, under which SIAEC will hold a 51% stake in the JV. Cambodia Airport will hold the remaining 49%.

The JV will establish line maintenance services at Cambodia’s new international airport in Phnom Penh named Techo International Airport, a greenfield airport that is being developed at the southern part of Cambodia’s capital, some 19km away from its city centre. The total investment budget for the airport is US$1.5 billion ($2.03 billion).

Techo International Airport will be developed in three phases and is designed for 50 million passengers with three runways and a satellite terminal across a total land area of 2,600 hectares. In line with its opening, the JV will begin operations in March 2025.

The JV is said to complement SIAEC’s existing network of line maintenance international stations. It is also expected to develop into a regional aircraft maintenance, repair, and overhaul hub in Techo International Airport.

“This joint venture, in partnership with Cambodia Airport, will provide comprehensive line maintenance support with a high level of despatch reliability and quality engineering services to the airlines operating in Techo International Airport. It will strengthen SIAEC’s position as a leading line maintenance provider while offering high quality and efficient maintenance services to valued customers at more overseas locations,” says Ng Chin Hwee, CEO of SIAEC.

“We are delighted to form this partnership with SIAEC. We strongly believe that the transfer of technical competencies and aligned work practices with SIAEC are crucial for the long-term success of this joint venture, which will in turn create more high-value job opportunities for our local workforce. We are undoubtedly excited about the prospects and very confident that this strategic partnership will exceed all expectations,” says Oknha Dr Pung Kheav Se, chairman of Cambodia Airport.

 

[Shion]

SIA Engineering Company reports 3QFY2023/2024 net profit of $26.9 mil, double y-o-y​

https://www.theedgesingapore.com/ca...-3qfy20232024-net-profit-269-mil-double-y-o-y

SIA Engineering Company (SIAEC) has reported net profit of $26.9 million for the 3QFY2023/2024 ended Dec 31, 2023, more than double its net profit of $12.8 million in the corresponding period last year.

Net profit for the 9MFY2022/2023 also increased 90.3% y-o-y to $86.2 million.

Revenue for 3QFY2023/2024 improved 40.2% y-o-y to $291.7 million while group expenditure rose at a lower rate of 33.8% y-o-y to $295.1 million mainly due to an increase in manpower costs and material costs.

As revenue growth was higher than the rise in expenditure, SIAEC incurred a lower operating loss of $3.4 million compared to the operating loss of $12.5 million 3QFY2022/2023.

Excluding the impact of foreign exchange losses, the company would have achieved an operating profit of $0.5 million in 3QFY2023/2024.

For the quarter, SIAEC’s share of profits from associated and joint venture companies net of tax increased 23.3% y-o-y to $23.8 million.

Earnings per share (EPS) for the 3QFY2023/2024 stood at $2.39.

For the 9MFY2023/2024, revenue grew by 41.3% y-o-y to $805.7 million while operating losses decreased to $3.3 million, up from $23.3 million previously. The share of profits from associated and joint venture companies net of tax also increased 21.6% y-o-y to $73.8 million.

EPS for the 9MFY2023/2024 period stood at $7.64.

The number of flights handled in the quarter by SIAEC’s line maintenance unit in Singapore was 94% of its pre-pandemic volume in December 2023 compared to 75% a year ago. Although the increase in demand was broad-based, at the industry level, supply chain challenges have continued to affect turnaround times and output rates.

“Global air travel is projected to surpass pre-Covid levels in 2024 as Asia-Pacific makes a full recovery, which in turn is expected to drive demand for aircraft maintenance, repair and overhaul (MRO) services. However, headwinds from macroeconomic and geopolitical uncertainties, along with tight labour market conditions, may exacerbate inflationary pressures and supply chain issues, and impact our near-term operating margin,” says the company in its business update.

“To ensure that we remain competitive, we continue to prioritise cost management and drive productivity through our continuous improvement programme. As part of this, we will further deepen lean and digitalisation to enhance the efficiency and core competencies of our workforce as well as infuse a mindset of continuous improvement among them,” adds SIAEC.

Shares in SIAEC closed 2 cents higher or 0.87% up at $2.32 on Feb 15.

 

[Shion]

SIA Engineering Company exits Pratt and Whitney risk-revenue sharing programme​

https://www.theedgesingapore.com/ne...-exits-pratt-and-whitney-risk-revenue-sharing

SIA Engineering Company (SIAEC) has announced that it has entered into an agreement with Pratt and Whitney to exit from the PW1500G engine risk-revenue sharing programme (RRSP) that was held through SIAEC’s wholly-owned subsidiary NexGen Network (2) Holding (NGN2).

Upon exiting the RRSP, SIAEC will write off $25.1 million of net assets associated with the programme, which was previously known as the CSeries aircraft engine programme.

NGN2 invested in the RRSP in 2010 and had a 1% share of the programme prior to its exit.

Participants of the RRSP are required to share the costs, risks and revenues of the PW1500G geared-turbofan engine, from its design and development to its production, post-certification engineering support, marketing and sales. This also included the provision of aftermarket services including maintenance, repair and overhaul (MRO) services.

The investment came with derived benefits for Eagle Services Asia Private Limited (ESA), a joint venture (JV) in Singapore between Pratt and Whitney and SIAEC, who held 51% and 49% stakes in the JV respectively.

This included new engine capability and MRO work for ESA, and relevant investment support grants related to the development of new engine capability.

SIAEC says that as the RRSP requires further capital injection, after careful deliberation and with Pratt and Whitney’s agreement, a decision was taken to exit from the RRSP.

This will allow the company to deploy capital which would otherwise have been used to support the funding of the RRSP to other areas that are better aligned with its growth strategy.

Shares in SIAEC closed unchanged at $2.26 on March 28.

 

[Shion]

SIA Engineering net profit rises 23% to $33.2 million in Q1​

https://www.straitstimes.com/busine...ing-net-profit-rises-23-to-332m-million-in-q1

SINGAPORE - Aircraft maintenance provider SIA Engineering Company (SIAEC) reported a net profit of $33.2 million for its first quarter ended June 30. This was up 23 per cent from $27 million in the corresponding year-ago period.

Demand for maintenance, repair and overhaul (MRO) services remained healthy in the three months, SIAEC said on July 26.

Earnings per share stood at $0.0296 for Q1 FY24/25, up 22.8 per cent from $0.0241 in Q1 FY23/24.

The group’s revenue, at $268.7 million, was 2.6 per cent higher than the year-ago period’s $261.9 million.

Group expenditure rose at a slightly slower rate of 2.4 per cent to $267.7 million, mainly due to higher material and manpower costs. Operating profit was thus also higher than the year-ago period.

“The number of flights handled by line maintenance in Singapore increased by 11.5 per cent year on year,” SIAEC said. “Flight recovery at the end of June 2024 was approximately 95 per cent of pre-pandemic levels, compared to 84 per cent a year ago.”

But at base maintenance, fewer checks were completed in the quarter due to more checks for older generation aircraft with heavier work content, which required longer hangar time.

Supply chain constraints also led to longer lead times to secure spare parts, causing longer durations for certain checks.

In May, the aerospace maintenance provider was appointed as Air India’s strategic partner for the development of its Bangalore base maintenance facilities, expected to be ready in 2026.

SIAEC noted that its share of profits from associated and joint venture (JV) companies also improved to $28 million for the quarter. The share of profits from both the engine and component segment, and the airframe and line maintenance segment increased year on year, it added.

Its component JV with aerospace company Eaton was incorporated on June 7 in Malaysia, increasing SIAEC’s portfolio of strategic partnerships to 24 subsidiaries and JVs across eight countries.

SIAEC expects demand for MRO services to stay healthy, with the upward trajectory of flight activity. But it noted persistent concerns over a tight labour market, supply chain issues and elevated costs.

“To capitalise on the demand recovery and manage the challenges, we remain committed to driving operational efficiency through our continuous improvement programme, maintaining cost discipline, and expanding our capabilities and geographical presence,” it said.

The counter closed at $2.29 on July 26, down $0.02 or 0.9 per cent, before the announcement. THE BUSINESS TIMES

 

[Shion]

SIA Engineering Co posts 1HFY2025 net profit of $68.8 mil, 16% higher y-o-y​

https://www.theedgesingapore.com/ca...s-1hfy2025-net-profit-688-mil-16-higher-y-o-y

SIA Engineering Company (SIAEC) reported a net profit of $68.8 million, $9.5 million higher, or 16% up y-o-y, for the 1HFY2025 ended Sept 30.

For 2QFY2025, the group’s net profit stood at $35.6 million, up 10.2% y-o-y.

Group revenue for 1HFY2025 rose by 12.1% y-o-y to $576.2 million.

Operating profit rose to $3.4 million, $3.3 million higher, as revenue growth outpaced higher expenditure costs for the period.

Share of profits from associated and joint venture companies improved by $8.6 million, or 17.2% higher y-o-y, to $58.6 million for 1HFY2025.

Share of profits from both the engine and component segment and the airframe and line maintenance segment increased y-o-y, by $7.7 million and $0.9 million, respectively.

As at Sept 30, earnings per share (EPS) stood at 6.13 cents on a diluted basis.

In its update, the group noted that demand for maintenance, repair and overhaul services (MRO) remained “healthy” during the first half of the financial year, as all operating segments recorded higher revenue.

For the same period, the number of flights handled by SIAEC’s line maintenance in Singapore grew by 9% y-o-y. The number of transits handled stood at 95% of pre-pandemic volume, compared to 89% a year ago.

According to the group, fewer aircraft checks were completed at the group’s base maintenance’s Singapore hangars due to a higher mix of legacy aircraft checks with heavier work content as well as cabin refurbishments. The duration of some aircraft checks was also extended following supply chain constraints that led to longer lead times to obtain relevant aircraft spares, SIAEC adds.

Moving forward, the group sees demand for MRO services continuing to look “healthy”. That said, supply chain constraints, rising costs, tight manpower supply and heightened geopolitical tensions remain concerns.

As at Sept 30, equity attributable to owners of the parent was $1.65 billion, 2.4% lower from March 31, mainly due to the payment of final dividend for the last financial year and a decrease in the foreign currency translation reserve. This was partially offset by profits earned during the period.

The group’s total assets as at the same period stood at $2.01 billion, 3.6% lower from March 31.

The group has also since declared an interim dividend of 2.0 cents per share, which is expected to be paid on Nov 29.

Shares in SIAEC closed 4 cents higher, or 1.63% up, at $2.49 on Nov 5.

 

[Shion]

SIA Engineering’s full-year earnings up 43.8% y-o-y to $139.6 mil​

https://www.theedgesingapore.com/ca...eerings-full-year-earnings-438-y-o-y-1396-mil

SIA Engineering has reported full-year FY2025 earnings of $139.6 million, up 43.8% y-o-y. For the 2HFY2024/25, the company reported earnings of $70.8 million, up 87.3% y-o-y.

The group posted a revenue for the FY2025 of $1.245 billion, up 13.8% y-o-y, supported by stable growth in demand for aircraft maintenance, repair and overhaul (MRO) services.

The group’s expenditure for the full year also rose, but at a lower rate of 12.7%, with the increase mainly from higher manpower costs and material usage.

With revenue growth surpassing the increase in expenditure, the group’s operating performance improved $12.3 million y-o-y, from an operating profit of $2.3 million in the last financial year to an operating profit of $14.6 million in this financial year.

The group’s associated and joint venture companies saw a 17.4% y-o-y increase in share of profits to $118.6 million. Profits from the engine and component segment rose 15.8% to $113.1 million, while profits from the airframe and line maintenance segment increased 66.7% to $5.5 million.

In the last financial year, the group exited from the Pratt & Whitney PW1500G engine Risk-Revenue Sharing Programme (RRSP) and made a one-time write-off of $25.1 million in net assets.

Earnings per share for the year came in 44% y-o-y higher at 12.46 cents.

For the second half of the year, SIA Engineering reported an operating profit of $11.1 million, higher than the $8.9 million reported in the same period a year ago, and higher than the $7.6 million reported in the first half of the year.

The group saw a 15.3% y-o-y growth in revenue for the 2HFY2024/25, and expenditure increased at a slower pace of 13.8% y-o-y.

The board of SIA Engineering is recommending a final ordinary dividend of 7 cents per share for FY2024/2025.

As at March 31, total assets stood at $2.14 billion, a 2.5% y-o-y increase. The group’s cash balance as at end March was $663.4 million.

On business updates, the company says that healthy air travel demand fuelled the growth in demand for line maintenance services across its network for the year. In Singapore, 8% more flights were handled compared to the previous year, with flight handling volumes in the fourth quarter approaching pre-Covid levels and continuing their upward trend.

There was a steady stream of base maintenance checks in FY2024/25 but these checks required longer hangar stays, on average, compared to the previous year due to a higher proportion of legacy aircraft requiring more extensive work scopes, and in some cases, the delayed completion of the maintenance checks resulting from supply chain issues that impacted the availability of aircraft spare parts.

The group continues to expand its maintenance network with new stations in Indonesia and Japan, and looks to strengthen its presence in India and China.

It says the MRO industry continues to see sustained demand, and impact from higher tariffs on its business if any is currently limited. While there could be potential second-order, indirect effects, which are now difficult to assess, measures are already being put in place to mitigate potential impact of higher tariffs.

Shares in SIA Engineering closed 2 cents higher or 0.885% up at $2.28 on May 9.

 

[addict951]

SIAE vestors
How are we feeling???
New 3-yr high nao! 3.15!!!

 

[chiokcc]

After so many years ... at last it hit my buy price of $3.2x .... wait until my neck long long .....

 

[Guojing88]

After so many years ... at last it hit my buy price of $3.2x .... wait until my neck long long .....

I bought it at $4++

during those days, ST engineering was lower in price, but look at how they are now

 

[Overture1928]

I bought it at $4++

during those days, ST engineering was lower in price, but look at how they are now

Why didn’t average down

 

[Shion]

SIA Engineering reports 29.2% y-o-y higher net profit of $42.9 million for 1QFY2025​

https://www.theedgesingapore.com/ca...-y-o-y-higher-net-profit-429-million-1qfy2025

SIA Engineering Company (SIAEC) has reported a net profit of $42.9 million for the quarter ended June 30, 2025, 29.2% higher y-o-y.

The group reported a higher revenue for the 1QFY2025 of $358.4 million, up 33.4% y-o-y. Meanwhile, group expenditure rose 32% y-o-y to $353.3 million due to higher material and manpower costs.

As revenue grew at a faster pace than expenditure, SIAEC recorded an operating profit of $5.1 million, an improvement of $4.1 million y-o-y. Share of profits from associated and joint venture companies for the quarter was $37.8 million, a 35.0% y-o-y increase.

The engine and component segment and the airframe and line maintenance segment contributed to the improvement by $9.5 million and $0.3 million, respectively.

SIAEC says that it continued to see higher demand for its maintenance repair and overhaul (MRO) services for the1QFY2025, and flight volumes across its line maintenance network grew y-o-y, with 3.5% more flights handled in Singapore during the quarter compared to the same period last year.

At base maintenance in Singapore, aircraft maintenance check volumes remained healthy. Startup activities are progressing well at base maintenance Malaysia and the first of the two hangars in Subang is on track to come onstream by the end of this calendar year, with operations at its line maintenance joint venture in Cambodia expecting to commence in the second half of 2025.

The group renewed its comprehensive services agreements with Singapore Airlines and Scoot in April, which are valued at $1.3 billion and over a term of two years. Its 55% owned subsidiary, JADE Engineering, secured a contract for Boeing 777 cabin retrofit services.

Total assets as at June 30, 2025 stood at $2.15 million, 0.3% higher than March 31, 2025.

Shares in SIA Engineering Company closed 3 cents higher or 0.904% up at $3.35 on July 22.

 

[Euqorab]

Huat all the way!

 

[chiokcc]

Sold mine .... will look at it other times ....