SIA Engineering provided a 1QFY26 business update; results were largely in-line with our expectations.
Revenue for the quarter increased 33.4% y-o-y to S$358.4m as MRO demand remained robust. The line maintenance unit handled 39.5k flights in Singapore during the quarter, marking an increase of 3.5% y-o-y.
Net profit after tax grew 29.2% y-o-y; results met our expectations.
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Expenses grew at a slightly slower 32% y-o-y to S$353.3m on higher material and manpower costs; as a result, operating profit grew S$4.1m y-o-y to S$5.1m.
Together with a 35% y-o-y increase in share of profits from associates and joint venture (JV) companies to S$37.8m, SIA Engineering reported a net profit after tax of S$42.9m, which is 29.2% higher y-o-y.
Is SIAEC a potential beneficiary of the S$5b Equity Market Development Program (EQDP)?
- Read this at SGinvestors.io -
SIA Engineering provided a 1QFY26 business update; results were largely in-line with our expectations.
Revenue for the quarter increased 33.4% y-o-y to S$358.4m as MRO demand remained robust. The line maintenance unit handled 39.5k flights in Singapore during the quarter, marking an increase of 3.5% y-o-y.
Net profit after tax grew 29.2% y-o-y; results met our expectations.
Meanwhile, its base maintenance unit performed 147 light checks and 23 heavy checks at the Singapore base, versus 171 and 18 in 1QFY25, respectively.
Expenses grew at a slightly slower 32% y-o-y to S$353.3m on higher material and manpower costs; as a result, operating profit grew S$4.1m y-o-y to S$5.1m.
Together with a 35% y-o-y increase in share of profits from associates and joint venture (JV) companies to S$37.8m, SIA Engineering reported a net profit after tax of S$42.9m, which is 29.2% higher y-o-y.
Is SIAEC a potential beneficiary of the S$5b Equity Market Development Program (EQDP)?
Is SIA Engineering a potential beneficiary of the S$5b Equity Market Development Program (EQDP), and could this drive the next leg of re-rating? We think this company is a wildcard.
Read more at SGinvestors.io.
Above is an excerpt from a report by OCBC Investment Research. Clients of OCBC Securities may be the first to access the full PDF report @ https://www.iocbc.com/.
