SINGAPORE—SIA Engineering Company (SIAEC) has reported a decrease in the number of aircraft it is welcoming to its shop for maintenance, saying supply chain constraints and visits from older aircraft have lengthened hangar time.
The MRO affiliate of Singapore Airlines posted an 11.5% year-on-year increase in line maintenance at Changi Airport for the first quarter of its 2024/25 fiscal year.
SIAEC said heavy checks were down from 23 to 18 year-on-year while light checks dropped slightly, from 173 to 171. The company says it performed more checks on older aircraft that required more work and that longer lead times to secure spare parts due to supply chain constraints also stretched the duration of certain checks.
“Demand for MRO services continues to look healthy as the level of flight activity remains on an upward trajectory,” SIAEC says in a statement. “On the other hand, concerns over a tight labor market, supply chain issues and elevated costs still persist in the industry.”
SIAEC reported a 2.6% year-on-year increase in revenue to S$269 million ($201 million), while costs increased 2.4% to S$268 million. For the first quarter ending June 30, the company posted a net profit of S$33 million, up 22.9% year-on-year.
The quarter also saw the incorporation of the company’s Malaysian joint venture with Eaton, which was incorporated as Eaton Aerospace Component Services Asia on June 7. SIAEC hold a 49% stake in the operation.
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