SIA Engineering’s Q1 FY2025 profit jumps 29.2% to S$42.9M amid rising MRO demand and flight volumes

SINGAPORE: SIA Engineering Company (SIAEC) reported a 29.2% year-on-year (YoY) increase in net profit to S$42.9 million for the quarter ended June 30, 2025, thanks to continued higher demand for the company’s maintenance, repair and overhaul (MRO) services and flight volumes in its line maintenance network.

The company noted that it handled 3.5% more flights in Singapore during the quarter compared to a year ago.

The Edge Singapore reported revenue for the first quarter of FY2025 was at S$358.4 million, up 33.4% from the same period last year, outpacing the group’s total expenditure, which climbed 32% YoY to S$353.3 million amid higher material and manpower costs. As a result, SIAEC achieved an operating profit of S$5.1 million—S$4.1 million more than the previous year.

The group’s share of profit from its associated and joint venture companies rose to S$37.8 million for the quarter, marking a 35% increase compared to the same period last year. The engine and component segment added S$9.5 million to profits, while the airframe and line maintenance segment contributed S$0.3 million.

The company said aircraft maintenance check volumes at its Base Maintenance in Singapore remained healthy, while setup efforts in Malaysia are on track, with the first of the two Subang hangars expected to be ready by year-end. Its new line maintenance joint venture in Cambodia is also slated to begin operations in the second half of the year.

In April, SIAEC renewed its two-year term Comprehensive Services Agreements with Singapore Airlines and Scoot valued at S$1.3 billion. Its 55%-owned subsidiary, JADE Engineering, also secured a contract for Boeing 777 cabin retrofit services.

As of June 30, 2025, the group’s total assets stood at S$2.15 billion, marking a slight increase of 0.3% from March 31, 2025.

Looking ahead, the company said in its press release on Tuesday (July 22): “The sustained growth in passenger traffic, especially in Asia-Pacific, is expected to continue to drive MRO demand. However, we remain vigilant to the challenges arising from the broader macroeconomic environment, such as heightened geopolitical tensions, tariff and trade policy developments, and ongoing supply chain issues.” /TISG

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