SINGAPORE (May 15): SIA Engineering Company (SIAEC) reported 4Q18 earnings increased 19.8% to $55.0 million, compared to $45.9 million in 4Q17.
This brings FY18 earnings to $184.1 million, 44.6% lower than $332.4 million in FY17, as FY17’s profit included a one-off divestment gain. Excluding the impact of the divestment, the group’s FY18 earnings would have been 7% higher y-o-y.
Revenue for the fourth quarter ended March was 6.4% lower at $276.4 million from $295.4 million, mainly due to lower airframe and component overhaul and fleet management revenue.
Expenditure fell 5.8% y-o-y to $255.8 million, due primarily to decrease in staff and subcontract costs.
The resulting operating profit of $20.6 million was 13.8% lower y-o-y compared to the same quarter last year.
Share of profits of associated and joint venture companies decreased by 7.4% y-o-y to $25.0 million, mainly due to $1.4 million lower share of profits from the engine and component centres.
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The board is recommending a final dividend of 9 cents per share for FY18, bringing the group’s total dividend for FY18 to 13 cents.
To strengthen its position as a leading MRO, the group will be embarking on a transformation journey to enhance productivity, streamline processes and increase competitiveness.
Meanwhile, the group will continue to invest in innovation and technology to stay at the forefront of the industry.
Shares in SIAEC closed 2 cents higher at $3.33 on Tuesday.
