SIA Engineering FY2025-26 revenue at S$1.42 billion, profit at S$168.9 million on robust MRO demand

SGX Filings
May 11

SIA Engineering Group booked a net profit of S$168.9 million for the year ended 31 March 2026, up 21% year-on-year, as a rebound in air-travel activity fuelled demand for maintenance, repair and overhaul (MRO) services.

Group revenue climbed 14.3% YoY to S$1.42 billion, while basic earnings per share increased to 15.09 Singapore cents from 12.46 cents a year earlier. The board proposed a final ordinary dividend of 8.5 cents per share, payable on 14 August 2026 subject to shareholder approval at the 23 July annual general meeting; together with the 2.5-cent interim distribution, the full-year payout will rise to 11.0 cents from 9.0 cents in FY2024-25.

Growth was driven by higher labour rates, increased flight volumes and heavier aircraft-check workloads, the company said. Operating profit more than doubled to S$29.4 million, while contributions from associated and joint-venture entities rose 22.5% to S$145.3 million. Within that, engine and component associates delivered S$139.2 million in profit, up 23.1% YoY, and airframe and line-maintenance ventures added S$6.1 million, a 10.9% increase.

Cost pressures persisted, with total expenditure up 13.2% on higher manpower, material and IT spending, as well as a S$4.0 million impairment tied to an underperforming long-term contract. The group ended the year with S$564.8 million in cash and a net asset value of 156.9 cents per share.

During the year SIA Engineering expanded its line-maintenance network to Cambodia’s Techo International Airport and to Manila, commenced base-maintenance operations at its Malaysian joint venture, and agreed to take a 30% stake in a Fujian-based MRO partnership in China. Capacity additions are also under way at engine, landing-gear and component joint ventures, while the company is exploring a potential CFM LEAP engine facility with Safran in Singapore.

Management noted that escalating Middle-East tensions, supply-chain disruptions and inflation could temper near-term growth, but said MRO demand remains resilient. The group intends to keep investing in Asia-Pacific expansion, next-generation aircraft capabilities and digital tools, with an emphasis on disciplined cost control and operational resilience.

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