SIA Engineering's fiscal Q3 net profit falls 11%

Singapore
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SIA Engineering posted an 11% fall in net profit in the fiscal third quarter due to a drop in airframe maintenance and component overhaul work.

The Singapore company says for the three months ending 31 December, net profit dropped 11% to S$56 million ($40 million) from S$63 million and revenue dropped 11% to S$242 million.

Revenues fell "due to a drop in airframe and component overhaul work against the backdrop of a continued reduction in aircraft utilization," it says.

"Revenue for the same period last year also benefited from the turnkey project to redesign, retrofit and overhaul a Boeing 747-400," it adds.

SIA Engineering says it responded by reducing expenses 9% to S$220 million through "reductions in staff and subcontract costs".

For the nine months ending 31 December, net profit is down 17% year-on-year to S$162 million.