News
Lufthansa Technik reports profit hike in MRO market that is fast changing
March 24th 2016
Hamburg headquartered Lufthansa Technik AG and its subsidiaries reported a 20% profit increase, to 454 million Euros (US$507.43 million), for its latest fiscal year. Read More » “Lufthansa Technik has a solid financial foundation. But we have benefited as well from effects which were out of our control, such as the dollar rate. It will therefore be a challenge to continue delivering such results,” the MRO’s chief financial officer, Constanze Hufenbecher, said.
In the Asia-Pacific, Lufthansa Technik Philppines has bought additional hangar space for the overhaul of the A380 and the B777 on line. “The market is growing, especially in Asia and South America. Our customers expect us to be close to them. We will therefore continue to expand our international presence, to take advantage of the expected growth in international aviation,” chairman of the executive board of Lufthansa Technik AG, Dr. Johannes Bussmann said.
“The market for maintenance and servicing will grow further, but it is also going to change significantly,” Bussmann said. “We are seeing a powerful dynamic in the aviation industry. More new aircraft models with new technologies, materials, components and engines are entering the operation than has been the case for decades.
“At the same time, new competitors are aggressively entering the market. This is a dynamic opportunity for us, but it also demands a considerable willingness to change if we are to remain on a profitable growth path.” For 2016, Lufthansa Technik expects turnover growth to be accompanied by a significant decline in profit.
