SIA Engineering Company says it recorded a profit attributable to shareholders of the company of $70.8 million, an increase of $25.7 million or 57.0% from the same quarter last year. The result was in line with the recovery in the aviation industry, says SIA Engineering.

Revenue rose $44.1 million or 18.1% to $288.3 million over the same period last year. This was primarily contributed by airframe maintenance and component overhaul work and fleet management programme revenue. Expenditure increased by a lower $20.2 million or 8.7% to $252.1 million mainly reflecting higher material and staff costs to support the increase in maintenance, repair and overhaul work.

The resulting operating profit of $36.2 million was $23.9 million higher compared to the first quarter last year.

Contributions from SIA Engineering’s associated and joint venture companies also increased $3.6 million or 10.1% to $39.2 million.

Basic earnings per share was 6.54 cents for the quarter ended 30 June 2010, an increase of 2.36 cents per share over the same period last year.

As at 30 June 2010, equity attributable to shareholders of the company amounted to $1,340.5 million, $75.7 million or 6.0% higher than at 31 March 2010.

Total assets increased by $105.3 million or 6.7% to $1,666.3 million. Net asset value per share of 123.8 cents was 6.8 cents or 5.8% higher than at 31 March 2010. The total number of shares issued was 1,083.2 million as at 30 June 2010.

The company says it has no borrowings and the cash balance of the group as at 30 June 2010 was $531.0 million, an increase of $105.2 million or 24.7% compared to 31 March 2010.

With the recovery of the aviation industry, the growth of traffic at Changi and the increased utilisation of aircraft by our customers are expected to have a favourable impact on the Company’s maintenance, repair and overhaul (MRO) business, says SIA Engineering.

The company’s joint ventures have also started to recover, albeit at a more gradual pace, the company added.