The Hong Kong Aircraft Engineering Co. (HAECO Group) reported a 2015 1H net profit of HK$254 million ($33 million). This was down 10.2% from HK$283 million year-over-year. Revenue increased 7.4% to HK$5.7 million.
The directors declared a first interim dividend of HK$0.60 per share for the period ended June 30. Performance for line maintenance services of HAECO in Hong Kong was good, as more extensive work scopes were conducted per aircraft, which generated higher workload and revenue for the first half.
The company completed more airframe services work increased capacity as the workforce grew. Component services in Hong Kong were adversely affected by the costs of capability development.
The profits of Hong Kong Aero Engine Services decreased as fewer engines were overhauled, reflecting the retirement of aircraft operating Trent 500s and reduction in the required frequency of scheduled maintenance of Trent 700s.
HAECO USA Holdings recorded a higher loss in the first half of 2015, reflecting lower airframe results. The group continued to invest in facilities and technical capabilities. Capital expenditure during the first half of 2015 was HK$349 million.