ST Aerospace wins S$510m worth of contracts in Q4 2017

SINGAPORE Technologies (ST) Engineering's aerospace arm, ST Aerospace, secured new contracts worth S$510 million in the fourth quarter last year, totalling S$2.8 billion for 2017. These contracts are for services ranging from airframe maintenance and landing gears repair to pilot training.

The airframe maintenance contracts include multi-year agreements to provide checks for Boeing aircraft including the 777 and 747, as well as support for other platforms, ST Engineering said in a press statement on Wednesday.

Meanwhile, other maintenance, repair & overhaul (MRO) contracts clinched in Q4 2017 include agreements for ATR72-500 shipsets; landing gear repair for military planes; extension of engine wash services for existing customers; as well as Boeing 787 component support over 15 years for Gulf Air, which was announced in November.

In the non-MRO related segment, contracts won during the quarter include a three-year pilot training agreement from a new customer.

ST Engineering added that the above developments are not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year.

The counter closed at S$3.31 apiece on Wednesday, unchanged from the previous day's close.