SIA Engineering (SIAEC) has reported a sharp decline of 28% in operating profits for its 2018 full year financial results.
The group posted S$56.8 million (approximately $41.6 million) for the year ending 31 March 2019.
SIAEC's revenue for the year also dropped 6.8% to S$1.02 billion, a decrease of S$74.0 million - which it says is due to a "decline in airframe and fleet management revenue".
Net profit also took a hit, falling 14% to S$161 million.
Meanwhile, the group's expenses fell 5.1% to S$964 million, which it says is led by a "reduction in material and subcontracting costs arising from the lower workload".
In its outlook, SIAEC seems to reference the global grounding of the Boeing 737 Max fleet impacting its performance.
The firm said: "The MRO operating environment remains challenging. Added to that, revenue will be impacted by the unforeseen grounding of customers’ aircraft.
"Our Transformation journey is gaining traction with some initiatives generating productivity gains and creating capacity for growth. More of such initiatives will be progressively implemented over the next three years. We will also continue with our efforts to innovate and adopt technologies to complement these initiatives.