ST Engineering reported a net profit of S$402.8 million ($314.1 million) in the first half of the year, up 19.7% compared to the first half of 2024. Profit before tax was S$500.4 million ($390.4 million), up 20.2%.
Revenues climbed 7.2% to S$5.9bn ($4.6bn) and its EBITDA climbed 10.8% to S$871.3 million ($679.2 million).
The company's commercial aerospace revenues grew 5% to S$2.2bn ($1.7bn), driven by higher revenues from engine MRO and nacelles, partially offset by lower PTF revenue. The segment's EBIT was S$223 million ($173.9 million), up 18%, supported by the higher revenues, better margin mix, and cost savings.
“Our recent divestments are in line with our portfolio rationalisation strategy to exit non-core business and recycle capital," said ST Engineering group president and CEO Vincent Chang. "We remain steadfast in strengthening our core businesses. Our strong order book continues to provide revenue visibility for the group.”
The overall impact on the group's first half results was “immaterial” after mitigation measures were implemented. In its commercial aerospace segment, S$34 million revenue ($26.5 million), over 2.5 months in the second quarter, was deferred to the second half of 2025. This was lower than previously anticipated revenue deferral impact of up to S$40 million ($31.2 million) per month.