MTU Aero Engines shows strong operating performance in the first quarter
MTU Aero Engines Holding AG improved its revenues in the first quarter 2011 by 4 % to € 664.8 million. The company's operating profit rose by 17 % to € 80.5 million.
The operating margin was up to 12.1 % compared with 10.7 % in the first three months of 2010. At € 40.4 million, net income remained stable (1-3/2010: € 40.1 million).
Referring to the forecast for the financial year 2011, Egon Behle, CEO of MTU Aero Engines Holding AG, commented: "The growth in operating profit exceeds our forecast for the year as a whole, while net income has remained stable as expected. We expect the revenue growth rate to increase in the course of the year, as the sales mix variance continues to evolve. I thus remain optimistic that we will reach our targets and reaffirm our full-year forecast for 2011."
The increase in revenues compared with the first quarter 2010 is mainly attributable to strong growth in the commercial engine business, including spare parts sales. MTU's revenues in the commercial engine business increased by 17 % to € 309.6 million (1-3/2010: € 265.3 million), despite the delay in revenues from our series production business.
As expected, MTU's military engine revenues, which amounted to € 111.4 million compared with € 136.1 million in the first quarter 2010, reflect the impact of the defense budget cuts. The main source of revenues was the EJ200 Eurofighter engine.
Revenues in the commercial maintenance business increased by 3 % to € 251.6 million (1-3/2010: € 245.0 million), with the biggest contribution coming from the V2500 engine for the Airbus A320 family.
MTU's order backlog at March 31, 2011 stood at € 4,323.5 million (December 31, 2010: € 4,506.7 million) and was equivalent to 1.6 times annual revenues in 2010. The majority of new orders were for the V2500 engine and the GEnx program. The most recently announced new orders for geared turbofan engines for the A320neo have not yet been added to the order backlog.
Earnings in the MRO segment improved substantially, with EBIT rising steeply by 44 % to € 20.5 million (1-3/2010: € 14.2 million). The EBIT margin increased by 2.3 percentage points to 8.1 %. Operating profit in the OEM segment also improved significantly, growing by 15 % to € 60.5 million (1-3/2010: € 52.8 million). The EBIT margin improved to 14.4 %.
MTU reaffirms its forecast for the financial year 2011. Revenues are expected to rise by 7-8 %, while the company expects both EBIT adjusted (2010: € 311.3 million) and net income adjusted (2010: € 182.3 million) to remain stable.