MTU Aero Engines AG generated revenues of €1,016.4m in the first quarter of 2018, an increase of 5% compared with the same period of the previous year (1-3/2017: €971.9m).
The group’s operating profit rose by 11% from €157.9m to €175.1m, pushing up the EBIT margin from 16.2% to 17.2%. Earnings after tax increased in line with operating profit, growing by 10% from €111.7m in the first quarter of 2017 to €123.3m. MTU applied the international financial reporting standard IFRS 15 for the first time in its financial statements for the first quarter of 2018.
The highest first-quarter revenue growth rate was reported by MTU’s commercial engine business, where revenues increased by 11% to €335.9m (1-3/2017: €303.9m). The engines that generated the greatest share of these revenues were the V2500 for the A320 and the GEnx for the Boeing 787 and 747-8.
Revenues in the commercial maintenance business increased by 5% to €618.2m (1-3/2017: €588.4m). “This reflects exchange-rate effects,” commented CFO Peter Kameritsch. “In U.S.-dollar terms, these revenues increased by 20%, thus demonstrating the continuing strong demand for our MRO services.” The main source of revenues in the commercial maintenance business was the V2500.
Revenues in the military engine business amounted to €91.3m, which is 10% lower than first-quarter revenues in 2017 (€101.0m). The EJ200 Eurofighter engine was the main revenue driver. “Over the full year, we expect revenues in the military business to remain stable,” said Kameritsch.
MTU’s order backlog amounted to €15.3bn at the end of March 2018, a new record level (December 31, 2017: €14.9bn). Most of these orders relate to the V2500 and to the Geared Turbofan™ engines of the PW1000G family, foremost among them the PW1100G-JM for the A320neo.
