Profits soar 20pc at Irish Lufthansa firms
Pre-tax profits at the Lufthansa group of companies in Ireland rose by 20pc to $48.6m (€40.8m) last year.
New group accounts filed by the German-owned Lufthansa Technik Airmotive Holdings show that revenues declined by 4.4pc from $196m to $187.47m.
The directors state that despite the decline in revenues, the business restructuring programme carried out in early 2016 helped to reduce costs and, together with a reduction in operating expenses, helped to mitigate the impact of a reduced turnover.
The directors state that management continues to focus on reducing the cost base of the company to allow it compete for maintenance contracts with its competitors from lower-cost regions.
The directors' report states that the increase in profits is attributed to the Engine and Aircraft Lease Component segment and includes the impact of some one-off effects related to impairment and lease asset returns.
The directors state that the group's engine and leasing segment continued to grow its revenues in 2016 with an increase in core revenues from lease operations of 6pc and generated an increase in profits of 20pc.
At the end of last year, the company had shareholder funds of $397.99m that included accumulated profits of $231m.
Numbers employed last year reduced from 684 to 662 with staff costs decreasing from $42m to $39.49m.