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Profits tumble 80pc at Covid-hit Dublin Aerospace

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Numbers employed at Dublin Aerospace increased from 377 to 392 as staff costs totalled €15.8m

Numbers employed at Dublin Aerospace increased from 377 to 392 as staff costs totalled €15.8m

Numbers employed at Dublin Aerospace increased from 377 to 392 as staff costs totalled €15.8m

Operating profits at the expanding Dublin Aerospace tumbled by 80pc to €160,924 last year.

New accounts show the aircraft maintenance firm recorded the sharp drop in operating profits as revenues declined by 14 pc, from €42.8m to €36.8m, in the 12 months to the end of last September.

The directors state that given the significant challenges encountered in the aviation industry since the onset of Covid-19, they are satisfied with the performance, albeit the business did not reach budgeted revenue targets last year.

The business “has continued to earn profits subsequent to the year end based on unaudited management accounts”, the directors state 

The business did record pre-tax profits of €6.6m last year though this is skewed by ‘other operating income’ of €6.59m mainly made up of Covid-19 wage subsidy support payments appearing in the business’s profit and loss account.

During the year, the company’s new 70,000 sqft landing gear facility was completed, doubling the company’s capacity to 350 ‘landing gear legs’ per annum.

Dublin Aerospace subsidiary Exeter Aerospace obtained regulatory approval to repair a range of aircraft “and successfully commenced trading”.

The firm also linked up with Honeywell International Link to become a Channel Partner and the directors state that “all three major developments further position the business for the future”.

Throughout the pandemic, Dublin Aerospace retained all its staff, without lay-offs, pay-cuts or redundancies to allow the firm "respond quickly when our customers resumed operations”.

The directors state that not only did the Covid-19 wage subsidy  support jobs and wages, “they also gave us the confidence to recruit 45 more aircraft engineering apprentices during the pandemic to cater for our future catering needs”.

The profit last year takes account of non-cash depreciation costs of €1.2m and lease costs of €1.62m.

Numbers employed at Dublin Aerospace increased from 377 to 392 as staff costs totalled €15.8m . The company has 73  apprentices . Pay to key management personnel last year totalled €2.24m –  down from the €2.6m paid out in 2020.

At the end of last September, the company had shareholder funds of €33.28m that included accumulated profits of €26.69m. The company’s cash funds decreased sharply from €9.07m to €2.67m.

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