Mitsubishi Heavy Industries’ (MHI) aero engines business took a hit in its full-year results from the ongoing technical issues surrounding the Pratt & Whitney PW1100G engine, in which it is a key partner.
The Japanese company says the aero engines business, which is part of its energy systems business unit, saw a “decrease” in operating profit for the year ended 31 March, despite a spike in revenue and order intake.
While it did not disclose what the aero engines unit’s annual profit was, the energy systems division, which also includes gas turbine, nuclear and steam power businesses, saw a slight uptick in annual profit.
MHI’s aero engines unit saw a 24% jump in revenue to Y157 billion ($1 billion), attributed to “market demand recovery”. Similarly, its orders intake for the financial year grew by about 29% year on year.
Separately, MHI’s aircraft defence and space unit recorded a 82% jump in annual profit to Y72.6 billion, on the back of a sharp rise in defence and space revenues.
MHI also notes that the defence and space business saw its order intake for the financial year triple to Y1.8 trillion, which it attributes to the “booking of orders for several large projects, including those related to stand-off defence capabilities”.
The aerostructures business also saw an uptick in revenue and orders, in line with a rise in unit deliveries. During the financial year, the business delivered 30 Boeing 777 shipsets, similar to the previous year. It also delivered six 777X shipsets, up from one in the year-ago period, alongside 43 787 units, nearly twice the number in the previous financial year.
As a group, MHI recorded a full-year operating profit of Y282 billion, up 46% year on year. Order intake grew 48%, while group revenue rose by nearly 11%.
