VIENNA (Reuters) – Plane parts maker FACC’s operating profit fell 6% in the second quarter as it produced fewer components for the Airbus A380 and Boeing 737NG jets being phased out and start-up costs for new cabin interiors bit.
Chinese-owned FACC makes components for wings, tail assemblies and fuselages as well as engines and cabin interiors for all major planemakers.
Year - Aerospace - Industry - Headlines - Safety
So far 2019 has been a slow year for the commercial aerospace industry, beset by negative headlines on safety following two deadly plane crashes and the U.S.-China trade war.
FACC said in its half annual report on Tuesday that while production rates of all major aircraft types had stabilized at a high level, no significant increases were expected for 2020.
Growth - Aviation - Industry - Run - Flattening
“We expect sustained growth in the aviation industry in the long run, but are currently observing a slight flattening of the growth curve,” Chief Executive Robert Machtlinger said. “This trend is reflected in our sales development, which shows a smaller increase than planned.”
However, operational measures to reduce costs were progressing and would lead to stable profitability from the second half of 2020, he said.
Shares - % - Trading
Its shares fell 2.6% in early trading.
Owned by China’s Aviation Industry Corporation (AVIC) , the group reported earnings before...
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