Dubai: Aircraft maintenance and leasing company, Dubai Aerospace Enterprise Ltd, or DAE, has reported a sevenfold rise in full-year net income for 2010, excluding non-recurring items, to Dh 142.6 million ($38.8 million). Revenues increased to Dh5.92 billion ($1.6 billion) last year from Dh5.81 billion ($1.58 billion) in 2009.
''I am pleased with the way in which DAE responded to market conditions during the downturn to emerge in 2010 as a profitable company,'' Shaikh Ahmed bin Saeed Al Maktoum, DAE chairman, said in an email statement.
Dubai Aerospace Enterprise is a globally recognised aerospace company specialising in maintenance, repair and overhaul (MRO) services, aircraft completions and aircraft leasing. The company is headquartered in Dubai and operates in four continents and employs over 4,000 people.
''The investments we have made in our core businesses in the last few years will position the company well to deliver superior performance in the future,'' DAE managing director Khalifa H al Daboos, said.
Launched in February 2006, DAE offers capabilities across the aviation spectrum and is also positioning Dubai as a globally renowned aerospace centre and aviation hub.
Industry observers say DAE's more down to earth approach now has helped them grow, particularly in the wake of a large number of airplane cancellations. Cancelling orders has helped free up cash and other resources which has had a positive impact on their balance sheet and other portfolio assets.
Observers feel that DAE may well capture a good chunk of the emerging MRO business in the Gulf region.
But the outlook for the aircraft leasing business is not very rosy as the leasing business has become very competitive and there is a clear danger that DAE may not be able to position all its jets with airlines. It is likely that the DAE may further cancel orders for jets.