Firm in po­si­tion to be­come bil­lion-ring­git com­pany within 2 years, says group COO

New Straits Times - - Business -

ME­LAKA said by 2035, there would be an es­ti­mated 33,070 plane or­ders val­ued at US$5.2 tril­lion (RM22.57 tril­lion), based on a study by Air­bus.

He said or­ders for sec­ond-tier CTRM prod­ucts from first-tier com­po­nent mak­ers like Spirit and UTC Aero­space Sys­tems, both based in the United States, had thick­ened its or­der book to the tune of RM11.9 bil­lion, and this would last up to 2035.

Air­bus cur­rently ac­counts for 70 per cent of CTRM’s busi­ness at present (via or­ders com­ing in from the first-tier Air­bus sup­pli­ers, as well as a small por­tion of di­rect or­ders from Air­bus it­self).

Sham­sud­din said at a brief­ing the com­pany reg­is­tered a rev­enue of RM855 mil­lion last year.

The brief­ing was held in con­junc­tion with the an­nounce­ment of the com­pany win­ning the “Best Im­prover Award 2017” from Air­bus at the Sup­ply Chain & Qual­ity Im­prove­ment pro­gramme in France last month,

He also told the me­dia at CTRM’s plant in Batu Beren­dam, here, yes­ter­day, that this year, the com­pany, a unit of DRBHICOM Group of Com­pa­nies, was spend­ing RM93.4 mil­lion to con­struct a sixth build­ing in Me­laka, sched­uled for com­ple­tion in Fe­bru­ary next year.

CTRM plans to be­come an Air­bus-cer­ti­fied Full In­de­pen­dent Lab in 14 months.

The news of it be­com­ing a Full In­de­pen­dent Lab, said Sham­sud­din, had al­ready re­sulted in many en­quiries from global avi­a­tion and aero­space in­dus­try play­ers for the sup­ply of parts.

The com­pany’s to­tal as­sets as at last year stood at RM842 mil­lion.

At the same event, Air­bus is­sued a state­ment say­ing the value of work un­der­taken in Malaysia was set to in­crease by 25 per cent over the next five years, grow­ing from US$400 mil­lion at present to US$500 mil­lion by 2021.

“The in­crease will come on the back of higher pro­duc­tion rates for the air­craft types worked on by sup­pli­ers like CTRM, Spirit Aero­space and Ce­lestica, and a growth in the foot­print of lo­cal joint ven­tures, in­clud­ing main­te­nance, re­pair, and over­haul firm Sepang Air­craft En­gi­neer­ing,” said the Euro­pean air­craft maker.

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