EVA Airways’ aerospace unit posted a 20% drop in third-quarter profit after its subsidiary halted engine deliveries due to non-destructive testing issues.
Evergreen Aviation Technologies Corp. reported net income of NT$402 million ($12.7 million) in the quarter, while revenue edged up 2.24% to NT$4.03 billion. Earnings per share came in at NT$1.07.
The company’s performance will remain under pressure through the fourth quarter until its engine testing operations return to normal next year, according to Chief Executive Officer Lee Wei-chang.
The maintenance arm has been expanding its European footprint, securing new contracts with British Airways, Austrian Airlines and other carriers. Two Asian clients are set to begin A350 aircraft maintenance services in 2024.
The Taiwan-based firm has implemented price hikes of 3-15% this year to offset rising costs and inflation. Boeing’s recent labor strikes, which delayed new aircraft deliveries, have actually benefited the company by increasing demand for aging aircraft maintenance and cabin retrofitting services.
The company is also diversifying into satellite, drone, and semiconductor businesses to broaden its revenue streams.
