3 biggest feats of ST Engineering's aerospace arm this year

Deals and acquisitions fuel growth.

According to DBS, ST Engineering closed the quarter with S$12.7bn orderbook. YTD in FY13, STE has announced close to S$2.65bn worth of new contracts. On the Aerospace front, STE continued to expand capabilities in Aerospace with three new initiatives.

These are i) long-term agreements with UTC Aerospace Systems to provide B787 component MRO, ii) enhancing B757 PTF solutions, and iii) acquisition of Turbo Mach to expand suite of cabin interior services. Shiprepair operations in the US are also expected to start in 4Q.

Here's more from DBS:

Overall PBT margins improved sequentially to 11.9% in 2Q13 from 10.5% in 1Q13, driven by improvements in all segments.

Aerospace recorded healthy PBT margins of 16.3%, driven by higher airframe revenue and better MRO rates achieved during the quarter, especially at the US operations, according to management.