Lufthansa Technik, a global aircraft maintenance, repair, and overhaul (MRO) company, has revealed plans to invest over EUR 1 billion in new projects before the end of the decade.
The move is part of its “Ambition 2030” corporate strategy, with investment projects spanning all three world regions: Americas, APAC, and EMEA.
Dr. William Willms, Chief Financial Officer, emphasised the importance of these investments in maintaining Lufthansa Technik’s leading market position.
“Our plans substantiate our aim to expand our leading market position,” he said.
Despite industry challenges like supply chain issues, the company aims to achieve an Adjusted EBIT in 2024 comparable to the previous year’s record of EUR 628 million.
The company has already achieved an Adjusted EBIT of 486 million euros in the first three quarters of 2024, reflecting a 5.9 percent growth compared to the same period last year.
Lufthansa Technik has demonstrated strong financial performance, with revenue reaching EUR 5.5 billion in the first nine months of 2024, a 13.9 percent increase. The company expects to surpass the EUR 7 billion revenue mark by the year’s end.
In 2024, Lufthansa Technik secured 523 new contracts, which it attributes to agreements in core segments like engine and component services, as well as innovations in digitalisation and sustainability.
A Lufthansa Technik infographic showing its latest figures
It says strategic partnerships have enabled the implementation of technologies like AeroSHARK, a fuel-saving surface film, in airlines beyond the Lufthansa Group.
The company’s Digital Tech Ops Ecosystem, a suite of digital solutions, has gained traction, adding value to the servicing of aircraft since its 2023 launch.
Lufthansa Technik is also the first Boeing-licensed service centre authorised to modify cabin interiors on 787 Dreamliner aircraft.
The investment plans will see the global MRO provider undertaking significant infrastructure development projects, including a new hydraulics workshop in Hamburg and plans for two additional large workshop buildings at its headquarters.
Expansion plans extend beyond Hamburg, with a new plant for engine parts and aircraft component overhaul planned for southwestern Europe.
Further investments outside Europe are also in progress, with details expected to be announced soon.
To bolster its portfolio and supply chain, Lufthansa Technik recently acquired an 80 percent stake in ETP Thermal Dynamics, a US-based specialist in aircraft heat exchangers and coolers.
The company’s workforce has grown significantly, with 24,114 employees worldwide as of September 2024, representing an increase of approximately 2,000 employees year-on-year.
BizJet International, a Lufthansa Technik US subsidiary, recently rebranded as Lufthansa Technik Engine Services.
