Broker Name: CGS International
Date of Report: February 20, 2026
Excerpt from CGS International report.
Report Summary
- SIA Engineering’s 9MFY3/26 net profit was broadly in line with consensus, driven by higher associate and JV profits, but was offset by gestation losses from new facilities in Malaysia and Cambodia.
- The company is expanding its presence in Asia, increasing Maintenance, Repair and Overhaul (MRO) capacity, and entering into new partnerships, particularly for next-generation aircraft engines and high-value component repairs.
- Downside risks include project execution delays and larger-than-expected start-up losses from expansion projects, but overall outlook remains positive with a 12% upside to the target price and an “Add” recommendation.
- SIA Engineering has improved its ESG score, particularly in environmental and social areas, through initiatives like solar panel installation and improved workplace safety, with a target to reduce carbon emissions intensity by 2030.
- Financially, the company expects steady growth in revenue, profit, and dividends through FY28, supported by ongoing expansion and operational improvements.
Above is an excerpt from a report by CGS International. Clients of CGS International can be the first to access the full report from the CGS International website : https://www.cgs-cimb.com
