Asia Digital Engineering Doubling MRO Hangar Lines To 40 Within Three To Five Years 

KUALA LUMPUR, Sept 10 (Bernama) -- Asia Digital Engineering Sdn Bhd (ADE) is targeting to double its maintenance, repair and overhaul (MRO) hangar lines to 40 within the next three to five years. 

Chief executive officer Mahesh Kumar said ADE, the MRO arm of Capital A, is operating 16 hangar lines and plans to add four more by year-end, with construction starting at the end of this year and completion expected by 2027, before expanding with an additional 20 lines to reach a total of 40.

Mahesh said currently, 90 per cent of ADE’s revenue comes from AirAsia, with only 10 per cent from non-AirAsia clients. 

“Right now, we are doing about 90 per cent AirAsia and 10 per cent non-AirAsia. Even for AirAsia, we are only capturing about 70 per cent of its business. So, 70 per cent is a decent number for us to maintain while keeping a 90-10 ratio.

“When we reach 100 per cent, probably in the next two years, that’s the target. But at the same time, AirAsia Group is already operating about 250 aircraft and growing to 300 planes in the next five years, so I need to keep up with their speed as well,” he told a press conference after the signing ceremony between ADE, Air France and Air France Industries KLM Engineering & Maintenance for two major long-term agreements.

ADE will provide Air France with heavy maintenance and aircraft modification services.

Meanwhile, Air France Industries KLM Engineering & Maintenance will provide maintenance service to AirAsia Group’s new A321neo fleet.

Mahesh said ADE’s ultimate target is a 70:30 ratio, with 70 per cent AirAsia and 30 per cent non-AirAsia. 

“But the low-hanging fruit is still capturing AirAsia’s business first,” he said.

Mahesh added that ADE is also working with original equipment manufacturers to establish component workshops in Malaysia.

-- BERNAMA