Sanad growth soars in H1, expects revenue to hit Dhs4.5bn by year-end

Sanad, a global leader in aerospace engineering and leasing solutions owned by Mubadala Investment Company, reported a stellar first half of 2024, exceeding expectations and setting the stage for a record year.

The company generated Dhs2.3bn in revenue by H1 2024, driven by strong performances in both its maintenance, repair, and overhaul (MRO) and leasing divisions.

Sanad projects a significant jump to Dhs4.5bn by year-end, reflecting a 28 per cent increase over 2023 and double the revenue of 2022.

Underscoring its global reach, approximately 96 per cent of Sanad’s revenue stemmed from outside the UAE.

“Sanad’s vision to be a global aviation leader is fueled by continuous innovation and industry-leading service,” said Amer Siddiqui, group chairman of Sanad. “Our H1 performance reflects our commitment to this vision, supporting the UAE’s ambitious aviation goals.”

“Our H1 2024 results showcase unwavering dedication to excellence and strategic growth,” commented Mansoor Janahi, managing director and croup CEO of Sanad. “We are confident in achieving our vision of becoming a global MRO champion and delivering value to our stakeholders.”

Strategic alliances and expansion

Sanad is solidifying its position as a leading engine MRO provider through strategic agreements with major airlines like Asiana Airlines and Deucalion Aviation. These deals have bolstered the company’s backlog, pushing the global order book to Dhs33bn – a Dhs4bn increase in contracted business for 2024.

The MRO division is experiencing robust growth, fueled by a resurgence in air travel and new partnerships.

The company plans to induct 160 engines this year, a 22 per cent increase from 2023.

This growth is further supported by investments exceeding Dhs100m in facility upgrades and capability development.

The leasing division is also performing well, with strategic asset sales like the CFM56-7B engines to CFM Materials and GE90 engines to AerCap.

Sanad achieved a 25 per cent increase in employees year-over-year, reaching 530 personnel as of H1 2024.

The company aims to have 630 employees by year-end, with a focus on Emiratisation, targeting a 30 per cent Emirati workforce by December.

Partnerships with universities like Embry-Riddle Aeronautical University and Khalifa University further highlight Sanad’s commitment to human capital development.

The company obtained a new EASA certification for its Safety Management System (SMS), enabling the company to work with over 23 aviation authorities worldwide.

Sanad expects positive growth to continue

The company’s focus for the second half of 2024 lies in capitalising on its strong performance to drive further growth and innovation.

It is exploring potential geographical expansion and service diversification, including growing its Airport Services division to offer comprehensive aviation solutions.