Sample

SAMPLE
COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR,

AND OVERHAUL (MRO) MARKET (2021 - 2026)
The study offers:
• A detailed understanding of the current market dynamics and growth opportunities
• The impact of rapid technological developments in the market studied
• An overview of the competitive intelligence, with product innovations and strategies of major players
• Assessment of the impact of COVID-19 on the market
Domain: Aerospace and Defense Base Year: 2020 Forecast Period: 2021-2026
Industry Reports | Consulting | Intelligence Centre

+1 617 765 2493 | info@mordorintelligence.com | www.mordorintelligence.com
1 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET
TABLE OF CONTENTS
1. INTRODUCTION 5.1.3 Component
1.1 Study Assumptions 5.1.4 Line
1.2 Scope of the Study 5.2 By Geography
2. RESEARCH METHODOLOGY 5.2.1 North America
3. EXECUTIVE SUMMARY 5.2.1.1 United States
4. MARKET DYNAMICS 5.2.1.2 Canada
4.1 Market Overview 5.2.2 Europe
4.2 Market Drivers 5.2.2.1 United Kingdom
5.2.2.2 France
4.3 Market Restraints
5.2.2.3 Germany
4.4 Industry Attractiveness - Porter's Five Forces Analysis
5.2.2.4 Rest of Europe
4.4.1 Threat of New Entrants
5.2.3 Asia-Pacific
4.4.2 Bargaining Power of Buyers/Consumers
5.2.3.1 China
4.4.3 Bargaining Power of Suppliers
5.2.3.2 India
4.4.4 Threat of Substitute Products
5.2.3.3 Japan
4.4.5 Intensity of Competitive Rivalry
5.2.3.4 South Korea
5. MARKET SEGMENTATION
5.2.3.5 Rest of Asia-Pacific
5.1 By MRO Type
5.2.4 Latin America
5.1.1 Airframe
5.2.4.1 Mexico
5.1.2 Engine 5.2.4.2 Brazil
5.2.4.3 Rest of Latin America

TABLE OF CONTENTS
5.2.5 Middle East & Africa 6.2.10 Singapore Technologies Engineering Ltd
5.2.5.1 United Arab Emirates 6.2.11 MTU Aero Engines AG
5.2.5.2 Saudi Arabia 6.2.12 Rolls-Royce Holding PLC

5.2.5.3 Qatar
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
5.2.5.4 Rest of Middle East & Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 AAR Corp.
6.2.2 Delta TechOps
6.2.3 General Electric Company
6.2.4 Hong Kong Aircraft Engineering Co. Ltd
6.2.5 Lufthansa Technik AG
6.2.6 L3 Technologies Inc.
6.2.7 United Technologies Corporation
6.2.8 SIA Engineering Company Ltd
6.2.9 TAP Maintenance & Engineering

1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
4 REPORT – REPORT TITLE

1. INTRODUCTION
1.1 STUDY ASSUMPTIONS & MARKET DEFINITION

STUDY ASSUMPTIONS MARKET DEFINITION
 The base currency considered was the US Dollar (USD). Conversion of other  Aircraft maintenance, repair, and overhaul (commonly abbreviated as MRO)
currencies to USD was considered on the basis of the average exchange refer to the overhaul, inspection, repair, or modification of an aircraft or any
rate for the respective review period years. The exchange rate conversion of its components.
for forecast period was determined according to the base year’s conversion  The report includes the revenues from the MRO activities of commercial
rates. aircraft, i.e., the scheduled services of airlines only.
 The base year was identified based on the availability of annual reports and  For each segment, the market sizing and forecast are based on value (USD
secondary information. The base year considered for this study is 2020. billion).
 The review period considered for this study is from 2018 to 2019. The
CAGR considered is for the forecast period of 2021-2026.
 Distribution of primary interviews conducted was based on the regional

share of the market and the presence of key players in each region.
 As a result of data triangulation through multiple methodologies and

approaches, the weighted averages of resulting estimates were considered
to be the final values.

1. INTRODUCTION
1.2 SCOPE OF THE STUDY
BY MRO TYPE BY GEOGRAPHY
◼ Airframe ◼ North America

◼ Engine ◼ Europe
◼ Component ◼ Asia-Pacific
◼ Line ◼ Latin America
◼ Middle East & Africa

2. RESEARCH
METHODOLOGY

2. RESEARCH METHODOLOGY
 Mordor Intelligence (MI) advocates an appropriate mix of secondary and primary research to meet client objectives.
 MI translates market insights (market dynamics, competition, varying consumer demands, and regulations) into actionable business insights.
 The following phases are practiced at Mordor for efficient delivery of various syndicated and consulting assignments:
STEP 1 STEP 2 STEP 3

SCOPING/ PROJECT INITIATION MARKET ANALYSIS PROJECT DELIVERY
Decipher client requirements/ market to be

Extensive desk research to identify most relevant secondary information available
studied
Tailor-made research approach for

Contact Mordor’s empaneled experts and identify industry experts across the market
customized reports
Effective use of Mordor’s knowledge

Conduct primaries and surveys to gather qualitative and quantitative insights
repository to gather relevant insights
Confirm the objectives of the assignment with

Triangulate and analyze data to finalize actionable business insights
the client
Finalize report contents and establish a Report delivery with high-quality market insights, competitive landscape, etc.,
deliverable format as per the proposed content

RESEARCH PHASES EXPLAINED
2.1 SECONDARY RESEARCH 2.2 PRIMARY RESEARCH

This phase involves a thorough synthesis of existing publications across the web, ◼ At Mordor Intelligence, we pool in industry experts across the value chain, to
in order to gather meaningful insights on the current situation of the market, gather first-hand insights on the market studied. In addition to these
technology developments, and any other market-related information. The knowledgeable industry veterans or retired experts, consultants and freelancers
sources include, but are not limited to: are a call away to collaborate with Mordor on any assignment that requires real-
◼ Scientific papers, journals, and publications. time industry insights.
◼ Mordor Intelligence is also equipped to conduct market surveys to gather
◼ Trade information to understand imports, exports, and average traded price qualitative insights and the opinion of individuals related to the industry.
of the commodity, if available.
▪ Primary research is used both to validate the data points obtained from
◼ Industry and government websites for blogs, magazines, and other secondary research and to fill the data gaps after secondary research. Data
publications. gathered during the primary research phase are useful to arrive at critical
insights, both qualitative and quantitative; these insights can be used to ascertain
◼ Conference proceedings and association publications
the following:
◼ Investor presentations, technical brochures, annual reports, press releases, • Critical market dynamics (drivers, restraints, future, and regulations) and
transcripts of key personnel interviews, and other strategic publications by their impact
several competitors in the market • Market distribution across various segments
◼ Product information, including technical specifications, approvals, patents, • Market entry for new companies and insights on competitive landscape
etc.
MODES OF PRIMARY RESEARCH
◼ Public sources/Annual reports (Eurostat, Flightradar, IATA GHP, ISAGO, FBO
operators, company brochures, GAMA publication, sec filings, government
•and Other
publications, regulatory authority publications, etc.) Modes of
Primary
◼ Paid sources (Airframer, D&B Hoovers, Jetnet LLC, etc.) Telephonic Email Chat Virtual Research
Surveys
Interviews Interviews Interviews Council
◼ Other sources include journals, articles etc. (for prices and usage patterns)

RESEARCH PHASES EXPLAINED
2.3 DATA TRIANGULATION AND INSIGHT GENERATION
◼ Based on the factors (both endogenous and exogenous in nature) identified and collected during the secondary and primary phases, MI’s in-house subject matter
experts transform the quantitative data extracted and use them to infer critical insights.
◼ The market size estimations are carried out through ‘bottom-up’ and ‘top-down’ approaches.
◼ MI’s top-down and bottom-up approaches are integrated into its ‘in-house model sheets’, which are used to generate the market estimates and growth rates (depending
upon the historical trends of the respective markets, along with various factors, such as drivers, restraints, and recent developments in the market) of the product
segment in the respective country.
It is a process of combining outcomes from different sources to increase the

validity and reliability of the results. This process also helps in strengthening
DATA
conclusions about findings and reduce the risk of false interpretations. The
TRIANGULATION insights obtained from both secondary and primary research are analyzed and
validated by the process of data triangulation to arrive at closer estimates.
An econometric model is a simplified representation of a real-world process.

ECONOMETRIC Here, the tools of the econometric theory are used to analyze and forecast
MODELING economic phenomena and to solve unknown quantities, such as forecast
demand, supply, investment, production, consumption, etc.
REPORT After the data is curated, analysts populate the report. From data and forecast,
WRITING insights are drawn to visualize the entire ecosystem in a single report.

4. MARKET
DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Industry Attractiveness - Porter's Five Forces

Analysis

4. MARKET INSIGHTS
4.2 MARKET DRIVERS

4.2.1 ENHANCED INVESTMENT IN MRO FACILITIES
◼ In the 1980s, aircraft OEMs diverted their focus toward process optimization and started searching for viable solutions to reduce costs. Buoyed by high demand and a
considerably stable global economy, several maintenance-focused organizations entered the market that led to the diversification of the MRO industry.
◼ Since then, the ever-changing dynamics of the aviation industry have encouraged players to reposition themselves across the supply chain constantly. This has
prompted industry players to restructure their service provisions to compete at different levels of the supply chain and encouraged industry incumbents to undertake
significant investment initiatives to develop MRO capabilities and minimize operating costs.
◼ The aircraft manufacturing industry has been witnessing strategic partnerships among major firms to meet the growing demand for MRO services. For instance, in July
2021, TAT Piemont, a part of TAT Technologies Ltd, finalized an additional new strategic MRO and lease agreement with Honeywell for the maintenance, repair, and
overhaul of Honeywell's 131 Series of Auxiliary Power Units (APUs) that are installed onboard the B737 and A319/320/321 aircraft families.
◼ The matured markets of Europe and North America continue to account for the largest share of MRO spending, globally. But the fastest expansion can be seen in the
emerging markets of the Asia-Pacific region and some countries in Latin America.
◼ Several airlines and their partner MRO providers are expanding their in-house capabilities or are expanding into new regions, mostly in Asia-Pacific, due to the expected
high potential of the market over the next few years.
◼ Singapore has been the hub of all major MRO activities in the Asia-Pacific region, followed by Hong Kong. However, in recent years, several other Asian countries have
also increased their investment in MRO facilities, trying to replicate the success of Singapore and Hong Kong in this sector.
◼ ST Engineering, a pioneer in the MRO industry with a global clientele, announced its win of multiple new contracts in 2021. For instance, in August 2021, the company
was awarded an exclusive five-year contract from Alaska Airlines to provide engine heavy maintenance to the airline’s fleet of 14 B737-700 and 12 B737-900 aircraft,
starting from 2022.
◼ A similar contract was awarded to ST Engineering from an undisclosed airline in Asia-Pacific for conducting heavy maintenance on CFM56-7B engines over a 12-month
period from mid-2022 to mid-2023 at its MRO facility in Xiamen, China.

4. MARKET INSIGHTS
4.2 MARKET DRIVERS

◼ New technologies, airline growth, and joint ventures are driving the expansion of the commercial aircraft MRO globally. MROs affiliated to airlines and independent
MRO providers are expanding their capabilities and tapping into new markets.
◼ In February 2018, global aviation services provider AAR announced a joint venture with Indamer Aviation to develop a new airframe MRO facility in Nagpur, India. Such
partnerships have also helped OEMs in consolidating their market presence to boost the growth of the commercial aircraft MRO market.
◼ In the past decade, MRO activities in Thailand increased and are expected to continue to grow in the coming decade because of Thailand’s strategic location and
spacious facilities.
◼ Such investments are directed at creating a global chain of MRO operators and focused on developing regions amid an increase in air passengers, rising middle-class
income, and expansion of LCCs in these regions, which create more business opportunities for air-travel operators and MRO vendors.
DETAILED ANALYSIS WILL BE PROVIDED IN THE REPORT

4. MARKET DYNAMICS
4.4 PORTER’S FIVE FORCES ANALYSIS
THREAT OF NEW ENTRANTS THREAT OF SUBSTITUTES

 Porter’s five forces model studies the five
identified competitive forces that shape every
industry and market, in order to determine the
intensity of the competition, and thus, the
profitability and attractiveness of the industry.
MODERATE LOW The objective of the growth strategy should be
to adapt to these competitive forces in a
manner that is likely to improve the position of
the organization. This study includes an
COMPETITIVE
exhaustive Porter’s five forces framework,
RIVARLY
incorporating the factors influencing each
HIGH force, to analyze the market from a
microeconomic perspective.
 In the study, Porter’s five forces are analyzed

considering the factors influencing each force
and quantifying the factors through primaries
HIGH SAMPLE FIGURE MODERATE and quantitative analysis. The quantified
factors are further mapped out to derive the
impact of each force on competitive dynamics.
BARGAINING POWER OF BUYERS BARGAINING POWER OF SUPPLIERS

5. MARKET
SEGMENTATION
5.1 By MRO Type
5.2 By Geography

BY MRO TYPE BY GEOGRAPHY
Airframe North America
Engine Europe
Component Asia-Pacific
Line Latin America
Middle East & Africa

5.1 BY MRO TYPE
COMMERCIAL AIRCRAFT MAINTENANCE,

REPAIR, AND OVERHAUL (MRO) MARKET COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET
Revenue in USD billion, by MRO Type, Global, 2018-2026
Revenue Share (%), by MRO Type, Global, 2020
MRO Type 2018 2019 2020 2021 2022 2023 2024 2025 2026 CAGR
Airframe xx xx xx xx xx xx xx xx xx xx
SAMPLE FIGURE
Engine xx xx xx xx xx xx xx xx xx xx
Component xx xx xx xx xx xx xx xx xx xx
Airframe Engine Component Line

Line xx xx xx xx xx xx xx xx xx xx
SOURCE: Mordor Intelligence SOURCE: Mordor Intelligence

5. MARKET SEGMENTATION | 5.1 MRO TYPE
5.1.2 ENGINE
◼ The engine segment of the commercial aircraft MRO market is expected to record a
CAGR of XX% over the forecast period, to reach USD XX billion by 2026. COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL
(MRO) MARKET
◼ Depot-level maintenance entails material maintenance along with major repair, Revenue in USD billion, Engine, 2018-2026
overhaul, or complete rebuilding of engines, parts, end items, assemblies, and
subassemblies. It also includes the manufacturing of parts, technical assistance, and
testing.
◼ Field-level maintenance comprises shop-type work as well as on-equipment

maintenance activities at levels different to depot maintenance. SAMPLE FIGURE
◼ Intermediate or shop-type work includes limited repair of commodity-oriented
assemblies and end-items, job shop, bay, and production line operations as per
requirement, software maintenance, and repair of subassemblies such as fabrication or
the manufacturing of repair parts, assemblies, and components.
◼ In the engine maintenance sector, OEMs control approximately half of the market,
with the other half roughly split between independent and airline overhaul shops. For
new powerplant generations specifically, operators frequently outsource engine
maintenance and use full MRO-support programs.
◼ Nowadays, airlines and MRO operators are entering Rate per Flight Hour (RPFH)
agreements, wherein the engine OEM guarantees maintenance costs for the engines 2018 2019 2020 2021 2022 2023 2024 2025 2026
on a dollar per engine flight hour basis.
SOURCE: Mordor Intelligence
◼ For instance, in June 2021, China Airlines entered a long-term agreement with AFI
KLM E&M to support the GE90 engines powering the airline’s fleet of B777F aircraft.
5. MARKET SEGMENTATION | 5.1 MRO TYPE
5.1.2 ENGINE
◼ The agreement binds the two parties with Power by the Hour (PBH) support solutions for MRO on engine and LRU engineering support, including spare engine support,
transportation, on-wing, and on-site support.
◼ Similarly, in October 2019, Vistara signed a long-term Rate per Flight Hour (RPFH) agreement for the maintenance of 120 LEAP-1A engines that power 60 A320neo
and A321neo aircraft in service or in order.
◼ Regionally, Asia-Pacific and the Middle East are on course to overshadow North America and Europe in terms of new aircraft deliveries. Hence, operators in these
regions are ramping up their capabilities to cater to the growing demand. They are engaged in forming strategic JVs to enhance their market share.
◼ For instance, Airfoil Services, a JV between Lufthansa Technik and MTU Aero Engines, is based in Kuala Lumpur and performs maintenance work on the turbine blades
of CF6-50, CF6-80, CFM56-3, and CFM56-5 engines.
◼ It is to be noted that since engine costs are dictated by the annual increment in the pricing of constituents, engine OEMs would exercise considerable control across the
engine MRO value chain.

5.2 BY GEOGRAPHY
North America
Europe
Market Share: XX%
Market Share: XX%
CAGR: XX%
CAGR: XX%
Asia-Pacific
Market Share: XX%
CAGR: XX%

Market Share: XX%
Latin America
CAGR: XX%
Market Share: XX%
CAGR: XX%

5.2 BY GEOGRAPHY

Revenue in USD billion, by Geography, Global, 2018-2026
Revenue Share (%), by Geography, Global, 2020
Geography 2018 2019 2020 2021 2022 2023 2024 2025 2026 CAGR
North America xx xx xx xx xx xx xx xx xx xx
SAMPLE FIGURE Europe xx xx xx xx xx xx xx xx xx xx
Asia-Pacific xx xx xx xx xx xx xx xx xx xx
Latin America
North America Europe
Asia-Pacific Latin America Middle East &

xx xx xx xx xx xx xx xx xx xx
Africa

5. MARKET SEGMENTATION | 5.2 BY GEOGRAPHY
5.2.3 ASIA-PACIFIC

Revenue in USD billion, by Country, Asia-Pacific, 2018-2026
Revenue Share (%), by Country, Asia-Pacific, 2020
Country 2018 2019 2020 2021 2022 2023 2024 2025 2026 CAGR
China xx xx xx xx xx xx xx xx xx xx
SAMPLE FIGURE India xx xx xx xx xx xx xx xx xx xx
Japan xx xx xx xx xx xx xx xx xx xx
South Korea xx xx xx xx xx xx xx xx xx xx
China India
Japan South Korea Rest of Asia-

xx xx xx xx xx xx xx xx xx xx
Pacific
Rest of Asia-Pacific

5. MARKET SEGMENTATION | 5.2 GEOGRAPHY | 5.2.3 ASIA-PACIFIC
5.2.3.2 INDIA
◼ The aircraft MRO market in India is anticipated to grow from USD XX million in 2020
COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL
to USD XX million by 2026, registering a CAGR of XX% during the forecast period. (MRO) MARKET
◼ The Indian aircraft maintenance, repair, and overhaul (MRO) market is anticipated to Revenue in USD billion, India, 2018-2026
reach USD XX billion by 2025, registering a CAGR of XX% during the forecast period.
◼ Prior to March 2020, the Indian taxation policy mandated 18% tax to be levied on
availing domestic MRO services, while internationally the MRO taxes levied accounted
for just 5%. This resulted in Indian MRO companies losing business for tasks such as
heavy maintenance to their overseas competitors.
SAMPLE FIGURE
◼ India is touted to emerge as a major MRO hub during the forecast period as a
combined effect of favorable government policies and increasing collaboration
between international MRO operators and their Indian counterparts.
◼ In March 2020, the Indian government relaxed its taxation policy on the aviation
sector to match international standards. Also, in May 2020, the Indian government
initiated an economic restructuring plan by announcing reforms that focus on three
main domains: rationalization of airspace, auctioning of new airports, and rapid
development of MRO capabilities in the country.
◼ In this regard, initiatives such as GST reduction from 18% to 5%, lease out land at
2018 2019 2020 2021 2022 2023 2024 2025 2026
airports at discounted rates for MROs, reduction in royalty charges charged by
airports, and construction of new airports with dedicated infrastructure for MROs are SOURCE: Mordor Intelligence
expected to change the outlook of the aviation MRO industry in India.

5. MARKET SEGMENTATION | 5.2 BY GEOGRAPHY | 5.2.3 ASIA-PACIFIC
5.2.3.2 INDIA
◼ The Indian government envisions to enhance the revenue from component MRO to USD 265.85 million
by 2023.
◼ However, due to the COVID-19 pandemic, line maintenance in the country suffered a major blow in
terms of revenue. With some airlines converting their fleet to cargo configuration, major MRO
operators, such as Air Works, have moved to freighter line maintenance to ensure sustenance.
◼ Some of the major aircraft MRO providers are AIESL, Air Works, Indamer, Taj Air Ltd, Bird ExecuJet
Airport Services, and GMR Aero Technic.
◼ High taxes, royalty charges, and poor infrastructure have restrained the MRO market growth in the past.
This has resulted in Indian carriers outsourcing most of their MRO activities to third-party service
providers outside the country, mainly in Southeast Asia, the Middle East, and Europe.
◼ On this note, in 2020, about 85% of the MRO work of domestic scheduled carriers was carried overseas.

5. MARKET SEGMENTATION | 5.2 BY GEOGRAPHY | 5.2.3 ASIA-PACIFIC
5.2.3.2 INDIA
Overview - Active fleet by airlines (as of June 2021)
ATR A320 Embraer
AIRLINE A330F A340F B737 B737F B747 B757F B767F B777 B787 Q400 Total
42/72 Family ERJ
Vistara - 39 - - 6 - - - - - 2 - - 47
TruJet 7 - - - - - - - - - - - - 7
AirAsia India - 34 - - - - - - - - - - - 34
Air India - 77 - - - - 1 - - 16 27 - - 121
Alliance Air 19 - - - - - - - - - - - - 19
Air India Express - - - - 24 - - - - - - - - 24
flybig 1 - - - - - - - - - - - - 1
GoFirst (GoAir) - 56 - - - - - - - - - - - 56
IndiGo 25 235 - - - - - - - - - - - 260
SpiceJet - - - - 58 - - - - - - 23 - 81
Star Air - - - - - - - - - - - - 5 5
Blue Dart Aviation - - - - - - - 6 - - - - - 6
SpiceXpress - - 1 3 - 5 - - 1 - - 9 - 19
6. COMPETITIVE
LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 AAR Corp.
6.2.2 Delta TechOps
6.2.3 General Electric Company
6.2.4 Hong Kong Aircraft Engineering Co. Ltd
6.2.5 Lufthansa Technik AG
6.2.6 L3 Technologies Inc.
6.2.7 United Technologies Corporation
6.2.8 SIA Engineering Company Ltd
6.2.9 TAP Maintenance & Engineering
6.2.10 Singapore Technologies Engineering Ltd
6.2.11 MTU Aero Engines AG
6.2.12 Rolls-Royce Holding PLC

6. COMPETITIVE LANDSCAPE
6.1 VENDOR MARKET SHARE
COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND

◼ The commercial aircraft MRO market is highly fragmented, with only a handful of players
OVERHAUL (MRO) MARKET
controlling the market.
Market Share (%), by Company, Global, 2020
◼ TAP M&E is currently the largest player in the market, followed by United Technologies
Corporation, Lufthansa Technik, ST Aerospace, and L3 Technologies.
◼ The MRO operation per aircraft is expected to decrease in frequency compared to older
aircraft due to improved technology and advanced engine and structural design of aircraft.
◼ The long aircraft order backlog may force older aircraft to run longer shifts, and as
population rises globally, the active aircraft fleet may find it difficult to cater to the required SAMPLE FIGURE
capacity demand.
◼ Commercial airline MRO is expected to be active during the forecast period, as airlines
compete to bring in more passengers and provide better facilities inside the aircraft cabin.
◼ Joint ventures between the players can help the companies strengthen their market
presence. This can be seen from the recent maintenance, repair, and overhaul (MRO) joint
venture between ST Engineering and Vietnam airlines, Vietnam Singapore Technologies
Company 1 Company 2 Company 3
Engineering Aerospace. From ST’s point of view, the partnership with Vietnam Airlines,
which has existing maintenance facilities in the country, not only enables ST Engineering to Company 4 Company 5 Others
set up capabilities within a very short timeframe, but also allows it to start operating with a
ready baseload.

6. COMPETITIVE LANDSCAPE | 6.2 COMPANY PROFILES
6.2.12 ROLLS-ROYCE PLC - OVERVIEW

◼ Rolls-Royce PLC manufactures and distributes power systems for aviation and other
industries. It is one of the makers of aircraft engines, which has major businesses in the marine
propulsion and energy sectors.
◼ Rolls-Royce is listed on the London Stock Exchange and is a constituent of the FTSE 100
Index. As of June 2019, it is the 31st-largest of any company, with a primary listing on the
London Stock Exchange.
Founded in 1904
◼ The main segments of Rolls-Royce in 2017 were Civil Aerospace, Defense Aerospace, Power
Systems, Marine, and Nuclear. But in June 2018, the company restructured its business into
four simpler decentralized units, namely, Civil Aerospace, Defense, Power Systems, and ITP London, United Kingdom
Aero.
◼ The company is now working on cleaner, safer, and more competitive power with the use of https://www.rolls-royce.com
cutting-edge technologies. Also, the company plans to use electrification and digitalization
trends to create new insights, new processes, and new market opportunities for its existing
customers. ROLLS-ROYCE PLC
Revenue in GBP million, Global, 2018-2020
GBP 11.82 billion

48,200 Employees
Revenue 15,729 16,587
11,824
GBP (1,533) million GBP 1.25 billion

Net Cash R&D costs 2018 2019 2020
Source: Mordor Intelligence

6.2.12 ROLLS-ROYCE PLC - BUSINESS SEGMENT
ROLLS-ROYCE PLC ROLLS-ROYCE PLC

Revenue Share (%), by Geography, Global, 2020 Revenue Share (%), by Operating Segment, Global, 2020
Europe
2.01% 1.90%
North America 6% Civil Aerospace
South America
17.74% Central America 28% 43% Power Systems
34.07%
Middle East
0.02%
4.4% 7.70% Asia Defence
Africa
1.12% Australasia 23% ITP Aero
34.90% Other
◼ The Civil Aerospace segment’s revenue declined sharply by 37% to GBP 5,089 ◼ The Defence segment’s revenue amounted to GBP 3,366 million in 2020,
million in 2020 from GBP 8,107 million in 2019. The sector was heavily compared to GBP 3,250 million in 2019. The growth was a result of all defense
impacted by COVID-19, and as a result, large engine deliveries fell by 48% to facilities remaining functional throughout the year.
264 and large engine flying hours fell to 43% of 2019 levels as travel
◼ The ITP Aero segment’s revenue decreased by 26% to GBP 705 million in 2019
restrictions limited air traffic.
from GBP 936 million in 2019. The segment was materially impacted by
◼ The Power Systems segment’s revenue witnessed a 17% Y-o-Y decline to GBP
COVID-19, just like the Civil Aerospace segment.
2,745 million in 2020 from GBP 3,184 million in 2019. The segment witnessed
◼ Due to the reduction in Rolls-Royce’s Civil Aerospace deliveries, demand for
a varied impact of COVID-19 with significant reductions in industrial activities
ITP Aero’s widebody modules also reduced significantly, with more modest
due to the weak economic environment but greater resilience in other areas,
decreases in ITP Aero’s business aviation and narrowbody activities.
notably governmental marine.
6.2.12 ROLLS-ROYCE PLC - PRODUCTS AND STRATEGIES
SERVICES STRATEGIES
◼ The strategies of Rolls-Royce are based upon the following elements:

◼ Airlines CareServices
− Investing in new power solutions for long-term success
− TotalCare
− Providing digital solutions for customer care that help to generate new insights, new solutions, and new
− SelectCare
opportunities
− Developing next-generation technologies that help sustain and grow in the current competitiveness
− Changing the fundamental way of business that generates substantial value for stakeholders
− Expanding into new markets and products that can bring new technologies and capabilities, thereby, creating
a new synergy

6.2.12 ROLLS-ROYCE PLC - RECENT DEVELOPMENTS

C Contract and Agreement O Others I Product Innovation E Expansion P Partnership
Rolls-Royce expanded its global service network Rolls-Royce signed a definitive agreement to sell
with a new independent Authorised Maintenance 100% of ITP Aero for approximately EUR 1.7 billion
Center (AMC) in Abu Dhabi, operated by Sanad to Bain Capital Private Equity, which is leading a
Aerotech. The new AMC will provide complete Trent consortium of Spanish and Basque companies,
700 overhaul services for global operators. AUG 2019 including SAPA and JB Capital.
E C O
JUN 2019 Rolls-Royce signed a new engine maintenance SEP 2021
agreement with Air Canada. The TotalCare Flex
agreement is designed for owners and operators of
mature engines. The agreement ensures the
availability of engines until fleet retirement.

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Sample - Commercial Aircraft Maintenance, Repair and Overhaul Market (2021 - 2026) - Mordor Intelligence1632915034694

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COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR,

Industry Reports | Consulting | Intelligence Centre

2. RESEARCH METHODOLOGY 5.2.1 North America

3. EXECUTIVE SUMMARY 5.2.1.1 United States

4. MARKET DYNAMICS 5.2.1.2 Canada

4.1 Market Overview 5.2.2 Europe

4.2 Market Drivers 5.2.2.1 United Kingdom

5.2.4.3 Rest of Latin America

2 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

5.2.5.1 United Arab Emirates 6.2.11 MTU Aero Engines AG

5.2.5.2 Saudi Arabia 6.2.12 Rolls-Royce Holding PLC

6.1 Vendor Market Share

6.2 Company Profiles

6.2.1 AAR Corp.

6.2.2 Delta TechOps

6.2.3 General Electric Company

6.2.4 Hong Kong Aircraft Engineering Co. Ltd

6.2.5 Lufthansa Technik AG

6.2.6 L3 Technologies Inc.

6.2.7 United Technologies Corporation

6.2.8 SIA Engineering Company Ltd

6.2.9 TAP Maintenance & Engineering

3 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

1.2 Scope of the Study

4 REPORT – REPORT TITLE

1.1 STUDY ASSUMPTIONS & MARKET DEFINITION

 Distribution of primary interviews conducted was based on the regional

 As a result of data triangulation through multiple methodologies and

5 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

1.2 SCOPE OF THE STUDY

BY MRO TYPE BY GEOGRAPHY

◼ Airframe ◼ North America

6 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

7 REPORT – REPORT TITLE

STEP 1 STEP 2 STEP 3

Decipher client requirements/ market to be

Tailor-made research approach for

Effective use of Mordor’s knowledge

Confirm the objectives of the assignment with

8 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

2.1 SECONDARY RESEARCH 2.2 PRIMARY RESEARCH

9 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

It is a process of combining outcomes from different sources to increase the

An econometric model is a simplified representation of a real-world process.

10 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

4.2 Market Drivers

4.3 Market Restraints

4.4 Industry Attractiveness - Porter's Five Forces

11 REPORT – REPORT TITLE

4.2 MARKET DRIVERS

12 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

4.2 MARKET DRIVERS

DETAILED ANALYSIS WILL BE PROVIDED IN THE REPORT

13 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

4.4 PORTER’S FIVE FORCES ANALYSIS

THREAT OF NEW ENTRANTS THREAT OF SUBSTITUTES

 In the study, Porter’s five forces are analyzed

BARGAINING POWER OF BUYERS BARGAINING POWER OF SUPPLIERS

14 SAMPLE – COMMERCIAL AIRCRAFT MAINTENANCE, REPAIR, AND OVERHAUL (MRO) MARKET

15 REPORT – REPORT TITLE

BY MRO TYPE BY GEOGRAPHY

Airframe North America

Line Latin America