NAGPUR: Pinning hopes on getting more work orders from private airlines and increased capacity, Air India Engineering Services Ltd (AIESL) expects to rake in Rs 200 crore revenues in the next financial year.
A wholly-owned subsidiary of national carrier Air India, AIESL is working aggressively to expand its foot print in the high-growth potential Maintenance, Repair and Overhaul (MRO) segment as most of the private airlines carry out these works overseas.
“We are looking to mop up revenue to the tune of Rs 200 crore from third party business in the next fiscal,” Air India Chairman and Managing Director Ashwani Lohani said here.
Currently, revenues are around Rs 130 crore and a jump would also help Air India — which has turned operationally profitable after a decade — improve its overall financials. Speaking to reporters at AIESL’s Nagpur MRO facility, he said there is additional capacity here which the firm wants to utilise for aircraft maintenance work of private airlines.
The Nagpur facility today started carrying out up to 4A checks on A320 aircraft, manufactured by Airbus.
“So far we were doing mainteanance work on B777 only. After getting the mandatory approvals from the Directorate General of Civil Aviation (DGCA), we have now started carrying out up to 4A checks on A32O aircraft as well,” Lohani said.
So far, Air India and aircraft maker Boeing have invested around USD 116 million in the Nagpur facility, which started functioning in August last year. So far, Boeing has put in USD 107 million, while the national carrier has pumped in USD 9 million.