Bolstering Resilience, Investing in Growth
Annual Report 2024/25
ANNUAL REPORT 2024/25 1
MISSION STATEMENT
SIA Engineering Company (SIAEC) is engaged in providing aviation engineering services of the
highest quality, at competitive prices for customers and a profit to the Company.
CORPORATE PROFILE
Listed on the mainboard of the Singapore Exchange in 2000, SIAEC is one of the world's leading maintenance, repair and overhaul (MRO) organisations.
SIAEC's one-stop maintenance facility in Singapore
SIAEC was appointed by Air India as its Strategic
Partner for the development of base maintenance facilities in India
SIA Engineering (Philippines) was appointed as the first Embraer Authorised Service Centre for the E-Jets E2 in Asia-Pacific
Eaton Aero Services was incorporated and broke ground on its new facility in
Shah Alam
REVENUE:
$1,245.1
MILLION
FY2024/25
AT A GLANCE
NET PROFIT:
$139.6
MILLION
Jade Engineering and Singapore Polytechnic launched a flammability test lab in Singapore
TIA Engineering Services, a line maintenance joint venture between SIAEC and Cambodia Airport Investment Co., Ltd, was incorporated
SIAEC signed a Framework Agreement with Xiamen Iport Group
to invest in Arport Aircraft Maintenance & Engineering (Fujian) in Fujian, China
CONTENTS
offers world-class MRO services to a client base of more than 80 international carriers and aerospace equipment manufacturers. Complementing its full spectrum of MRO services is its portfolio of 25 subsidiaries and joint ventures in nine countries, forged with strategic partners and leading original equipment manufacturers (OEMs). The Company holds certifications from 28 national airworthiness authorities worldwide.
2
Chairman's
Message
26
Continuous
Improvement
197
5
Corporate
Calendar
29
Corporate
Governance
199
6
Board of
Directors
70
Risk
Management
200
14
Key
Executives
76
Sustainability
at SIAEC
208
18
The Year
in Review
81
Statistical
Highlights
20
Business and
Operations Review
82
Financial
Statements
Shareholding Statistics
Share Price and Turnover
Notice of Annual General Meeting
Additional Information on Directors Seeking Re-election
Proxy Form
2 SIA ENGINEERING COMPANY ANNUAL REPORT 2024/25 3
CHAIRMAN'S MESSAGE
MR TANG KIN FEI
Chairman
Dear Shareholders,
The aviation industry has entered a new phase of recovery and growth after years of turbulence. As airlines rebuild networks and aircraft return to the skies, Maintenance, Repair and Overhaul (MRO) services have seen healthy demand. This has brought both opportunity and change for the MRO sector.
At SIA Engineering Company (SIAEC), we are navigating this dynamic environment with focus and agility. In FY2024/25, we delivered strong operational and financial results, supported by the rebound in air traffic. Just as importantly, we took meaningful steps to strengthen our core and invest for the future - a dual focus that defines our theme this year: Bolstering Resilience, Investing in Growth.
A Year of Continued Growth and Profitability
All our business segments saw higher volumes amidst vibrant MRO activity in FY2024/25. Line maintenance volumes rose in tandem with flight movements, with Singapore handling 8% more flights year-on-year. Base maintenance demand held steady, although a higher proportion of aircraft required more time in the hangar due to more complex MRO work scopes and supply chain issues that impacted availability of aircraft spare parts. Our engine and component shops delivered higher repair and overhaul output. We doubled our engine test capacity to meet growing demand. We are also on track to expand testing capabilities for the CFM LEAP-1B engine.
Consequently, our revenue rose 13.8% to $1,245.1 million, and net profit grew 43.8% to $139.6 million. Group expenditure increased by 12.7%, primarily due to higher manpower costs and material usage. However, with revenue growth outpacing expenditure, our operating profit improved by $12.3 million to $14.6 million. We continue to uphold disciplined cost management to control expenditure.
The Board has proposed a final dividend of 7.0 cents per share, bringing total dividends for the year to 9.0 cents, up from 8.0 cents previously.
Navigating a Complex Landscape
The MRO industry continues to see sustained demand, even though uncertainties remain. The industry continues to face persistent global supply chain issues. Inflationary pressures, material shortages, geopolitical tensions, and Original Equipment Manufacturers' (OEM) capacity constraints have created bottlenecks, resulting in component shortages, longer turnaround times and less certainty in maintenance scheduling. Costs have risen and more recently, trade tensions and the prospect of higher tariffs have further clouded the operating landscape.
These shifts reinforce the need for diversification to better manage risk, as well as to strengthen business and operational resilience. In line with those objectives, SIAEC is investing with purpose today to drive sustainable growth and secure our position as the MRO partner of choice for tomorrow.
Our strategy is anchored on three core thrusts. First, we are expanding our geographical footprint across the Asia-Pacific to tap the region's growing MRO demand. Second, we are scaling our capacity and capabilities to support next-generation aircraft. Third, we are strengthening our core to stay agile and competitive, reinforcing SIAEC's foundation for long-term success.
Expanding our Presence in Asia-Pacific
Asia-Pacific, which delivered half of the global passenger traffic growth in 20241, is expected to account for a substantial share of the increase in the global aircraft fleet size and MRO demand in the years ahead. This momentum is fuelled by expanding economies, a rising middle class and sustained air travel demand.
By deepening and broadening our regional presence, we are better positioned to deliver value to airline customers and OEM partners through proximity, cost efficiencies and
faster turnaround. This also enables us to tap opportunities in established markets while pursuing growth in high-potential economies such as India and China.
Our Line Maintenance network grew further in FY2024/25 with new stations in Japan and Indonesia. We also incorporated TIA Engineering Services Company Limited with our joint venture partner to provide line maintenance at Cambodia's new Techo International Airport. Operations are currently expected to commence in September 2025, expanding our network to 36 airports in nine countries.
We are also strengthening our foothold in growth markets. India, now the world's third-largest aviation market with over 350 million annual passengers2 and a rapidly growing aircraft fleet, presents significant opportunity. We have been appointed by Air India as its strategic partner to support the development of its base maintenance facility in Bangalore, targeted for completion in 2026.
Meanwhile, China remains a vital market despite macroeconomic uncertainties. Our non-binding agreement with Xiamen Iport Group to explore investment in Arport Aircraft Maintenance & Engineering signals our intent to support
this sizeable aviation sector. These initiatives reflect our commitment to establishing a strong presence in strategically important regions to meet future MRO demand.
Scaling Capacity and MRO Capabilities for Next-generation Aircraft
While legacy aircraft models will remain in service longer due to aircraft production delays, the shift towards next-generation aircraft types is well underway. By 2035, next-generation aircraft such as the Airbus A320neo, A330neo, A350, Boeing
737 MAX, 777X and 787 are expected to account for two-thirds of total MRO demand.3 Powered by advanced engines like
the LEAP (CFM), Geared Turbofan (GTF) (Pratt & Whitney), and Trent XWB (Rolls-Royce), these aircraft are more efficient and sustainable, but require advanced tooling and specialised skills for their maintenance.
To stay ahead, SIAEC is expanding capacity and capabilities both internally and through partnerships to support
International Air Transport Association, January 2025
Ministry of Civil Aviation India, April 2025
Oliver Wyman, Global Fleet and MRO Market Forecast 2025-2035
next-generation aircraft. We believe early expertise is key to long-term competitiveness and deeper integration
with the aviation value chain. Aircraft typically have 20- to 30-year lifespans with multiple heavy maintenance cycles. As next-generation aircraft mature, we expect heavier, more complex workloads and new opportunities.
In Malaysia, Base Maintenance Malaysia in Subang will begin operations in the second half of 2025. The Subang base will provide us with additional capacity, supplementing our hangars in Singapore and the Philippines, to support both widebody and narrowbody aircraft maintenance demand while benefiting from Malaysia's cost-competitive environment and skilled workforce. This comes ahead of the scheduled Airbus A350 cabin retrofit programme for Singapore Airlines (SIA) from 2026.
In the Philippines, SIA Engineering (Philippines) Corporation in Clark became the first Embraer Authorised Service Centre in Asia-Pacific for the E-Jets E2, a fleet that is operated by multiple airlines in the region and growing. This appointment positions our Clark base strongly to meet the rising MRO demand for these aircraft.
We are also expanding component MRO capabilities through strategic partnerships. In June 2024, we established Eaton Aero Services, a 49%-owned joint venture in Malaysia with Eaton. Its new Shah Alam workshop is expected to launch in the second half of 2025, offering comprehensive MRO services for Eaton components installed on airframe and engine fuel and hydraulic systems. This complements our component MRO capabilities for more than 700 part numbers at Asia Pacific Aircraft Component Services, our 75%-owned subsidiary in Malaysia.
On the engine MRO front, our joint ventures are significantly boosting capacity for next-generation aircraft. In January 2025,
Singapore Aero Engine Services (SAESL), our 50%-owned joint venture with Rolls-Royce, broke ground on a new facility in Loyang, which is a key piece in its plan to increase its MRO capacity for the latest Rolls-Royce engines by 40% by 2028. Incorporating advanced supply chain solutions and Industry
4.0 standards, it will be the world's largest maintenance site for these engines. SAESL is also establishing its Seletar facility to support more advanced engine repair technologies.
At Eagle Services Asia (ESA), our 49%-owned JV with Pratt & Whitney, a major upgrade completed in early 2024 increased its GTF engine overhaul capacity by two-thirds. The expanded engine centre also integrates robotics, automation and machine learning to increase efficiency.
Meanwhile, we have also grown our cabin maintenance and retrofit capabilities. This bolsters our ability to support SIA's fleet growth and broadens our service offerings to third-party customers.
CHAIRMAN'S MESSAGE CORPORATE CALENDAR
Strengthening our Core Business to Deliver Greater Value As we pursue growth, we remain focused on strengthening our core business to enhance operational resilience, agility and competitiveness, while upholding our high standards of quality and safety. Our efforts span processes, technology and people, and are underpinned by an enterprise-wide commitment to Continuous Improvement.
A cornerstone initiative is the phased rollout of our Enterprise Operating System (EOS). Through Lean practices, digitalisation and automation, we are redesigning MRO processes to enhance planning, optimise operations, minimise waste and better manage supply chain delays. EOS also provides a platform for us to raise our performance standards across
our network.
We are deepening our digital integration with smart tools that enable data-driven situation awareness, resource optimisation, prediction and decision-making. Our eLITE digital suite has improved line maintenance efficiency and productivity, and further enhancements are underway. We are progressively deploying our ETask platform across Base Maintenance and Engine Services to strengthen task visibility and workflow control. Additionally, our new digitalised hangar bay slot planning system, eSlot, will enable more efficient slot allocation and resource use.
At the same time, we are collaborating with technology partners to explore Artificial Intelligence (AI), including Generative AI (GenAI), for optimisation, visual inspection and defect management through robotics and machine vision.
The automation of processes will enhance productivity and efficiency, and further streamline our maintenance operations.
To ensure workforce agility, we continue to invest in upskilling and training programmes, including structured GenAI training. We are also strengthening our recruitment pipeline through partnerships with Institutes of Higher Learning in Singapore and the region, and embedding Continuous Improvement across
all levels.
Investing in Tomorrow
Amid ongoing uncertainties, we are keeping our strategy and businesses nimble to navigate a complex environment. While the direct impact from higher tariffs remains limited for now, second-order effects are harder to predict. We are
implementing risk mitigation measures, as well as monitoring geopolitical and trade developments, together with trends in air travel and fleet utilisation, to assess implications for the MRO sector.
We remain open to emerging opportunities and committed to pursuing investments that strengthen our growth, anchored by the ongoing reinforcement of our core capabilities.
Our strategy balances near-term operational improvements with longer-gestation initiatives that will shape SIAEC's
long-term growth. For example, SAESL's and ESA's expansions
will drive future MRO contributions from new-generation engines, although costs during expansion will weigh on near- to medium-term performance. We are ensuring that we have a strong foundation to bolster our resilience amid the heightened risk landscape and, together with our strategic investments, deliver sustainable growth.
2024
2025
5 NOVEMBER
Analyst briefing on first-half FY2025/26
financial results
4 NOVEMBER
Announcement of first-half FY2025/26
financial results
23 JUNE
Despatch of Notice of Annual General Meeting
to shareholders and website publication of Notice of Annual General Meeting and FY2024/25 Annual Report
12 AUGUST
Payment of FY2024/25
final dividend
13 MAY
Analyst briefing on FY2024/25
full-year financial results
9 MAY
Announcement of FY2024/25
full-year financial results
22 JULY
43rd Annual General Meeting
Announcement of FY2025/26 first-quarter business updates
14 FEBRUARY
Announcement of FY2024/25
third-quarter business updates
29 NOVEMBER
Payment of FY2024/25 interim dividend
19 JULY
42nd Annual General Meeting
6 NOVEMBER
Analyst briefing on first-half FY2024/25
financial results
20 JUNE
Despatch of Notice of Annual General Meeting
to shareholders and website publication of Notice of Annual General Meeting and FY2023/24 Annual Report
5 NOVEMBER
Announcement of first-half FY2024/25
financial results
13 MAY
Analyst briefing on FY2023/24
full-year financial results
14 AUGUST
Payment of FY2023/24
final dividend
10 MAY
Announcement of FY2023/24
full-year financial results
26 JULY
Announcement of FY2024/25
first-quarter business updates
15 FEBRUARY
Announcement of FY2023/24
third-quarter business updates
During the past year, SIAEC's commitment to innovation, service excellence and people development were recognised through several awards. The eLITE digital suite won the "Digital -Aviation" award at the Singapore Business Review Technology Excellence Awards. At the MRO Asia-Pacific Awards, we were named "Aftermarket Service Provider of the Year" and received the "Marketing Campaign of the Year" award for our "1SIAEC" campaign. We also received the SkillsFuture Work-Study Programme Employer Appreciation Award, as well as two Gold Standard awards at the Singapore HR Awards.
As the aviation sector progresses towards decarbonisation, we remain on track to meet our environmental goals and continue to pursue initiatives to further reinforce our commitment
to sustainability.
A Message of Gratitude
None of our progress during the past year would have been possible without the strong support of our people, partners and shareholders.
My heartfelt thanks go to our Board of Directors for their steadfast commitment. On behalf of the Board of Directors, I would like to express our deepest appreciation to Dr Raj Thampuran, who retired as a Non-Executive, Independent Director on 30 May 2025 after serving on the Board for almost nine years. Dr Raj's guidance and contributions were
invaluable, especially in the Company's technology and digital transformation journey. I wish him a happy retirement.
I also welcome Mr Ng Chee Khern as a Non-Executive, Independent Director. With his experience and perspectives, he will add value to the Board and support our strategic ambitions.
I am deeply grateful to our employees, unions and management team, whose expertise, resilience and dedication continue to power SIAEC forward. I also thank our customers, business partners and government agencies for their continued trust.
To our shareholders, thank you for your unwavering support. As we look to the future, we do so with confidence. We are building on resilience. And we are investing - deliberately, decisively - in tomorrow.
Tang Kin Fei
Chairman
SIA Engineering Company
BOARD OF DIRECTORS
As at 30 May 2025
MR TANG KIN FEI
Chairman, Board of Directors
Chairman, Compensation & HR Committee Chairman, Executive Committee Chairman, Nominating Committee Chairman, Board Working Group
Non-Executive and Independent Director
MR GOH CHOON PHONG
Member, Compensation & HR Committee
Member, Executive Committee
Non-Executive and Non-Independent Director
MS TAN TZE GAY
Member, Audit Committee
Member, Board Sustainability Committee Non-Executive and Independent Director
MR CHIN YAU SENG
MS CHUA BIN HWEE
Chairman, Audit Committee
Member, Board Sustainability Committee Member, Executive Committee
Non-Executive and Independent Director
MR WEE SIEW KIM
Member, Board Safety & Risk Committee
Member, Compensation & HR Committee Non-Executive and Independent Director
MR TAN KAI PING
Member, Board Safety & Risk Committee
Member, Nominating Committee Member, Board Working Group
Non-Executive and Non-Independent Director
DR RAJ THAMPURAN
MR LIM KONG PUAY
Chairman, Board Safety & Risk Committee Chairman, Technology Advisory Committee Member, Audit Committee
Member, Board Working Group
Non-Executive and Independent Director
MS CHONG CHUAN NEO
Chairman, Board Sustainability Committee
Member, Audit Committee Member, Nominating Committee
Member, Technology Advisory Committee Member, Board Working Group
Non-Executive and Independent Director
MR NG CHEE KHERN
Member, Audit Committee
Member, Technology Advisory Committee Non-Executive and Independent Director (from 1 February 2025)
MR TANG KIN FEI, 74
Chairman, Board of Directors
Chairman, Compensation & HR Committee Chairman, Executive Committee Chairman, Nominating Committee Chairman, Board Working Group
Non-Executive and Independent Director
First Appointment as a Director
8 May 2017
Appointment as Chairman
19 July 2018
Last Re-election as a Director
20 July 2023
Length of service as a Director (as at 31 March 2025)
7 years 10 months
Present Directorships in Other Listed Companies
Metis Energy Limited (Executive Chairman and Interim Chief Executive Officer)
Other Principal Commitments
Summit Power International Ltd (Director)
Singapore Cooperation Enterprise (Chairman)
Kwong Wai Shiu Hospital (Chairman)
Kwong Wai Shiu Hospital Foundation (Chairman, Investment Committee)
Athena Energy Holdings Pte Ltd (Director)
Vietrof RE Pte. Ltd. (Director)
Metis Solar Pte Ltd (Director)
Thermodynamics Technology Asia Limited (Director)
Thermodynamics Technology Pte. Ltd. (Director)
Red Dot Energy and Technology Asia Pte Ltd (Director)
Progressive Renewable Developments Goondiwindi Pty Ltd (Director)
Past Directorships/Appointments in the Past 5 Years
Singapore Chinese Chamber of Commerce and Industry (Council Member)
National Research Foundation (Board Member)
Ngee Ann Polytechnic (Council Chairman)
Singapore LNG Corporation Pte Ltd (Chairman)
Academic and Professional Qualification(s)
Bachelor of Mechanical Engineering (Honours, 1st Class), University of Singapore
Advanced Management Programme, INSEAD, France
Mr Tang was the Group President and Chief Executive Officer of Sembcorp Industries Ltd from 1 May 2005 until his retirement on 31 March 2017. He then remained as an Advisor and a
Non-Executive Director on the Board of Sembcorp Industries until 31 May 2017.
Mr Tang, who was previously with the Sembcorp Group for
30 years, has been credited with driving its transformation into an international energy, water, marine and urban development group.
Prior to his appointment as Group President and Chief Executive Officer, Mr Tang headed Sembcorp's utilities business on Jurong Island in Singapore, which grew into a global energy and water player with a sizeable portfolio of assets and capabilities. Before joining Sembcorp, Mr Tang was the Managing Director of Wescon Asia and a project engineer in Esso Singapore.
Mr Tang is the Executive Chairman and Interim Chief Executive Officer of Metis Energy Limited. He is the Chairman of Singapore Cooperation Enterprise and Kwong Wai Shiu Hospital, a charitable hospital which provides care for needy patients. He is also a Director of Athena Energy Holdings Pte Ltd, Metis Solar Pte Ltd, Summit Power International Ltd, Thermodynamics Technology Asia Limited, Thermodynamics Technology Pte. Ltd., Red Dot Energy and Technology Asia Pte Ltd, Vietrof RE Pte. Ltd. and Progressive Renewable Developments Goondiwindi Pty Ltd.
MS CHUA BIN HWEE, 68
Chairman, Audit Committee
Member, Board Sustainability Committee Member, Executive Committee
Non-Executive and Independent Director
First Appointment as a Director
1 April 2021
Last Re-election as a Director
19 July 2024
Length of service as a Director (as at 31 March 2025)
years
Present Directorships in Other Listed Companies
CapitaLand Integrated Commercial Trust Management Limited (Director)
IHH Healthcare Berhad (Director)
Other Principal Commitments
Certis Cisco Security Pte Ltd (Director)
Gardens by the Bay (Director)
Marelli Holdings Co. Ltd (Director)
Past Directorships/Appointments in the Past 5 Years
CapitaLand Commercial Trust Management Limited (Director)
Duke-NUS Medical School (Director)
Health Promotion Board (Director)
Maritime and Port Authority of Singapore (Director)
The Hong Kong and Shanghai Banking Corporation Limited (Director)
Mapletree Oakwood Holdings Pte Ltd (Director)
National Heritage Board (Director)
Academic and Professional Qualification(s)
Chartered Accountant, Institute of Singapore Chartered Accountants
Bachelor of Accountancy (Honours), University of Singapore
Member, Board Sustainability Committee Member, Executive Committee
Member, Technology Advisory Committee Non-Independent Director and
Chief Executive Officer
Chairman, Technology Advisory Committee Member, Audit Committee
Member, Board Safety & Risk Committee Non-Executive and Independent Director (until 30 May 2025)
BOARD OF DIRECTORS
Ms Chua was the Vice Chairman of PricewaterhouseCoopers ("PwC") Singapore where she had been an audit partner for over 25 years. Ms Chua held global and regional positions, including Deputy Markets Leader of PwC Asia Pacific and Americas, and was a member of the PwC Global Markets Leadership Team and PwC Asia Pacific Executive Team. Ms Chua has extensive experience
in statutory audits, corporate governance, corporate restructuring, fraud investigations, business and finance.
Ms Chua was previously President of the Singapore Anti-Narcotics Association and Deputy Chairman of the National Volunteer & Philanthropy Centre. She had served on the boards of Housing & Development Board, Duke-NUS Medical School, Maritime and Port Authority of Singapore and Health Promotion Board. In recognition of her community service, she was awarded the Public Service Medal in 2012 and the Public Service Star in 2017. She was also conferred Justice of the Peace in 2018.
utilities, such as supplying steam and providing oil tankage and water and waste water treatment to industrial customers in the Tuas area and in Jurong Island.
Mr Lim is a Non-Executive Director of Tuas Power Generation Pte. Ltd., Tuas Power Ltd, TP Utilities Pte. Ltd., TP-STM Water Resources Pte. Ltd. and Singapore Institute of Power and Gas Pte. Ltd.
Mr Lim was previously a Non-Executive Director of ARA LOGOS Logistics Trust Management Limited and a member of the Steering Committee on Engineering Talent Attraction and Retention in Singapore.
MR GOH CHOON PHONG, 61
Member, Compensation & HR Committee
Member, Executive Committee
Mr Goh is the Chairman of Budget Aviation Holdings Pte. Ltd., which owns and manages SIA's low-cost subsidiary Scoot Pte Ltd ("Scoot"). He is a member of the National University of Singapore Board of Trustees, where he was Chairman of its Innovation and Enterprise Committee and has been a member of its Nominating Committee and Executive Committee since 1 April 2023. Mr Goh is an Independent Director on the Board of Mastercard Incorporated and Air India Limited.
Mr Goh is an Executive Committee member of the Association of Asia Pacific Airlines, serving as its Chairman in 2023. He was a member of the Board of Governors of the International Air Transport Association and was its Chairman between June 2017 and
June 2018.
In addition, Mr Goh is a member of the MIT Presidential CEO Advisory Board, which comprises CEOs from leading companies in a variety of industries around the world. He previously served
Paint Marketing Co. (M) Sdn. Bhd. (Director)
Nippon Paint (Thailand) Co., Ltd. (Director)
Nippon Paint (H.K.) Co., Ltd. (Director)
Nippon Paint (China) Co., Ltd. (Director)
Nippon Paint (H.K.) Co. Ltd Taiwan Branch (Director)
GuangZhou Nippon Paint Co., Ltd. (Director)
Nippon Paint (ChengDu) Co., Ltd. (Director)
Langfang Nippon Paint Co., Ltd. (Director)
Nippon Paint China Holdings Co., Ltd. (Director)
NP Auto Refinishes Co., Ltd. (Director)
Nippon Paint Vinh Phuc Co., Ltd. (Director)
Nippon Paint Lanka (Private) Limited (Director)
HSJ Pte. Ltd. (Director)
Guangdong Nippon Paint Changrunfa Technical Materials Co., Ltd. (Director)
DuluxGroup Limited (Director)
Vital Technical Sdn. Bhd. (Director)
Nippon Paint Holdings SG Pte Ltd (Director)
Non-Executive and Non-Independent Director
on the Board of Directors of Mount Alvernia Hospital and Virgin
Betek Boya Ve Kimya San. A.S. (Director)
MR LIM KONG PUAY, 68
Chairman, Board Safety & Risk Committee
Chairman, Technology Advisory Committee Member, Audit Committee
Member, Board Working Group
Non-Executive and Independent Director
First Appointment as a Director
1 August 2021
Last Re-election as a Director
21 July 2022
Length of service as a Director (as at 31 March 2025)
3 years 8 months
First Appointment as Director
1 January 2011
Last Re-election as Director
19 July 2024
Length of service as a Director (as at 31 March 2025)
14 years 3 months
Present Directorships in Other Listed Companies
Singapore Airlines Limited (Director and Chief Executive Officer)
Mastercard Incorporated (Director)
Other Principal Commitments
Budget Aviation Holdings Pte. Ltd. (Chairman)
Air India Limited (Director)
Australia Holdings Limited.
Mr Goh was the 2015 recipient of the Centre for Aviation's
Asia-Pacific Airline CEO of the Year award. In 2016, he received the CEO Lifetime Achievement Award from the Airline Passenger Experience Association, as well as the Eisenhower Global Innovation Award from the Business Council for International Understanding. He was named Outstanding Chief Executive Officer of the Year in the 2017 Singapore Business Awards, Person of the Year by Orient Aviation magazine in 2018, and Best Chief Executive Officer for companies with $1 billion or more in market capitalisation at the 2019 Singapore Corporate Awards. Most recently, he won the Excellence in Leadership Award at Air Transport World magazine's 2024 Airline Industry Achievement Awards.
Past Directorships/Appointments in the Past 5 Years
ES Group (Holdings) Limited (Chairman)
SBS Transit Ltd (Director)
Langfang Nippon Paint Lidong Co., Ltd. (Director)
Nippon Paint New Materials (Wuhan) Co., Ltd. (Director)
Nippon Paint (Shanghai) Research & Development Co., Ltd. (Director)
Yashili Paint (Suzhou) Co., Ltd. (Director)
Nippon Paint (Hebei) Co., Ltd. (Director)
Nippon Paint New Materials (Shanghai) Co., Ltd. (Director)
Nippon Paint (Jiangsu) Co., Ltd. (Director)
Nippon Paint (Sichuan) Co., Ltd. (Director)
Nippon Paint Engineering Materials (Guangzhou) Co., Ltd. (Director)
Present Directorships in Other Listed Companies
Nil
National University of Singapore (Member, Board of Trustees)
Massachusetts Institute of Technology (Member, Presidential CEO
Nippon Paint Decoration Materials (Guangzhou) Co., Ltd.
(Director)
Other Principal Commitments
TP Utilities Pte. Ltd. (Director)
Tuas Power Generation Pte. Ltd. (Director)
Tuas Power Ltd (Director)
TP-STM Water Resources Pte. Ltd. (Director)
Singapore Institute of Power and Gas Pte. Ltd. (Director)
Past Directorships/Appointments in the Past 5 Years
Tuas Power Supply Pte. Ltd. (Director)
TPGS Green Energy Pte. Ltd. (Director)
TP-STM Water Services Pte. Ltd. (Director)
ARA LOGOS Logistics Trust Management Limited (Director)
Academic and Professional Qualification(s)
Bachelor of Engineering (Mechanical), National University of Singapore
Fellow, Institution of Engineers, Singapore
Mr Lim was the Chief Executive Officer of Tuas Power Generation Pte. Ltd. for 14 years until his retirement in 2018. He has more than 35 years of experience in the electricity industry in Singapore covering the operation, maintenance and management of
large-scale steam turbine generators and combined cycle plant. Mr Lim had helped to establish Tuas Power Generation as one of the leading power generation companies in the liberalised wholesale and retail electricity market in Singapore. He had also expanded the businesses of Tuas Power Generation to include
Advisory Board)
Association of Asia Pacific Airlines (Member, Executive Committee)
Past Directorships/Appointments in the Past 5 Years
International Air Transport Association (Member, Board of Governors)
Association of Asia Pacific Airlines (Chairman, Executive Committee)
Academic and Professional Qualification(s)
Master of Science in Electrical Engineering and Computer Science
Bachelor of Science in Computer Science & Engineering
Bachelor of Science in Management Science
Bachelor of Science in Cognitive Science Massachusetts Institute of Technology, USA
Mr Goh is a Director and the Chief Executive Officer of Singapore Airlines Limited ("SIA"). He joined SIA in 1990 and has held senior management positions in Singapore and overseas. He joined SIA's Board on 1 October 2010 and assumed the role of Chief Executive Officer on 1 January 2011. Mr Goh was previously Executive Vice President Marketing and the Regions and President of SIA Cargo. Prior senior management roles with SIA included Senior Vice President Finance, Senior Vice President Information Technology, and Senior Vice President Commercial Technology. His overseas assignments were in China and Scandinavia.
MR WEE SIEW KIM, 64
Member, Board Safety & Risk Committee
Member, Compensation & HR Committee Non-Executive and Independent Director
First Appointment as a Director
8 May 2017
Last Re-election as a Director
20 July 2023
Length of service as a Director (as at 31 March 2025)
7 years 10 months
Present Directorships in Other Listed Companies
Singapore Telecommunications Limited (Director)
Nippon Paint Holdings Co Ltd (Director, Representative Executive Officer & Co-President)
Other Principal Commitments
NIPSEA Group (Group Chief Executive Officer)
Nipsea Management Company Pte Ltd (Director)
Jurong Port Pte Ltd (Chairman)
Nippon Paint Coatings (Taiwan) Co., Ltd. (Director)
Nippon Paint (Singapore) Co., Pte. Ltd. (Director)
Nippon Paint (Vietnam) Co., Ltd. (Director)
Nippon Paint Vietnam (Hanoi) Co., Ltd. (Director)
Nippon Paint (Malaysia) Sdn. Bhd. (Director)
Betek Tasyunu Sanayani Ve Ticaret A.S. (Director)
Faber Union Ltd (Director)
Neteks Boya Teknolojileri A.S. (Director)
Ideal Firca Ve Rulo Sanayi A.S. (Director)
Nippon Paint (India) Pte Ltd (Director)
Mapletree Logistics Trust Management Ltd (Director)
Nippon Paint Malaysia (S) Pte Ltd (Director)
Nippon Paint Industrial Coatings (Shanghai) Co., Ltd. (Director)
BK & NP Automative Coatings (ShangHai) Co., Ltd. (Director)
Nippon Paint (Hubei) Co., Ltd. (Director)
Nippon Paint (Zhengzhou) Co., Ltd. (Director)
Nippon Paint (KunMing) Co., Ltd. (Director)
Nippon Paint (Henan) Co., Ltd. (Director)
Nippon Paint Building Solutions (Shanghai) Co., Ltd. (Director)
Nippon Paint New Materials (Tianjin) Co., Ltd. (Director)
Zhenfucai Materials Technology (Chengdu) Co., Ltd. (Director)
Nippon Paint New Materials (Nanjing) Co., Ltd. (Director)
Nippon Paint New Materials (Jiangsu) Co., Ltd. (Director)
Nippon Paint And Surface Chemicals Pvt. Ltd (Director)
Nippon Paint Automative Europe GmbH (Director)
Nippon Paint Pakistan (Private) Limited (Director)
Nippon Paint (Bangladesh) Private Limited (Director)
Nipsea Chemical Co., Ltd. (Director)
Nippon Paint (TianJin) Co., Ltd. (Director)
Nippon Paint Decorative Coatings (Thailand) Co., Ltd. (Director)
Nippon Paint (ShenYang) Co., Ltd. (Director)
BOARD OF DIRECTORS
Nipsea Technologies Pte. Ltd. (Director)
Nippon Paint (Qingyuan) Co., Ltd. (Director)
Nippon Paint Energy Saving and Environmental Protection Technology (Shanghai) Co., Ltd. (Director)
Shanghai Nippon Paint Lomon New Materials Technology Co., Ltd. (Director)
Academic and Professional Qualification(s)
Master of Business Administration, Graduate School of Business, Stanford University, USA
Bachelor of Science in Aeronautical Engineering (Honours), Imperial College of Science and Technology and Medicine, UK
Fellow, City and Guilds of London Institute
Mr Wee is currently the Representative Executive Officer,
Co-President and Member of the Board of Nippon Paint Holdings Group. He holds the concurrent appointment of Chief Executive
vKirirom Pte Ltd (Director)
Digital Task Force, National Volunteer & Philanthropy Center (Adviser)
NUS Innovation & Enterprise (Member, Executive Council)
Boost Holdings Sdn Bhd (Malaysia) (Director)
Lion Global Investors Ltd (Director)
iShine Cloud Limited (Director)
Academic and Professional Qualification(s)
Bachelor of Science (Computer Science and Mathematics), National University of Singapore
Ms Chong spent 29 years at Accenture where she held senior leadership roles covering various industries and countries in Asia. She was the Chairman and Country Managing Director of Accenture Greater China from 2015 to 2018, during which she was responsible for strategic planning and execution, growth
Ms Tan is a Partner and the Head of Equity Capital Markets at Allen & Gledhill LLP. Her areas of expertise span across equity and debt capital markets and corporate regulatory and compliance. She
has extensive experience acting for issuers and underwriters on a wide range of innovative, high value and complex transactions,
from initial public offerings and listings on the Singapore Exchange as well as regional and international exchanges to global debt offerings. She continues to advise listed corporates and business trusts after listing on their follow-on equity offerings, debt offerings, acquisitions and disposals and corporate regulatory and compliance advisory matters.
Ms Tan has been the Chief Examiner, Corporate Finance, for the Foreign Practitioner Examinations since 2012 and a Lecturer for Advance Corporate Law, Preparatory Course Leading to Part B of the Singapore Bar Exams from 2011 to 2022.
Mr Tan was seconded to Shanghai-based Great Wall Airlines as its President in October 2005. He returned to SIA Cargo as Senior Vice President Operations in October 2008, and assumed the post of President SIA Cargo in March 2010.
Mr Tan was appointed as SIA's Senior Vice President Corporate Planning in August 2013, and Senior Vice President Marketing Planning in August 2016. He was promoted to Executive Vice President Finance and Strategy in April 2020, and appointed as Chief Financial Officer in May 2021. He was appointed as
Executive Vice President Operations and Chief Operations Officer in September 2023.
MR NG CHEE KHERN, 59
Member, Audit Committee
Officer of NIPSEA Group, a paints and coatings company with 118 manufacturing facilities and operations spanning 28 countries
and profitability, leadership development, corporate governance, risk management and client satisfaction. Prior to that, she also
Member, Technology Advisory Committee
Non-Executive and Independent Director
and regions.
Prior to his current position, Mr Wee was Deputy Chief Executive Officer and President (Defence Business) of Singapore Technologies Engineering Ltd (Singapore Technologies). Mr Wee started his career with Singapore Technologies in 1984 as an engineer in Singapore Aircraft Industries Pte Ltd, the predecessor company of ST Engineering Aerospace Ltd. During his 25-year career with Singapore Technologies, Mr Wee held appointments in engineering, business development and management, including operating stints in the United States of America, China, Europe and Singapore.
MS CHONG CHUAN NEO, 62
Chairman, Board Sustainability Committee
Member, Audit Committee Member, Nominating Committee
Member, Technology Advisory Committee Member, Board Working Group
Non-Executive and Independent Director
First Appointment as a Director
1 October 2022
Last Re-election as a Director
20 July 2023
Length of service as a Director (as at 31 March 2025)
2 years 6 months
Present Directorships in Other Listed Companies
Raffles Medical Group Ltd (Director)
Oversea-Chinese Banking Corporation Limited (Director)
Other Principal Commitments
MODA Solutions Ltd (BCR Shanghai) (Director)
Partners Group Singapore Pte Ltd (Operating Director)
OCBC Bank (Hong Kong) Limited (Director)
Past Directorships/Appointments in the Past 5 Years
Accenture Singapore Pte Ltd (Director)
Newspage Pte Ltd (Director)
Aimazing Pte Ltd (Director)
Graduate Investment (NUS GRIP) Pte Ltd (Director)
managed Accenture's Asia Pacific Consumer, Industrial, Travel & Transport business and the Global Transport (Air, Land, Sea), Travel,
Hospitality and Infrastructure business. Her experience extends to areas such as technology and digital transformation, efficiency improvement and cost management leveraging software, robotics and data analytics.
Ms Chong is currently a Non-Executive and Independent Director of Oversea-Chinese Banking Corporation Limited, OCBC Bank (Hong Kong) Limited, MODA Solutions Ltd and Raffles Medical Group Ltd. She is also an Operating Director with Partners Group Singapore Pte Ltd, a Swiss global Private Equity firm. She previously served as a member of the National University of Singapore (NUS) Innovation and Enterprise Executive Committee, a Board member of NUS Graduate Investments Pte Ltd and an Advisor in the Digital Advisory Council of the National Volunteer and Philanthropy Centre.
MS TAN TZE GAY, 60
Member, Audit Committee
Member, Board Sustainability Committee Non-Executive and Independent Director
First Appointment as a Director
28 October 2022
Last Re-election as a Director
20 July 2023
Length of service as a Director (as at 31 March 2025)
2 years 5 months
Present Directorships in Other Listed Companies
Singapore Telecommunications Limited (Director)
Other Principal Commitments
Allen & Gledhill LLP (Partner and Head of Equity Capital Markets)
Past Directorships/Appointments in the Past 5 Years
Nil
Academic and Professional Qualification(s)
Bachelor of Laws (Honours, 2nd Upper), National University of Singapore
MR TAN KAI PING, 52
Member, Board Safety & Risk Committee
Member, Nominating Committee Member, Board Working Group
Non-Executive and Non-Independent Director
First Appointment as a Director
10 September 2023
Last Re-election as a Director
19 July 2024
Length of service as a Director (as at 31 March 2025)
1 year 6 months
Present Directorships in Other Listed Companies
Nil
Other Principal Commitments
Singapore Airlines Limited (Executive Vice President Operations and Chief Operations Officer)
SilkAir (Singapore) Private Limited (Chairman and Director)
Budget Aviation Holdings Pte. Ltd. (Director)
Encounters Pte. Ltd. (Chairman and Director)
Singaporean-German Chamber of Industry and Commerce (SGC) (Member, SGC Advisory Council)
Singapore Airlines Foundation Ltd (Chairman and Director)
Past Directorships/Appointments in the Past 5 Years
Singapore International Foundation (Member, Board of Governors)
Academic and Professional Qualification(s)
Master of Engineering in Electrical and Electronic Engineering with Management, Imperial College London, UK
Mr Tan is the Executive Vice President Operations and Chief Operations Officer at SIA, where he oversees the Cabin Crew, Customer Services and Operations, Engineering and Flight Operations divisions.
Mr Tan joined SIA in 1995 as a Cadet Administrative Officer.
He held various positions in SIA Cargo before being promoted to Cargo Manager Corporate Strategy in 2001 and Senior Manager Freighter Planning and Corporate Strategy in 2002. Mr Tan was appointed SIA Cargo's General Manager Singapore in 2003.
First Appointment as a Director
1 February 2025
Last Re-election as a Director
N.A.
Length of service as a Director (as at 31 March 2025)
2 months
Present Directorships in Other Listed Companies
Hong Leong Asia Ltd. (Director)
Other Principal Commitments
Ministry of Manpower, Singapore (Permanent Secretary)
Human Capital Leadership Institute (Director)
Past Directorships/Appointments in the Past 5 Years
Smart Nation and Digital Government Group, Prime Minister's Office, Singapore (Permanent Secretary)
Government Technology Agency of Singapore (GovTech) (Chairman)
Changi Airport Group (Singapore) Pte. Ltd. (Director)
CapitaLand Integrated Commercial Trust Management Limited (Director)
Singapore University of Technology and Design, Lee Kuan Yew Centre for Innovative Cities (Member, International Advisory Panel)
Academic and Professional Qualification(s)
Master of Public Administration, Harvard University, USA
Master of Arts (Philosophy, Politics and Economics), University of Oxford, UK
Bachelor of Arts (Philosophy, Politics and Economics) (Honours, 2nd Upper), University of Oxford, UK
Mr Ng is currently Permanent Secretary (Manpower) for the Ministry of Manpower, where he has spearheaded government programmes to develop a productive workforce and progressive workplaces
for Singaporeans to have better jobs and a secure retirement. Prior to his current role, Mr Ng was Permanent Secretary for the Smart Nation and Digital Government Group in the Prime Minister's Office from May 2017 to March 2022. In this role, he led the government's efforts in driving the development of digital enablers
for citizens and businesses, and applying digital and smart solutions to improve the lives of citizens in a Smart Nation. Mr Ng was also
BOARD OF DIRECTORS
Permanent Secretary (Defence Development) in Singapore's Ministry of Defence from May 2014 to April 2017, where his portfolio covered defence research and technology, capability development and acquisitions, and defence administration. Mr Ng served in the Republic of Singapore Airforce ("RSAF") for 26 years as a pilot and ended his service in the RSAF as the Chief of Airforce from March 2006 to December 2009.
Mr Ng is a Non-Executive and Independent Director of Hong Leong Asia Ltd. He was the former Chairman of the Government Technology Agency where he oversaw the significant build-up of in-house capabilities in software engineering, data science and
Mr Chin was appointed Chief Executive Officer of SIAEC on 1 October 2023. Prior to joining SIAEC, he was Senior Vice
President Cargo, SIA, following the re-integration of SIA Cargo (then a wholly-owned subsidiary of SIA) as a Division within SIA on 1 April 2018. Before that, he had been President SIA Cargo since May 2014.
Mr Chin was Chief Executive SilkAir (Singapore) Private Limited ("SilkAir") from 2007 to 2010 and Chief Executive Officer of Tiger Airways Holdings Ltd ("Tiger Airways") from 2011 to 2012. Prior to his move to SIA Cargo, he held the position of Senior Vice President Sales & Marketing in SIA.
National Digital Economy Committee (Member)
Presidential Science and Technology Awards Committee (Member)
Finance and Budget Committee (A*STAR) (Member)
Audit Committee (A*STAR and DSTA) (Member)
ASEAN Committee on Science & Technology (Chairman)
College Advisory Board of the College of Engineering (NTU) (Chairman)
Surbana Jurong Private Limited (Managing Director (Technology and Research))
Academic and Professional Qualification(s)
PhD in Materials Science, National University of Singapore
cybersecurity. He had previously served as a board member of various organisations, including Changi Airport Group, Singapore
Postdoctoral Fellowship, Massachusetts Institute of Technology, USA
Technologies Engineering Ltd and CapitaLand Mall Trust (now
known as CapitaLand Integrated Commercial Trust).
DR RAJ THAMPURAN, 61
Chairman, Technology Advisory Committee
Member, Audit Committee
Bachelor of Mechanical Engineering (Honours), University of London, UK
Advanced Management Programme, INSEAD, France
Member, Board Safety & Risk Committee
Non-Executive and Independent Director
Fellow, Singapore Academy of Engineers
MR CHIN YAU SENG, 53
Member, Board Sustainability Committee
Member, Executive Committee
Member, Technology Advisory Committee
Non-Independent Director and Chief Executive Officer
First Appointment as a Director
8 October 2018
Last Re-election as a Director
19 July 2024
Length of service as a Director (as at 31 March 2025)
6 years 5 months
Present Directorships in Other Listed Companies
Nil
Other Principal Commitments
Singapore Aero Engine Services Private Limited (Deputy Chairman)
Past Directorships/Appointments in the Past 5 Years
Singapore Airlines Limited (Senior Vice President Cargo)
Singapore Airlines Cargo Pte Ltd (Director)
KrisShop Pte. Ltd. (formerly known as Singapore Airport Duty-Free Emporium (Private) Limited) (Director)
International Air Transport Association (Member, Cargo Advisory Council)
Academic and Professional Qualification(s)
Master of Science (Distinction) in Operational Research
Bachelor of Science (Economics) in Accounting & Finance The London School of Economics and Political Science, University of London, UK
(until 30 May 2025)
First Appointment as a Director
1 September 2016
Last Re-election as a Director
21 July 2022
Length of service as a Director (as at 31 March 2025)
8 years 7 months
Present Directorships in Other Listed Companies
Nil
Other Principal Commitments
The Institution of Engineers - College of Fellows (CoF) Board (Member (CoF))
MINDS (RCCS Sub-committee) (Member)
Singapore Academy of Engineers (Fellow)
Past Directorships/Appointments in the Past 5 Years
Exploit Technologies Pte Ltd (now A*ccelerate Technologies) (Chairman)
D3 Steering Committee (Chairman)
Agency for Science, Technology & Research (A*STAR) (Board Member)
Defence Science and Technology Agency (DSTA) (Board Member)
Tropical Marine Science Institute (Member of Management Board)
Committee on Autonomous Road Transport for Singapore (Member)
National University of Singapore Engineering Faculty Advisory Board (Member)
Nanyang Technological University (NTU) Advisory Committee for Bioengineering Education (Member)
Fellow, Institution of Engineers, Singapore
Dr Thampuran had a twenty-year career in the public sector before he joined Surbana Jurong Private Limited as Managing Director (Technology and Research) from 1 February 2020 till 29 May 2023.
His career spanned across various aspects of technology and its development, management, innovation and policy. In the public sector, he spent seven years as the Managing Director as well as a Board Director of the Agency for Science, Technology and Research (A*STAR) until 31 March 2020. Dr Thampuran joined A*STAR in 2000 as Head of the Technology Planning Unit and has held various executive and leadership positions in the Electronics, Engineering and Chemicals clusters, the Institute
of High Performance Computing, and in Planning and Policy. In these positions and capacities, Dr Thampuran was involved in planning, establishing and implementing the framework for
Research Councils; helped to manage and support the capability development efforts of public sector performers in areas identified for technological growth; developed initiatives and various schemes to support Research & Development ("R&D") involving the universities and other institutes of higher learning; spearheaded the R&D portfolio and industry development efforts across A*STAR and interacted with government policy makers and Ministry officials to shape A*STAR's contributions to the National R&D Framework among other executive responsibilities and desired outcomes.
At Surbana Jurong Private Limited, he helped spearhead the Group's digital strategy and transformation efforts as well as setting priorities and a framework for technological investments.
Dr Thampuran was a recipient of the Public Administration Medal (Bronze and Silver) and ASEAN Meritorious Award.
KEY EXECUTIVES
MR CHIN YAU SENG
Chief Executive Officer
Mr Chin is a Director and the Chief Executive Officer. He was appointed Chief Executive Officer on 1 October 2023.
Prior to joining SIAEC, Mr Chin was Senior Vice President Cargo, SIA, following the re-integration of SIA Cargo (then a wholly-owned subsidiary of SIA) as a Division within SIA on 1 April 2018. Before that, he had been President SIA Cargo since May 2014.
He was Chief Executive SilkAir from 2007 to 2010 and Chief Executive Officer of Tiger Airways from 2011 to 2012. Prior to his move to SIA Cargo, he held the position of Senior Vice President Sales & Marketing in SIA.
Mr Chin is currently the Deputy Chairman of Singapore Aero Engine Services Private Limited.
Mr Chin has a Bachelor of Science (Economics) in Accounting & Finance and a Master of Science (Distinction) in Operational Research, both from the London School of Economics and Political Science, University of London, UK.
MR PHILIP QUEK CHER HEONG
Senior Vice President
Line Maintenance
Mr Quek was appointed Senior Vice President Line Maintenance on 1 April 2022. He joined SIAEC in 2001 and served in various divisions such as Base Maintenance, Workshops, Line Maintenance, Fleet Management, IT and in SIA Engineering (Philippines) Corporation. He was appointed Vice President Workshops in April 2013, General Manager of SIA Engineering (Philippines) Corporation in September 2014, Acting Senior Vice President Line Maintenance & IT in April 2015, Senior Vice President Line Maintenance & Fleet Management in October 2016, Senior Vice President Partnership Management & Business Development in April 2018 and Senior Vice President Base Maintenance in July 2020.
Mr Quek is the Chairman of Singapore Aero Support Services Pte. Ltd. and TIA Engineering Services Company Limited, a Director of Goodrich Aerostructures Service Center - Asia Pte. Ltd., Moog Aircraft Services Asia Pte. Ltd., Southern Airports Aircraft Maintenance Services Company Limited and Pos Aviation Engineering Services Sdn. Bhd.
Mr Quek holds a Bachelor of Engineering (Honours) degree from Nanyang Technological University, Singapore.
MR FOO KEAN SHUH
Executive Vice President Operations and Chief Sustainability Officer
Mr Foo was appointed Executive Vice President Operations and Chief Sustainability Officer on
1 April 2022. He joined the Engineering Division of SIA in 1994 as a Technical Services Engineer. He went on to hold various senior positions in the division, including Vice President Maintenance Planning & Control, Vice President Technical Projects and Divisional Vice President Engineering (Operations). On 1 June 2016, he was appointed as Senior Vice President Innovation & Technology in SIAEC. He then took on the position of Senior Vice President Line Maintenance & Cabin Services on 1 April 2018, prior to his last appointment as Senior Vice President Corporate Planning, Fleet Management & Commercial on 1 October 2020.
Mr Foo is the Chairman of Aerospace Component Engineering Services Pte. Limited and Pan Asia Pacific Aviation Services Limited.
Mr Foo holds a Master of Science (Thermal Power) degree from Cranfield University, UK and a Bachelor of Engineering (Aerospace Engineering) (Honours) degree from the Royal Melbourne Institute of Technology, Australia.
MR WONG YUE JEEN
Chief Commercial Officer
Mr Wong was appointed to his current role of Chief Commercial Officer on 1 April 2024, where he is responsible for the sales and marketing, business development and partnership management portfolios. He joined SIAEC in March 2008 and has held various roles in the company including positions in Aircraft & Component Services, Base Maintenance and Engine Services.
Prior to joining SIAEC, Mr Wong held senior management roles at other organisations such as General Electric, ABB-Alstom, SAP and ICI, with responsibilities in areas such as business development, finance, commercial management and marketing, as well as engineering project development and quality management.
He is a Director of Asia Pacific Aircraft Component Services Sdn. Bhd., Eagle Services Asia Private Limited, Singapore Aero Engine Services Private Limited, Panasonic Avionics Services Singapore Pte. Ltd., Pos Aviation Engineering Services Sdn. Bhd., Base Maintenance Malaysia Sdn. Bhd. and Eaton Aerospace Component Services Asia Sdn. Bhd. He is also President of the Association of Aerospace Industries (Singapore).
Mr Wong holds a joint Bachelor of Science degree from the School of Mathematical and Information Science at La Trobe University, Australia. He is also a Chartered Engineer and Fellow of The Institution of Engineering and Technology (CEng FIET), as well as a Member of the Institute of Singapore Chartered Accountants (CA) and CPA Australia (CPA).
Ms Ng was appointed Chief Financial Officer on 1 October 2017.
MS NG LAY PHENG
Senior Vice President Finance / Chief Financial Officer
Ms Ng joined SIA in 1992 as an Accountant and has held various appointments within the SIA Group of Companies. She was Vice President Finance at SilkAir before she joined SIAEC on 12 April 2017 as Vice President Finance.
Ms Ng is a Director of Singapore Aero Support Services Pte. Ltd.
Ms Ng holds a Bachelor of Accountancy (Honours) degree from the National University of Singapore.
MR NG JAN LIN WILIN
Senior Vice President India & Projects
Mr Ng was appointed Senior Vice President India & Projects on 1 April 2024. Prior to his latest appointment, he was the Chief Commercial Officer. He was also responsible for Line Maintenance, Fleet Management, Engineering, Innovation and Information Technology divisions earlier. He joined SIAEC
in August 1994 and was appointed Vice President Line Maintenance in 2011. In addition, Mr Ng was seconded to SIA, where he served in the areas of Material Management and Fleet Management.
Mr Ng is a Director of Safran Landing Systems Services Singapore Pte. Ltd.
Mr Ng holds a Master of Business Administration degree and a Bachelor of Engineering (Honours) degree from Nanyang Technological University, Singapore.
KEY EXECUTIVESMR DAVID SO MAN FUNG
Senior Vice President
Corporate Planning & Continuous Improvement
Mr So was appointed Senior Vice President Corporate Planning & Continuous Improvement on
1 February 2023. Prior to his latest appointment, he was Senior Vice President Transformation and Technology. In addition to innovation and technology, and the Enterprise Continuous Improvement Office, he is also responsible for corporate planning and supply chain management. Besides driving improvements in systems and processes, he oversees strategic and innovative plans for business growth, capability development and technology adoption across all divisions in SIAEC.
Mr So joined SIAEC in 2005 as an Executive Engineer, specialising in airframe systems and aircraft structures. Between 2011 and 2015, he held various senior positions in Engineering and Fleet Management Divisions, including Vice President Engineering and Fleet Technical Management. He assumed the position of Vice President Transformation Office in 2017.
Mr So is currently the Chairman of Fuel Accessory Services Technologies Pte Ltd.
Mr So sits on the council of the Institution of Engineers Singapore. He holds a Bachelor of Engineering (Honours) degree from the National University of Singapore.
Dr Riggers was appointed Senior Vice President Component Services on 16 January 2023. He is currently responsible for the Component Services Division.
DR BERND RIGGERS
Senior Vice President Component Services
Prior to his appointment, Dr Riggers was the General Manager, Product Business Unit Aircraft Overhaul, of Aircraft Maintenance & Engineering Corporation in China since 2021. He has 22 years of prior work experience in Lufthansa Technik, and held leadership appointments covering regions like China, North America, and Germany. He has extensive experience in MRO and Component Services including profit and loss, purchasing, and logistics.
Dr Riggers is currently the Chairman of Asia Pacific Aircraft Component Services Sdn. Bhd., a Director of Aerospace Components Engineering Services Pte. Limited, Safran Electronics & Defense Services Asia Pte. Ltd. and Eaton Aerospace Component Services Asia Sdn. Bhd.
Dr Riggers has a Doctoral degree in Economics from the University of St. Gallen (HSG), Switzerland. He holds a Master of Science degree in Industrial Engineering from the Technical University Berlin, Germany, and completed the International Master in Practicing Management Leadership Program at INSEAD, France.
MR STEFAN FRANZ HEINRICH SCHMUCK
Senior Vice President
Engine Services
MR JEREMY YEW JIN KIT
Senior Vice President
Base Maintenance
Mr Schmuck was appointed Senior Vice President Engine Services on 1 November 2021. He is currently responsible for the Engine Services Division.
Prior to joining SIAEC, Mr Schmuck last held the position of Managing Director Operations (COO) in XEOS Sp. z o.o (a Joint Venture of Lufthansa Technik and GE Aviation) at Wroclaw, Poland since November 2016. He has six years of prior work experience with GE Aviation and 15 years in Lufthansa Technik, and held appointments covering regions such as Ireland, North America, Germany, Latin America and Africa. He has international experience in aircraft maintenance, repair and overhaul, and aerospace component manufacturing industries, with a wide span of leadership responsibilities in operations, Lean process, sales, customer relationship, and profit and loss responsibility.
Mr Schmuck is a Director of GE Aviation, Overhaul Services - Singapore Pte. Ltd., a Director of Component Aerospace Singapore Pte. Ltd. and Eagle Services Asia Private Limited.
Mr Schmuck has a Master of Science degree in Aerospace Engineering from the Technical University of Munich, Germany, and completed the General Management Program from Harvard Business School, USA.
Mr Yew was appointed Senior Vice President Base Maintenance on 1 April 2022. He is currently responsible for the Base Maintenance Division.
Prior to his appointment, Mr Yew was the Vice President, Technical Services, in the Engineering Division of SIA, a position he had held since 2018. He joined SIA as a Technical Services Engineer in 2005 and his experience includes Fleet Management for Airbus as well as Engineering Leadership stints in Scoot and Tiger Airways.
Mr Yew is the Chairman of SIA Engineering (Philippines) Corporation, Jade Engineering Pte. Ltd. and Base Maintenance Malaysia Sdn. Bhd.
Mr Yew has a Master of Business Administration degree from the National University of Singapore and University of California, Los Angeles, USA, and a Bachelor of Engineering (Honours) degree from the National University of Singapore.
Ms Choy joined SIAEC as Senior Vice President Human Resources Designate on 1 March 2025 and was appointed Senior Vice President Human Resources and Chief Human Resources Officer on
MS ELEANA CHOY
Senior Vice President Human Resources /
Chief Human Resources Officer
1 June 2025.
Ms Choy has over 25 years of Human Resources ("HR") leadership experience and has held senior HR positions across various sectors in the maritime industry. She has spent more than a decade as a Chief HR Officer, leading strategic HR initiatives and cultural transformation in two large organisations. Her expertise and experience span organisational development, industrial relations, talent management, leadership development, employee engagement, compensation and benefits, and HR strategy, as well as corporate communications.
Ms Choy holds an Executive Master of Business Administration degree from Nanyang Technological University and completed the Advanced Management Program at Haas School of Business, University of California, Berkeley.
THE YEAR IN REVIEW
FINANCIAL RESULTS
For the financial year ended 31 March 2025 ("FY2024/25"), the Group's revenue increased by 13.8% year-on-year to $1,245.1 million, supported by steady demand for aircraft Maintenance, Repair and Overhaul ("MRO") services as global air travel recovered.
Group expenditure rose 12.7%, mainly from higher manpower costs and material usage to support business expansion. Prudent cost management helped the
Group contain expenditure escalation at a slower pace than revenue growth. This resulted in a $12.3 million improvement in operating profit to $14.6 million in FY2024/25 from $2.3 million in FY2023/24.
Share of profits from associated and joint venture ("JV") companies improved 17.4% to $118.6 million, driven by sustained demand growth. The Engine and
Component segment recorded a 15.8% increase in profit to $113.1 million, while profit from the Airframe and Line Maintenance segment rose 66.7% to $5.5 million.
Overall, the Group posted a 43.8% increase in net profit to $139.6 million for FY2024/25, representing a year-on-year improvement of $42.5 million. Basic earnings per share rose to 12.46 cents, up from 8.65 cents a year ago.
OPERATING PERFORMANCE
Robust air travel demand throughout the year fuelled stronger demand for line maintenance services across the Group's network. In Singapore, the number of flights handled increased 8% year-on-year, with flight volumes in the fourth quarter of FY2024/25 almost on par with pre-COVID levels. Volumes at the overseas Line Maintenance stations also trended upwards. During the year, the Group added new stations in Indonesia and Japan, whilst operations in Cambodia are expected to commence in September 2025, expanding the Group's Line Maintenance network to 36 airports in nine countries.
Demand for base maintenance checks remained healthy in FY2024/25 although the checks required longer hangar stays on average, compared to the previous year, due to a higher proportion of legacy aircraft requiring more extensive work scopes and in some cases, the delayed completion of the checks resulting from supply chain issues that impacted the
OUTLOOK
The MRO industry continues to see sustained demand, with Asia-Pacific at the forefront of this growth. The industry's pace of growth may, however, be tempered by persistent supply chain issues, inflationary pressures and geopolitical and trade tensions, including the prospect of higher trade tariffs.
For now, the direct impact of higher tariffs on the Group is limited. While there could be potential indirect effects from a sustained increase in tariffs, it is currently too early to quantify their potential impact with any certainty. Nevertheless, the Group is implementing measures to mitigate any potential impact while staying abreast of geopolitical and trade
policy developments, as well as trends in air travel demand and aircraft fleet utilisation, to identify emerging risks
and opportunities.
Given ongoing uncertainties, the Group is staying nimble and
The Group posted a 43.8% increase in net profit to $139.6 million for FY2024/25, representing a year-on-year improvement of $42.5 million.
availability of aircraft spare parts. In Malaysia, Base Maintenance Malaysia's ("BMM") two Subang hangars will form the Group's third base maintenance hub in Asia-Pacific, supplementing
our hangars in Singapore and the Philippines and increasing airframe check capacity to a total of 11 hangars.
The Group's engine and component shops delivered higher repair and overhaul output in FY2024/25, supported by measures to mitigate supply chain disruptions. To meet growing demand, we doubled our engine testing capacity by streamlining rosters to enable extended work shifts at our
Engine Test Facility. Engine Services is also on track to expand engine test capabilities to include the CFM LEAP-1B engine.
Work volumes for Component Services also rose with the recovery in flight activity and strong partnerships that supported the expanded scope of component MRO capabilities. At the end of the year under review, the Group had 187 aircraft from nine customers under its Inventory Technical Management ("ITM") programme.
In addition, the Company deepened the integration of Lean practices, digital tools and its Continuous Improvement programme across the organisation in FY2024/25. This integration, which is part of the ongoing phased implementation of our new Enterprise Operating System, together with the ongoing rollout of digital platforms such as eLITE, ETask and eSlot and other digital initiatives like machine vision, are key pieces in our effort to strengthen our core business to enhance efficiency, operational resilience, agility and competitiveness.
responsive to the complexities of the operating environment. We remain open to new opportunities and investments in areas that reinforce our core strengths and drive sustainable long-term growth.
We believe that against such a backdrop, our three primary strategic thrusts, namely (a) expanding our geographical presence across the Asia-Pacific region, (b) expanding MRO capacity and capabilities for new-generation aircraft, and (c) strengthening our core to deliver greater value to customers and stay competitive, continue to be relevant.
Some of the initiatives that we are pursuing are expected to enhance operational resilience and performance in the near term, while others will require a longer investment horizon or gestation period to scale up operations and generate returns. Collectively, these strategic initiatives serve to build a strong foundation to bolster our resilience amidst the increasingly complex risk landscape, and support sustainable, long-term growth whilst positioning the SIAEC Group as the preferred MRO provider of choice.
DIVIDEND
The Board of Directors has proposed a final ordinary dividend of 7.0 cents per share for FY2024/25. Together with the interim dividend of 2.0 cents per share, the total dividend for the year amounts to 9.0 cents per share, compared to 8.0 cents per share in the previous financial year. The proposed final dividend will be paid on 12 August 2025 if approved by shareholders at the Company's Annual General Meeting on 22 July 2025.
AIRFRAME OVERHAUL AND LINE MAINTENANCE SERVICES
Aircraft undergo scheduled maintenance checks to maintain their airworthiness certifications with national aviation regulatory authorities, such as the Civil Aviation Authority of Singapore, the Federal Aviation Administration of the United States and the European Union Aviation Safety Agency. These
scheduled checks are performed by licensed aircraft engineers and technicians at the airport apron as well as the Group's six hangars in Singapore and three hangars in Clark in the Philippines. The first of two additional hangars in Subang, Malaysia is expected to begin operations in the second half of 2025. Our airframe overhaul services include:
Airframe structural repair and modification
Cabin refurbishment and modification
VIP aircraft modification
Aircraft painting
Retrofit of in-flight entertainment and avionics systems
Aircraft de-lease checks
Aircraft preservation
Aircraft Return-to-Service checks
SIAEC provides line maintenance services to international customers at various airports around the world. The Group's Line Maintenance network ensures high dispatch reliability of aircraft on transit and night stops.
Our line maintenance services include:
Aircraft certification
Technical ramp handling services
Scheduled light maintenance checks
Cabin maintenance services and parts fabrication
Cabin disinfection and cleaning services
Aircraft exterior wash, engine core wash and waste line cleaning
Structural repair, composite repair and radome repair
Specialised Quick Action Team for
aircraft-on-ground ("AOG") recovery and engine changes
BUSINESS AND OPERATIONS REVIEW
AIRFRAME OVERHAUL AND LINE MAINTENANCE
Flights Handled at Changi Airport
During the year, we secured a new contract from Air Canada and expanded service coverage with existing airline customers, including Air India, Qantas and United Airlines. SIA Engineering
149,804
157,358
146,289
105,139
47,885
27,727
(Number)
FY19/20
8%
FY20/21 FY21/22 FY22/23 FY23/24 FY24/25
Philippines ("SIAEP") also achieved a significant milestone with its appointment as the first Embraer Authorised Service Centre in Asia-Pacific to provide MRO services for the Embraer E-Jet E2 family of aircraft. The appointment positions SIAEP for new opportunities as the E-Jet E2 fleet grows in Asia.
To meet the growing demand for airframe maintenance checks, additional base maintenance capacity is expected to come on stream in the second half of 2025 when the first of BMM's two hangars in Subang, Malaysia commences operations. Located in a cost-competitive environment and supported by a robust talent pool, the Subang base will have a state-of-the-art facility with innovative technology to optimise operational efficiency. Processes will be fully digital to facilitate seamless coordination across planning; resource, inventory and tool management; task execution; and cost control. The capacity expansion at BMM
(% of pre-COVID levels)
94%
97%
79%
38%
22%
FY21/22
FY22/23
FY23/24
FY24/25
Flight Recovery
is timely as SIAEC prepares to carry out cabin retrofit work for Singapore Airlines' ("SIA") A350 fleet from 2026.
We have also grown our cabin maintenance and retrofit capabilities. This bolsters our ability to support SIA's product requirements and broadens our service offerings to
third-party customers.
Light Checks* | Heavy Checks | Total | |
FY2024/25 | 656 | 75 | 731 |
FY2023/24 | 773 | 89 | 862 |
SIAEC continued to explore business opportunities in key growth markets such as India and China through strategic collaborations. In May 2024, we were appointed by Air India as its strategic partner for the development of its base maintenance facilities located in Bangalore, India. Following the facility's groundbreaking in September 2024, we are
Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan
21 21 21 22 22 22 22 23 23 23 23 24 24 24 24 25
working closely with Air India on the planning, construction, development and operationalisation of the facility. This
Line Maintenance benefited from healthy air travel demand and an expanded network in Asia-Pacific. In Singapore, SIAEC handled 157,358 flights in FY2024/25, up 8% from 146,289 flights in FY2023/24. As of end-FY2024/25, flight recovery reached 97%, reflecting an improvement of three percentage points year-on-year. The volume of flights handled in the fourth quarter was almost on par with pre-COVID levels. In
FY2024/25, four new Line Maintenance contracts were secured and another 34 were renewed in Singapore. New airline customers included 9 Air, AirAsia Cambodia, Royal Brunei Airlines and Tianjin Airlines. In addition, 28 new contracts were secured for Line Maintenance International stations.
New overseas stations were added in Indonesia and Japan during the year. We also incorporated TIA Engineering Services Company Limited, a 51%-owned JV with Cambodia Airport Investment Co., Ltd, to provide line maintenance services at the upcoming Techo International Airport that will serve Cambodia's
Airframe Overhaul and Line Maintenance Revenue
($ million)
FY2024/25
FY2023/24
Number of Checks Performed at Singapore Base
* Including Light Checks performed by Line Maintenance at the airport apron
Number of Checks Performed at SIA Engineering Philippines
Heavy Checks FY2024/25 43
FY2023/24 25
836.2
912.3
capital, Phnom Penh. Operations are expected to commence in September 2025 when the new airport comes online. The Group's Line Maintenance network will then span 36 airports across nine countries, up from 33 airports in eight countries in the previous financial year.
In FY2024/25, a total of 731 aircraft maintenance checks were completed at Base Maintenance Singapore, compared to 862 checks in FY2023/24. A higher proportion of these maintenance checks were for legacy aircraft which required longer hangar stays due to more extensive work scopes.
In some instances, supply chain disruptions affecting the availability of aircraft spare parts resulted in the delayed completion of the checks. On the other hand, the Group's Clark base in the Philippines completed 43 heavy checks,
a significant increase from the 25 heavy checks completed in the previous financial year.
strategic collaboration paves the way for us to explore more opportunities to support India's aviation market, which is
the world's third largest1 with a large number of new aircraft on order.
In China, we signed a non-binding framework agreement with Xiamen Iport Group in November 2024 to explore an investment in its subsidiary, Arport Aircraft Maintenance & Engineering ("Arport AME"). Arport AME currently provides line maintenance and ground handling services at airports in Fujian, China. The partnership aims to leverage the combined capabilities and resources of both parties to grow Arport AME's existing MRO business, with plans to introduce base maintenance and other service offerings in the future.
1 Ministry of Civil Aviation India, April 2025
BUSINESS AND OPERATIONS REVIEWENGINE AND COMPONENT
Engine and Component Revenue
($ million) FY2024/25 FY2023/24
258.0
332.8
SIAEC's Engine Services Division provides a comprehensive suite of integrated, value-driven engine solutions across the engine MRO value chain through our in-house shops and strategic partnerships with leading engine OEMs. These enable us to support a broad spectrum of current and
next-generation engine types. In Singapore, we operate a dedicated Engine Test Facility and the Aircraft Engine Services ("AES") facility, which provides engine quick turn maintenance and repair services exclusively for the new-generation CFM LEAP-1A and LEAP-1B engines.
In FY2024/25, AES achieved higher engine inductions, with the fourth quarter registering an increase of over 50%. This was despite ongoing supply chain challenges which were effectively mitigated through close collaboration with our OEM partner, especially in areas such as module replacement and capacity optimisation.
To support growing demand and boost throughput, the capacity for engine tests was doubled during the year by streamlining our rosters to enable extended work shifts. Concurrently, we continued to work on broadening our engine test service offerings and remain on track to achieve capability and certification for CFM LEAP-1B engine tests.
SIAEC's Component Services Division oversees the component repair and fleet management services businesses within the Company, including in-house workshops and ITM services. In FY2024/25, work volume for component MRO rose across the Group's workshops in line with higher flight activities. Under the ITM programme, the Group managed 187 aircraft as at 31 March 2025.
In addition to its in-house shops, SIAEC also provides a broad range of engine and component MRO services through its portfolio of strategic JVs with leading global engine and component OEMs. This includes five JVs forged with leading engine and engine component manufacturers and nine JVs with other aircraft component partners. These partnerships
Number of Aircraft Managed
FY2024/25
FY2023/24
186
187
position the Group to capitalise on the growing demand for MRO services, particularly as the global fleet transitions to new-generation aircraft.
Amongst the Group's JV companies, two of the engine MRO JVs have made investments to expand MRO capacity and capabilities, catering to next-generation engine platforms.
Singapore Aero Engine Services ("SAESL"), SIAEC's
50%-owned JV with Rolls-Royce, broke ground on its new state-of-the-art facility in Loyang in January 2025. Designed to Industry 4.0 standards and equipped with advanced supply chain technologies, the new facility is a key piece in SAESL's plan to boost MRO capacity for the latest Rolls-Royce Trent engines by 40% in 2028. Upon completion, it will be the world's largest MRO shop for next-generation Rolls-Royce jet engines. In parallel, SAESL is also expanding its existing facility at Seletar Aerospace Park to incorporate advanced engine repair technologies tailored to address the growing complexity of modern jet engines.
Eagle Services Asia, SIAEC's 49%-owned JV with Pratt & Whitney, completed a major upgrade of its engine overhaul facility in Singapore in February 2024 which boosted its Geared Turbofan ("GTF") engine MRO capacity by two-thirds. The facility continues to ramp up operations to meet the growing demand for GTF engine MRO services.
In line with our strategy to expand our component MRO capabilities, we established Eaton Aero Services ("EAS"), a 49%-owned JV in Malaysia with Eaton, in June 2024. EAS will provide inspection, testing, repair, maintenance, modification and overhaul services for Eaton-manufactured aircraft components installed on airframe and engine fuel systems and hydraulics systems. The JV broke ground on its new facility in Shah Alam, Malaysia in September 2024, which is expected to launch in the second half of 2025.
ENGINE AND COMPONENT SERVICES
From engine on-wing and off-wing support to engine lease transition, the Engine Services business provides the following range of services:
Engine change
Engine inspection
Engine test
Engine defect rectification
Replacement of Line Replaceable Units
Borescope inspection/blending
Engine split/joined for transportation
Fan case abradable repair
Component modification, rectification and replacement
Engine preservation and storage (hot room and shrink wrap)
Gearbox replacement for CFM LEAP engines
Incorporation of Engine Service Bulletins
The AES facility provides engine quick turn maintenance, where engine shop visits are driven by specific work to minimise engine time off-wing, thereby optimising both engine availability and reliability on-wing.
The Engine Test Facility, which supports engine MRO work at AES and our JVs, is capable of testing high-performance engines from Rolls-Royce, Pratt & Whitney, Engine Alliance, General Electric and CFM.
The Fleet Management business provides solutions in Fleet Technical Management ("FTM") and ITM to airlines. FTM covers a range of engineering and maintenance support activities that ensures all aspects of safety and airworthiness are met. These include:
Formulation and upkeep of aircraft maintenance programmes
Maintenance planning and control
Engineering services and design
Quality and reliability programmes
ITM ensures high dispatch reliability and reduces aircraft maintenance cost and risk of inventory obsolescence.
SIAEC provides 24/7 ITM services that include:
Component access and pooling, including on-site consignment
Component repair and overhaul management
Consumables and expendables support
Warehousing services
Logistics and supply chain management
Component warranty administration
Vendor sourcing and administration
24/7 AOG support services
Turnkey solutions for aircraft entry-into-service preparations
SUBSIDIARIES, JOINT VENTURES AND STRATEGIC PARTNERSHIPS
Airframe and Line Maintenance Engine and Component
The annual Safety and Security Week is a platform that serves as a reminder of the paramount importance of aviation and workplace safety. This event also serves as an opportunity to recognise exemplary employees who consistently demonstrate
initiatives underscore SIAEC's commitment to improving its energy efficiency and lowering its carbon footprint.
Electrification of ground operations remains another aspect
SIA Engineering (USA)
United States 100%
TIA Engineering Services Company
Cambodia 51%
Pos Aviation Engineering Services Malaysia 49%
Pan Asia Pacific Aviation Services Hong Kong 40%
SIA Engineering (Philippines) Philippines 100%
Singapore Aero Support Services Singapore 100%
Base Maintenance Malaysia
Malaysia 100%
SIA Engineering Japan
Japan 100%
PT JAS
Aero-Engineering Services
Indonesia 49%
Southern Airports Aircraft Maintenance Services Vietnam 49%
Heavy Maintenance Singapore Services Singapore 100% (dormant)
Jade Engineering
Singapore 55%
Line Maintenance Partnership (Korea) Korea 51%
Singapore Aero Engine Services
Singapore 50%
GE Aviation, Overhaul Services - Singapore Singapore 49%
Eagle Services Asia Singapore 49%
Component Aerospace Singapore
Singapore 46.4%
Turbine Coating Services Singapore 24.5%
Eaton Aerospace Component Services Asia
(Eaton Aero Services)
Malaysia 49%
JV Partners:
Pratt & Whitney Rolls-Royce
GE
Safran
Collins Aerospace
Line Maintenance International (LMI) Other partners
JV pending incorporation
Asia Pacific Aircraft Component Services Malaysia 75%
Fuel Accessory Service Technologies Singapore 49%
Goodrich Aerostructures Service Center - Asia Singapore 40%
Safran Landing Systems Services Singapore Singapore 40%
Safran Electronics & Defense Services Asia Singapore 40%
Aerospace Component Engineering Services Singapore 51%
Moog Aircraft Services Asia Singapore 49%
Panasonic Avionics Services Singapore Singapore 42.5%
a deep commitment to safety in their work. By honouring their conscientious efforts through awards and citations, SIAEC encourages and promotes a collective culture of safety excellence within the organisation. FY2024/25's Safety and Security Week was jointly held with SIA's Engineering Division in September 2024 with the theme "Navigating Operational Challenges: Sustaining Safety, Security & Service Excellence". The inaugural joint event symbolised a strong partnership in safety and security with SIA.
SIAEC participates in the Airport Safety Awards and is regularly recognised for its high safety standards. The annual event, organised by the Changi Airport Group, is a
platform that recognises the safety endeavours of employees and partners within the Singapore airport community. A
team as well as one individual staff member from SIAEC received recognition at the latest event in January 2025, serving as a testament to our continual commitment to high safety standards.
SIAEC actively engages our employees to ensure the continuous enhancement of safe operations. The Innovation Challenge, held annually, is a good opportunity for staff to
of sustainability. Electric tow tractors are being progressively deployed in our hangars and across operations at Changi Airport's airside area. Further plans are in place to transition the Company's vehicles to electric models. In collaboration with partners, we also started a trial of an autonomous electric bus for staff movement within the airside area.
We continue to invest in training, nurture a lifelong learning culture and provide the necessary support and opportunities for our employees to excel at work and beyond. Outside the workplace, SIAEC strives to play an active role in community outreach. Through our Corporate Social Responsibility activities, we contribute to charitable causes by pursuing initiatives with organisations such as Food from the Heart and the Community Chest.
In alignment with global best practices, SIAEC has adopted the recommendations of the Task Force on Climate-related Financial Disclosures and will be transitioning to the International Financial Reporting Standards Sustainability Disclosure Standards on climate-related disclosures.
More information on SIAEC's sustainability efforts is set out in the Company's Sustainability Report, which is published on the
SAFETY CULTURE
SIAEC places utmost importance on safety in all aspects of its business and operations. As part of our commitment to a strong safety culture, SIAEC continued to actively roll out workplace safety initiatives and programmes across our operations during the year.
SIAEC is a signatory to the "Charter for a Strong and Positive Safety Culture in Singapore" initiated by the Civil Aviation Authority of Singapore.
In FY2024/25, the Ministry of Manpower launched the Heat Stress Management for Outdoor Work measures, aimed at reducing heat stress for outdoor workers performing work primarily in the open without permanent shelter. These measures include aspects of education, Wet Bulb Globe
Investment Holding
Nexgen Network (2) Holding
Singapore 100%
Temperature monitoring, resting under shade, hydration, acclimatisation and emergency response. SIAEC has improved and strengthened existing heat management controls to comply with the required measures.
At our Aviation Safety Promotion Centre, employees receive instructor-led training to reinforce aviation safety awareness. The content is continually refreshed, as an integral part of our continuing training initiatives, to ensure that it remains relevant and impactful.
Our Workplace Safety Promotion Centre continues to be a catalyst for cultivating a robust workplace safety culture. By integrating classroom-based lessons, experiential and visual learning, meticulously-curated content, engaging exhibits and up-to-date news media, the centre provides employees with an enriched and comprehensive learning experience.
contribute ideas to improve safety and productivity based on
their first-hand experiences. A biannual face-to-face Quality Huddle for key stakeholders also provides a platform for raising awareness of aviation safety incidents, and for sharing and addressing operational issues or concerns.
SUSTAINABILITY
SIAEC is committed to supporting the aviation industry's goal of achieving net zero carbon emissions by 2050. Towards this goal, the Company is committed to a 50% reduction in Scope 1 and 2 carbon emissions (against FY2019/20 levels), a 15% reduction in water intensity (against the average of FY2017/18 to FY2019/20 levels) and achieving a 30% recycling rate, by 2030.
During the year, SIAEC advanced several initiatives to drive operational sustainability. The upgrading of air-conditioning chillers in three hangars with a centralised, energy-efficient chilled water system is underway. In parallel, the Group continued to expand its renewable energy footprint. SIAEP in the Philippines is increasing its solar photovoltaic capacity,
while in Singapore, additional solar panels are being installed on newly-erected sheltered walkways and carports. These
Company's website.
INDUSTRY RECOGNITION
SIAEC's unwavering commitment to operational excellence and resilience was recognised through several prestigious industry accolades in FY2024/25.
The eLITE digital suite won the "Digital - Aviation" award at the Singapore Business Review Technology Excellence
Awards 2024. At Aviation Week Network's MRO Asia Pacific Awards 2024, SIAEC received the "Aftermarket Service Provider of the Year" award, and the "Marketing Campaign of the Year" award for successful marketing promotion under the unified "1SIAEC" campaign.
SIAEC's strong commitment to talent development and fostering a dynamic workplace culture won the Company two accolades at the Singapore HR Awards 2024: "Excellence
in Learning, Development, Coaching & Mentoring" and "Excellence in Talent Management & Acquisition". SIAEC also received the SkillsFuture Work-Study Programme Employer Appreciation Award for its continued contributions to workforce development.
CONTINUOUS IMPROVEMENT
SUSTAINING EFFORTS AND DEEPENING IMPACT
Over the past year, we sustained the momentum from our earlier Continuous Improvement ("CI") efforts, while deepening the impact across our organisation. CI practices are increasingly embedded in our day-to-day operations in supporting
problem-solving, streamlining tasks and improving work processes. These practices not only enhance the day-to-day experience for our people, but also strengthen our operational resilience and competitiveness.
KEY PROGRAMMES CONTINUING INTO FY2025/26
Enterprise Operating System
Enterprise Operating System ("EOS") is a Company-wide framework that integrates Lean principles, digitalisation and technology adoption to:
Systematically increase productivity and performance across all aspects of our operations.
Cultivate a performance-oriented culture that prioritises accountability and excellence.
Deliver tangible benefits to our customers, while ensuring the highest standards of safety and quality.
Guided by Lean principles and operations management methodologies, our planning and operational processes are being redesigned to enable effective workflow. Concurrently, these enhanced processes are also digitalised to ensure that they work together seamlessly. In addition, optimisation and AI tools are being introduced to further augment the processes, by ensuring efficient resource deployment and error-proofing critical process steps.
CI Culture Programme launch at our Base Maintenance hangar.
The EOS programme gained traction in FY2024/25, with key milestones achieved in Line Maintenance and Base
Maintenance operations. The transition from the design phase to day-to-day adoption is well underway and we are continuing to roll out EOS to other business units progressively.
On the Lean front, we have conducted Lean accreditations for more business units, while our employees have advanced their skills through Lean Competency certifications following the launch of our Lean Competency training programme. These achievements are instrumental in equipping our workforce with the tools and mindset to drive sustained improvements at every level.
CI Culture Programme
This is a Company-wide programme that aims to embed CI as a way of life in the Company, where every employee is motivated, supported, and equipped to learn, improve and innovate.
The CI Culture Programme, together with its "Be The Change" tagline, was launched in November 2024. Through a series
of training and engagement sessions, accompanied by CI Culture guides and employees' CI stories, we aimed to inculcate a strong CI mindset among our employees by focusing on
three priorities and nine habits that encourage innovation and collaboration. As a sign that the programme is gaining traction, our Staff-Ideas-in-Action ("S-I-A") scheme exceeded
its FY2024/25 target by generating a broad range of practical, ground-up ideas that are aimed at improving work practices and processes. To reinforce the effort to drive CI culture, we launched a dedicated workspace at Base Maintenance Division for developing ground-up ideas, and incubating and nurturing them into solutions.
Employees' contributions to improvements in work practices and processes were also celebrated at the SIA Group CEO Innovation Awards, which honoured individuals and teams that had pioneered creative solutions and advanced a culture of innovation.
CEO Chin Yau Seng (centre) together with the SIAEC winners of Innovation Awards and members of S-I-A Secretariat.
Line Maintenance staff using the eLITE platform.
Digital Advancements
The Company continues to deepen the integration of digital solutions to support data-enabled situational awareness, optimisation, predictive analytics and decision-making. This integration will drive greater operational efficiency and productivity across our business units.
We expanded our suite of digital platforms to meet the evolving needs of our operations. Enhancements to the eLITE digital platform have improved support for our expanding Line Maintenance operations, while ETask, a planning and execution platform, has been progressively rolled out at
Base Maintenance and Engine Services divisions. In addition, eSlot, a new hangar bay slot-planning system, will enable more effective management of hangar slots in our Base Maintenance operations.
Meanwhile, the upgrade to SAP S/4 HANA marked a significant milestone in modernising our enterprise resource planning, laying the foundation for more streamlined, scalable and automated workflows that are aligned with business strategy.
CONTINUOUS IMPROVEMENT CORPORATE GOVERNANCEGenerative AI Integration
In FY2024/25, the Company laid the foundation for integrating Generative AI ("GenAI") across its operations. Besides establishing governance policies and building a scalable technology platform, we are strengthening the Company's
AI capabilities through structured training and engagement sessions, ensuring that the workforce is well-prepared to harness AI effectively.
Guided by our GenAI and Optimisation blueprints, we identified key focus areas where emerging AI technologies can enhance operational efficiency, reduce manual workload and improve decision-making. These include opportunities for improvements in workforce planning, task card and invoice validation, and
non-routine task identification. Several initiatives are already being implemented, while others remain in early exploration.
At Line Maintenance, we are deploying AI-driven optimisation models to accelerate task allocation, minimise travel distances between jobs, and enable planners to focus on more critical aspects of operations. We are also developing an aircraft defect rectification recommendation system that leverages GenAI to quickly analyse recent historical defect logs and provide the most effective rectification methods.
These efforts reflect our broader commitment to leveraging emerging technologies in a practical, safe and outcome-driven manner. We continue to pilot and evaluate selected initiatives under the GenAI blueprint and align their implementation with operational needs and business priorities.
Machine Vision and Assistive Technologies
In parallel, we continue to advance the deployment of machine vision applications and assistive technologies to enhance frontline operations. Notable progress has been made in applying vision technology to optimise hangar productivity through enhanced maintenance check monitoring and coordination of maintenance activities. We are also advancing the development of vision-based solutions to support inspection processes for both engines and airframes, with the aim of improving accuracy, consistency and turnaround times.
In the hangar, smart tool chests equipped with machine vision have undergone an initial deployment to automate tool traceability. Additionally, several assistive tools - such as an assistive arm for laminate removal and a sanding tool for the
paint hangar - have been successfully rolled out. By reducing manual workload and staff fatigue, machine vision and assistive technologies are delivering productivity gains while promoting safer, more ergonomic operations. We are also collaborating with SATS and Changi Airport Group on a trial to operate an autonomous bus within a designated area at Changi Airport.
CONCLUSION
Our EOS, CI Culture Programme, and digital and technology initiatives strengthen our operational foundation and enhance workforce efficiency. These efforts aim to position us as a resilient, future-ready organisation with the agility to scale our impact, adapt to change, drive meaningful productivity gains and sustain long-term growth.
INTRODUCTION
The Board of Directors (the "Board") and Management of SIA Engineering Company Limited (the "Company" or "SIAEC", and together with its subsidiaries, the "Group") are firmly committed to ensuring the highest standards of corporate governance.
We believe that good governance is critical to the growth and sustainability of our business and enhances long-term success and value creation for all stakeholders.
Our rigorous governance framework, underpinned by
well-defined policies and processes, promotes quality corporate performance, excellence, integrity, active stewardship, accountability and transparency. The Board is responsible for the Group's corporate governance standards and policies and has set out clear division of powers, strong internal controls and risk management, and robust checks and balances across the Group to promote the appropriate culture, values and ethical standards of conduct at all levels.
This report describes our corporate governance practices and activities for the financial year ended 31 March 2025 ("FY2024/25") with reference to the principles and provisions of the Code of Corporate Governance 2018 issued by the Monetary Authority of Singapore (the "Code"). The Company
is listed on the Singapore Exchange Securities Trading Limited ("SGX-ST") and has complied in all material aspects with the principles and substantially all of the provisions of the Code. Where there is any variation from any provision of the Code, an explanation has been provided on how the practices adopted by the Group are consistent with the intent of the relevant principle.
BOARD MATTERS
THE BOARD'S CONDUCT OF AFFAIRS
Principle 1: The company is headed by an effective Board which is collectively responsible and works with Management for the long-term success of the company.
The Board's Conduct of Affairs and its Responsibilities
The Board, working closely with Management (who are held accountable for performance), is collectively responsible for the Group's overall business strategy, direction and long-term goals with appropriate focus on corporate objectives covering value creation, innovation and sustainability; operations and performance (including key workplace safety, aviation safety
and quality initiatives); financial performance reviews and annual budgets; funding needs; investments and divestments; human capital management and engagement; corporate governance
and risk management practices; and compliance, internal
Terms of Reference. The Board also provides guidance on maximising the impact of Continuous Improvement initiatives, which includes the induction of an Enterprise Operating System integrated with Lean principles and digitalisation, and a culture change programme to unlock the full potential of staff, to enhance the Group's performance, capabilities and competitiveness. The Board approves the appointment of Directors and the Chief Executive Officer ("CEO"). Pursuant to corporate governance best practices, the Board also oversees the long-term succession planning for the Board and Senior Management, and approves policies and guidelines on related remuneration. The Board sets the tone from the top for the Group in respect of conduct, ethics and desired organisational culture, and ensures transparency and proper accountability to key stakeholder groups.
Board Committees
The Board is supported by eight Board committees, namely the Audit Committee, the Nominating Committee, the Compensation & HR Committee, the Board Safety & Risk Committee, the Executive Committee, the Technology Advisory Committee, the Board Sustainability Committee and the Board
Working Group. All Board committees are constituted with clear written Terms of Reference, defining the duties delegated to each of them by the Board. These Terms of Reference set out in detail the composition of each Board committee, criteria
and qualifications for membership, and other procedural matters such as quorum and decision-making processes. Each Board committee is responsible for ensuring compliance with legislative and regulatory requirements in relation to matters under its purview, including requirements under the rules of the Listing Manual of the SGX-ST (the "Listing Manual") and the Code.
Each Board committee also reviews its Terms of Reference periodically to ensure relevance and to incorporate evolving best practices such as the recent expansion of each Board committee's scope to include sustainability matters under its purview. Board approval is required for changes to the Terms of Reference of all Board committees.
The Audit Committee, the Board Safety & Risk Committee, the Compensation & HR Committee, the Nominating Committee and the Board Sustainability Committee work within the Company's risk management framework, which sets out the risk management policies and the levels of risk tolerance.
Each Board committee comprises Directors with appropriate qualifications and skills and there is an equitable distribution of responsibilities among committee members. The Chairman of each Board committee provides regular updates to the Board on the decisions and significant matters discussed by the
Pilot deployment of machine-vision-enabled smart tool chests. Autonomous bus for staff transportation on trial within a designated area at Changi
Airport.
controls and accountability systems as set out in the Board's
respective Board committees.
CORPORATE GOVERNANCEBOARD COMPOSITION
(AS AT 31 MARCH 2025)
Key Responsibilities
Responsible for strategy, operations and governance and oversees the Company's Continuous Improvement programme (including innovation, technologies and digitalisation) to ensure the
long-term success of the Group and the delivery of sustainable value to stakeholders
Composition
6 Independent Directors
Chairman
CHUA BIN HWEE
AUDIT COMMITTEE
CHAIRMAN Composition
TANG KIN FEI 8 Independent Directors
3 Non-Independent Directors
The Board
Key Responsibilities
To assist the Board in discharging its statutory and other responsibilities relating to financial reporting, risk management, internal controls, internal and external audit, interested person transactions, compliance and whistle-blowing.
Chairman
TANG KIN FEI
NOMINATING COMMITTEE
Composition
2 Independent Directors
1 Non-Independent Director
Key Responsibilities
To review the structure, size, composition and diversity of the Board, the appointment and re-appointment of Directors, the independence of Directors, and to oversee the Board performance evaluation process, and the training and development of the Board and Directors.
Chairman
TANG KIN FEI
Key Responsibilities
COMPENSATION & HR COMMITTEE
Composition
2 Independent Directors
1 Non-Independent Director
To oversee the remuneration framework and policies for the Directors and Key Executives as well as for the Company in general, talent management and succession planning, and administration of share schemes and related programmes.
Chairman
LIM KONG PUAY
BOARD SAFETY & RISK COMMITTEE
Composition
3 Independent Directors
1 Non-Independent Director
Key Responsibilities
To assist the Board in overseeing the Group's risk management system, framework and policies and ensure that Management maintains a sound system of risk management to safeguard the interests of the Group and the Company's shareholders.
Chairman
TANG KIN FEI
Key Responsibilities
EXECUTIVE COMMITTEE
Composition
2 Independent Directors
2 Non-Independent Directors
To assist the Board in overseeing the execution by Management of the overall strategy relating to the Company, its subsidiaries and joint ventures, and deputise for the Board on routine matters to facilitate day-to-day administration and approve certain expenditures.
Chairman
RAJ THAMPURAN
TECHNOLOGY ADVISORY COMMITTEE
Composition
3 Independent Directors
1 Non-Independent Director
3 External Members
Key Responsibilities
Composition
3 Independent Directors
1 Non-Independent Director Chief Sustainability Officer
Chairman
LIM KONG PUAY
BOARD SUSTAINABILITY COMMITTEE
To provide advice and feedback on the Company's digital and technology strategy, concepts and major technology-related initiatives; provide guidance on technology-led innovation and digitalisation; and offer perspectives on emerging technological trends and opportunities.
Key Responsibilities
To assist the Board in overseeing sustainability matters, by accelerating, leading and guiding the Group's sustainability
efforts.
Composition
3 Independent Directors
1 Non-Independent Director
Chairman
TANG KIN FEI
BOARD WORKING GROUP
Key Responsibilities
To assist the Board for a time-limited period to provide guidance for building a stronger foundation for continuous improvement and optimisation of operational systems to enhance business resilience and sustained profitability; increasing long-term productivity and efficiency for better competitiveness; and enhancing synergies with and value delivery to key customers.
CHIN YAU SENG
CHIEF EXECUTIVE OFFICER
Key Responsibilities
Chief Commercial Officer
SVP Finance/Chief Financial Officer ("CFO")
SVP India & Projects
SVP Corporate Planning & Continuous Improvement
SVP Human Resources/Chief Human Resources Officer
Executive Vice President Operations ("EVP(O)") & Chief Sustainability Officer
Senior Vice President ("SVP") Line Maintenance
SVP Base Maintenance
SVP Engine Services
SVP Component Services
MANAGEMENT COMMITTEE
Responsible for developing the Group's business, implementing strategies and policies, executing Board decisions, managing the day-to-day operations of the Company, and communicating on behalf of the Company to stakeholders and shareholders.
Matters requiring Board Approval
There is a clear demarcation of responsibilities between the Board and Management. The Board and Board committees have guidelines on all matters requiring their approval,
and these are clearly communicated to Management and recorded in writing. Specific approval is sought for all matters of strategic importance, including corporate strategy; Group financial results; major investments, divestments and capital expenditure; governance; share issuances; dividends and other returns to shareholders; establishment of various Board committees (including their composition and Terms of Reference); and mandated interested person transactions (according to the threshold limits for review and approval procedures under the general mandate renewed annually
by the shareholders of the Company). The Group has also established financial authorisation and approval limits and the Board approves specific transactions above $5 million or $10 million, while delegating authority for transactions below those limits to the Board committees and Management to optimise operational efficiency.
Fiduciary Duties and Conflicts of Interests
There is an impartial decision-making process which allows each Director to exercise professional judgment. As fiduciaries of the Company, Directors have demonstrated objectivity
in deliberations; exercised strong independent judgement in the best interests of the Company; and ensured proper accountability within the Company. Directors have exercised due care in maintaining appropriate confidentiality of the
Company's information and discharged their duties responsibly in compliance with the Company's guidelines and policies, and applicable laws and regulations.
The Company's Code of Conduct and Ethics for the Board of Directors, which sets out the commitment of the Directors to achieving the highest level of conduct, professionalism and integrity in the discharge of their duties and obligations, contains the following key principles:
Directors shall comply with applicable laws and regulations, policies and guidelines, and shall also satisfy themselves that appropriate guidelines and policies are in place for compliance by employees, officers and other Directors;
Directors must act honestly, in good faith and in the best interest(s) of the Company, without allowing themselves to be influenced by personal interests or relationships;
Directors must respect the obligation of confidentiality for all information received in the course of their duties and continue to be bound by this obligation after termination of their mandate and/or appointment; and
Directors must refrain from overstepping the powers conferred upon them and make use of the Company's name and resources only in the interest(s) of the Company.
In addition, a Director facing a conflict of interest must disclose such conflict and recuse himself/herself from participation in
any discussion and/or decision on the matter. The Directors have complied with the foregoing obligations and such compliance has been duly recorded. The Group's policies and guidelines are regularly reviewed and updated to ensure they remain current.
Appointment and Orientation
The Nominating Committee ensures that new Directors are made aware of their duties and obligations. Each new Director receives a kit containing a formal letter of appointment
setting out, inter alia, his/her legal obligations, key duties and responsibilities and minutes of recent Board meetings. The kit also contains the Company's recent Annual Reports and Letters to Shareholders. The Company's internally-developed "Directors' Manual", which is updated from time to time to
ensure relevance, provides new and existing Directors with an easy reference on matters such as their role as an executive/ non-executive/independent Director, duties, obligations and responsibilities under prevailing rules and regulations in Singapore; the Company's key policies and processes; and best practices in corporate governance.
New appointees undergo a comprehensive and tailored induction and familiarisation programme, which includes presentations by Senior Management on the Company's strategic direction and plans, core businesses and activities, operations, network of joint ventures and the regulatory environment in which the Group operates. New Directors are also brought on extended visits to the Company's operations bases and key joint ventures to familiarise them with the Group's businesses. Unless the Nominating Committee determines that he/she has other relevant experience, a new Director who has no prior experience as a director of an issuer listed on the SGX-ST will be provided with the relevant training at the Company's expense, including the mandatory training prescribed by the SGX-ST.
Continuous Professional Development
The Board is committed to ongoing professional development and has therefore adopted a policy on continuous professional development for all Directors. To ensure that Directors can effectively discharge their statutory and fiduciary duties and to continually enhance the performance of the Board, all Directors are encouraged to undergo continual professional development during the term of their appointment. Professional development may relate to a particular subject matter, committee membership, or key developments in the Group's environment, markets or operations. The Nominating Committee regularly identifies for all Directors education, training, conferences, seminars and development programmes offered by external organisations, such as the Human Capital Leadership Institute, the Institute of Policy Studies, the Singapore Institute
of Directors and the Singapore Exchange, amongst others. Directors were consulted one-on-one for their specific training and personal development needs for the financial year. From time to time, professional firms are invited to conduct in-house
Key Responsibilities
To oversee specific areas of the Group's operations and businesses.
CORPORATE GOVERNANCEtraining for the Board and Directors are updated on topics of current interest and evolving technology, business, safety,
legal and risk trends. Topical information and news articles are circulated to the Directors to keep them abreast of the latest developments in various aspects of governance, the industry and the Company's business. Subscriptions to relevant trade publications are arranged for Directors to keep in touch with the industry. The Company Secretary also arranges briefings for the Directors on revisions to the applicable laws and listing rules to facilitate the Directors' performance of their statutory and fiduciary duties. The Company facilitates the registration and funds all training, conferences, seminars and development programmes for Directors. It also keeps a formal record of attendance for each Director.
During FY2024/25, the Directors attended training and development programmes or were briefed by external consultants on subjects that included:
The Role of Directors;
Board of Director Fundamentals;
Listed Entity Director Essentials;
Audit Committee Essentials;
Finance for Directors;
Board and Management Dynamics;
Directorship in Transition;
Board Cyber Security Risk Governance Training;
International Financial Reporting Standards ("IRFS") Sustainability Disclosure Standards for Corporate Preparers;
Leading for Impact - ESG;
Environmental, Social and Governance Essentials;
Indonesia 2045 Economy - A Strong productive Leader or just a Giant Consumer Feeder;
Exploring Global Trade and Singapore's Place as a World Connector; and
Mega Maritime Movements.
Pursuant to Rule 720(7) of the Listing Manual, all of the Directors have undergone the required training on sustainability matters as prescribed by the SGX-ST.
Meetings of the Board and Board Committees
The Board and Board committees meet regularly to discuss a wide range of matters concerning the Company, including
strategy, funding matters, corporate projects, business updates, emerging trends, operational safety and efficiency, human capital management, governance matters, sustainability issues, Continuous Improvement, innovation and technology, as well as to review and approve, amongst other things, the financial results of the Group. After consultation with the Chairman and all Directors on their availability, meeting dates of the Board
the year to facilitate full attendance. Additional meetings are convened as and when circumstances warrant. From time to time, invitations to attend Committee meetings or working group meetings are issued by Chairmen of Board committees to Directors who are non-members to foster discussions on focused topics and to benefit from more diverse views.
Records of meetings, including key deliberations and decisions taken, are maintained by the Company Secretary or the Committee Secretaries and the minutes of meetings are circulated to Directors for review and/or approval. Participation by telephone and video conferencing and approval by circulation, which are permitted under the Constitution of
the Company, also facilitate Board and Board committees' decision-making. Most meetings of the Board and Board committees were held in person. At times, the meetings were held virtually on a secure video conferencing platform.
Board meetings may include presentations by senior executives and external consultants/experts on strategic issues relating
to specific business areas, as well as presentations by the Group's associates. This allows the Board to develop a good understanding of the Group's businesses and to promote active engagement with the Group's partners and key executives.
Directors who are unable to attend a Board meeting are provided with the Board papers in advance and can raise/ discuss issues relating to the matters to be discussed at the Board meeting with the Chairman, the CEO and/or Senior Management. Five Board meetings are scheduled in each year, and ad hoc Board meetings are convened as required. During FY2024/25, six Board meetings were convened. As a measure of good governance, all resolutions on significant matters approved in FY2024/25 were discussed and passed at physical Board meetings instead of circulating resolutions, to enable
a robust discussion among the Directors and Management on the relevant subject matter. In addition, the Board also
reviewed all approved circulating resolutions at physical Board meetings. A significant amount of time was spent regularly reviewing the strengthening of core businesses and MRO capabilities, supply chain issues, Continuous Improvement and Lean initiatives, digitalisation and automation, our Enterprise Operating System, sustainability and climate-related strategy and the strategic investments for growth to ensure long-term business sustainability.
Each year, Directors also attend an annual strategy meeting to discuss and formulate the long-term strategy for the Group and to prioritise the Company's strategic initiatives over the near term. Strategy meetings are held in Singapore or at an overseas location to familiarise Directors with the Group's offshore operations. Proposals considered at the strategy
progress of the strategy proposals to achieve their agreed goals and objectives. During FY2024/25, the Board participated in the annual strategy meeting, which was held off-site. The Board was updated on MRO industry trends and developments, and the implications for the Company. The Board then had dynamic and in-depth discussions with senior executives on the strategies
Board Audit Committee Nominating Compensation Board Safety Executive Technology Board Board AGM Committee & HR & Risk Committee Advisory Sustainability Working Committee Committee Committee Committee(ii) Group | ||||||||||||||||||||
Name | Status (as at 31 Mar 2025) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Position | Att.(i) | Att.(i) |
Tang Kin Fei (last re-appointed on 20 Jul 2023, first appointed on 8 May 2017) | Non-Executive / Independent | Chairman | 6/6 | Chairman | 3/3 | Chairman | 4/4 | Chairman | 2/2 | Chairman | 6/6 | 1/1 | ||||||||
Goh Choon Phong (last re-appointed on 19 Jul 2024, first appointed on 1 Jan 2011) | Non-Executive / Non-Independent | Member | 6/6 | Member | 4/4 | Member | 2/2 | 1/1 | ||||||||||||
Raj Thampuran (last re-appointed on 21 Jul 2022, first appointed on 1 Sep 2016) | Non-Executive / Independent | Member | 6/6 | Member | 4/4 | Member | 4/4 | Chairman | 1/1 | 1/1 | ||||||||||
Wee Siew Kim (last re-appointed on 20 Jul 2023, first appointed on 8 May 2017) | Non-Executive / Independent | Member | 4/6 | Member | 3/4 | Member | 3/4 | 1/1 | ||||||||||||
Chin Yau Seng(ii) (last re-appointed on 19 Jul 2024, first appointed on 8 Oct 2018) | Executive / Non-Independent | Member | 6/6 | Member | 2/2 | Member | 1/1 | Member | 2/2 | 1/1 | ||||||||||
Chua Bin Hwee (last re-appointed on 19 Jul 2024, first appointed on 1 Apr 2021) | Non-Executive / Independent | Member | 6/6 | Chairman | 4/4 | Member | 2/2 | Member | 2/2 | 1/1 | ||||||||||
Lim Kong Puay (last re-appointed on 21 Jul 2022, first appointed on 1 Aug 2021) | Non-Executive / Independent | Member | 6/6 | Member | 4/4 | Chairman | 4/4 | Chairman | 2/2 | Member | 6/6 | 1/1 | ||||||||
Chong Chuan Neo (last re-appointed on 20 Jul 2023, first appointed on 1 Oct 2022) | Non-Executive / Independent | Member | 6/6 | Member | 4/4 | Member | 3/3 | Member | 1/1 | Member | 6/6 | 1/1 | ||||||||
Tan Tze Gay (last re-appointed on 20 Jul 2023, first appointed on 28 Oct 2022) | Non-Executive / Independent | Member | 6/6 | Member | 4/4 | Member | 2/2 | 1/1 | ||||||||||||
Tan Kai Ping (last re-appointed on 19 Jul 2024, first appointed on 10 Sep 2023) | Non-Executive / Non-Independent | Member | 6/6 | Member | 3/3 | Member | 4/4 | Member | 6/6 | 1/1 | ||||||||||
Ng Chee Khern (appointed on 1 Feb 2025) | Non-Executive / Independent | Member (from 1 Feb 2025) | 1/1 | Member (from 1 Feb 2025) | 1/1 | Member (from 1 Feb 2025) | - | - | ||||||||||||
Total Number of Meetings Held in FY2024/25 | 6 | 4 | 3 | 4 | 4 | 2 | 1 | 2 | 6 | 1 | ||||||||||
to capture opportunities in the various business segments; mitigate risks in the changing MRO landscape; strengthen
Notes:
core businesses, engineering capabilities, and human capital; integrate Lean principles, digitalisation and technology adoption into our Enterprise Operating System; leverage artificial intelligence and increase synergies with industry partners.
The attendance of each Director at Board meetings, Board committee meetings and the Annual General Meeting ("AGM") held during FY2024/25 is as follows.
and Board committees for each financial year are scheduled in advance and notified to the Directors before the start of
meetings are further developed by Management and discussed
at subsequent Board meetings when the Board reviews the
"Att." refers to the number of Board meetings, Board committee meetings and general meetings attended by the respective Directors for the period served in FY2024/25.
Mr Chin Yau Seng is the CEO of the Company.
Independent Non-Executive Directors
Non-Independent Non-Executive Directors
Non-Independent Executive Director/ CEO
1
2
INDEPENDENCE
8
Male
Female
27%
GENDER DIVERSITY
73%
CORPORATE GOVERNANCE
Adequate and Timely Provision of Information
Management provides Directors with complete, adequate and timely information prior to meetings and on an on-going basis to enable them to make informed decisions and discharge their duties and responsibilities. The Company prepares its financial statements in accordance with the Singapore Financial Reporting Standards (International) and International Financial Reporting Standards. Management provides Board members with management accounts on
a monthly basis, and from time to time as the Board may require, to enable the Board to make a balanced and accurate assessment of the Company's performance, financial position and prospects. Management also provides Board members with a monthly "Industry Update" on key developments in
the aviation and aerospace industries. Papers and related materials, which contain detailed explanatory information on the background, justification, risks and mitigation measures, and where applicable, budgets, business plans and financial information such as forecasts and projections relating to each agenda item brought before the Board and the Board committees, are generally provided to Directors at least seven days in advance of the meetings of the Board and the Board committees or deadlines for decisions to enable them to make well-considered decisions. Other updates, such as budgets and forecasts, are also regularly provided
to Directors, and in respect of budgets, any material variance between the projections and actual results is explained
and monitored. To keep the Board informed of investors' perceptions and concerns, updates on analysts' consensus estimates and questions raised at analysts' briefings are circulated for discussion at Board meetings. Where there are material or urgent issues under Board review, progress and/ or developments are brought to the immediate attention
of the Board as and when they arise. Directors may, at any time, ask for additional information as needed to make informed decisions.
In line with the Company's commitment to foster a sustainability mindset throughout the organisation and embed sustainability practices in its operations, the Company makes available to Directors electronic copies of Board and Board committee papers from a dedicated and secure portal. This initiative also enhances information security as the papers are accessed via an encrypted channel. Terms of References, training materials, regular updates and the Directors' Manual are also uploaded on the secure platform for Directors' easy access.
Access to Professional Advisors, Management and Company Secretary
The Board has a process for Directors, either individually or collectively, to seek independent external advice at the Company's expense in furtherance of their duties and to
request for further information on any aspect of the Company's operations or business from Management. Directors always have ready and independent access to Management. Directors also have separate and independent access to the Company Secretary. The Company Secretary, who is legally trained and
whose appointment and cessation of appointment are subject to approval of the Board as a whole, attends all Board meetings. In addition to corporate secretarial administration matters, her duties include:
supervising, monitoring and advising on Board procedures and compliance by the Company with its Constitution
(the "Constitution"), laws and regulations applicable in Singapore, the Listing Manual and the Code;
ensuring timely flow of information to the Board and the Board committees and between Management and Directors, and keeping an open and regular line of communication between the Company, the Singapore
Exchange, and the Accounting and Corporate Regulatory Authority ("ACRA");
updating and informing the Board on the principles and best practices of corporate governance and implementing and strengthening corporate governance policies and procedures; and
facilitating orientation for new Board appointees and identifying suitable training and development for Directors.
The Company has established written procedures to ensure compliance with legislative and regulatory requirements, including the Listing Manual.
BOARD COMPOSITION AND GUIDANCE
Principle 2: The Board has an appropriate level of independence and diversity of thought and background in its composition to enable it to make decisions in the best interests of the company.
Independent Directors Make Up a Majority of the Board Under the Code, an "independent" Director is one who is independent in conduct, character and judgment and has no relationship with the Company, its related corporations, its substantial shareholders or its officers that could interfere, or be reasonably perceived to interfere, with the exercise of the Director's independent business judgement in the best
interest of the Company. Under the Listing Manual, a Director will not be independent if he/she is employed or has been employed by the Company or any of its related corporations in the current or any of the past three financial years; or if he/she has an immediate family member who is employed or has been employed by the Company or any of it related corporations in the current or any of the past three financial years, and whose remuneration is or was determined by the Compensation & HR Committee; or if he/she has been a Director of the Company for an aggregate period of more than nine years. Independent Directors are to make up at least one-third of the Board (or where the Chairman is not independent, at least a majority
of the Board), and non-executive Directors are to make up a majority of the Board.
9%
27%
LENGTH OF SERVICE
46%
18%
0 - 3 years
4 - 6 years
7 - 9 years
10 - 14 years
As at 31 March 2025, the Board consisted of 11 Directors of which 10 were Non-Executive Directors, and eight were Independent Directors. The Chairman of the Board, Mr Tang Kin Fei, is an Independent Director, and there are no alternate Directors on the Board. The Company has thus satisfied the requirements of the Code as the Independent Directors and the Non-Executive Directors, respectively, make up a majority of the Board. The high representation of Independent Directors serves the Company well as no
individual or select group of individuals dominates the Board's decision-making process.
Annually, the Directors complete a declaration and confirmation of independence regarding the relationships identified in the Listing Manual and the Code, which is assessed by the Nominating Committee. The Independent Directors and their immediate family members have no relationships with the Company, its related corporations, its substantial shareholders or its officers that could interfere, or be reasonably perceived to interfere, with the exercise of the Director's independent business judgment in the best interests of the Company. The Board has an appropriate level of independence which enables it to, at all times, make decisions using its collective expertise and experience in the
best interests of the Company. A Director who has an interest in a matter under discussion will declare his/her interest
and abstain from the decision-making process in relation to that matter.
9%
18%
18%
51 - 55 years
56 - 60 years
AGE OF DIRECTORS
18%
61 - 65 years
66 - 70 years
71 - 75 years
37%
Continuous Review of Directors' Independence
The Nominating Committee and the Board, taking into account the views of the Nominating Committee, determine the independence of Directors upon appointment, annually, and on a continuing basis as and when circumstances require, according to the criteria stipulated in the Listing Manual, the Code and, where relevant, its Practice Guidance.
During the financial year, each Director had provided information on his or her interests and confirmed that there were no relationships which interfere with the exercise of his or her independent judgement with a view to the best
interests of the Company. The Nominating Committee reviews such information and considers whether the relevant Director has exercised independent judgement in discharging his or her duties and responsibilities. The Nominating Committee's recommendation is presented to the Board for its assessment. Each Director is required to recuse himself or herself from the Nominating Committee's and the Board's deliberations on his or her own independence.
The Board has examined the different relationships identified by the Listing Manual and the Code that might deem a Director to be non-independent, or impair a Director's independence and objectivity, and is satisfied that none of them apply in relation to the Independent Directors. Some
of our Independent Directors are non-executive directors, or were executive officers, of organisations that provide
CORPORATE GOVERNANCEservices to and receive payments from the Company in the ordinary course of business, and/or are also directors of companies in which Temasek has investments (Temasek portfolio companies), but these transactions were entered into based on merit and on normal commercial, competitive terms negotiated by Management, and the relevant Directors were not involved in the process for, or approval of, the transactions. The Board is of the view that all Independent Directors have demonstrated independence in conduct and character, and have exercised independent judgement in the best interests
DIRECTORS' EXPERTISE AND EXPERIENCE
CEO or P&L Leader Experience Organisational Transformation Expertise
Strategy and Investments Aviation and MRO Experience
Environmental, Social and Sustainability Perspectives HR, Executive & Talent Succession Planning / Training Union Relationships, Trust and Credibility
Audit / Finance / Accounting Legal / Compliance / Governance
Innovation / R&D Technology / Digitalisation / Data Analytics
Supply Chain Sales & Marketing Safety / Operations
Enterprise Risk Management
10
10
10
6
8
7
11
10
9
10
9
7
8
7
9
of the Company. As at the end of FY2024/25, none of the Independent Directors has served for an aggregate period of more than nine years.
Appropriate Size of the Board and Board Committees The Board, through the Nominating Committee, regularly evaluates the size and composition of the Board and Board committees, taking into consideration the aspects of diversity described in the Board Diversity Policy including skillsets, knowledge, expertise, core competencies and
professional experience and the element of independence. The Board considers the present Board size, the number of Board committees and the size of each Board committee to be appropriate.
The Board has the requisite balance and right mix of expertise, skills, knowledge, qualification, experience, geographical expertise and experience, attributes and other aspects of diversity such as gender and age to oversee the Company's growing businesses. Collectively, the Board has competencies in areas such as organisational transformation; strategy and investments; aviation and MRO operations; environmental, social and sustainability perspectives; human resource development, executive and talent succession planning
and training; audit, finance and accounting; law, compliance and governance; engineering; innovation and advancing
The Chairman meets the Independent Directors regularly without the presence of Management, the CEO and the Non-Independent Directors and at least twice a year. The Chairman provides feedback from these meetings to the Board, as appropriate.
Mr Goh Choon Phong and Mr Tan Kai Ping are considered Non-Independent Directors by virtue of the offices they hold in the Board or Management of Singapore Airlines Limited
("SIA"), the parent company of the Company. As the CEO of the Company, Mr Chin Yau Seng is considered non-independent.
7
North America/ Europe/UK
DIRECTORS' EXPERTISE
AND EXPERIENCE BY GEOGRAPHY
Australia / Oceania
6
North-East Asia
9
ASEAN / India
10
Singapore
11
technologies; research and development; information technology, digitalisation and data analytics; supply chain management, business space solutions; sales and marketing; safety and operations; enterprise risk management; and experience in key markets in both Singapore and jurisdictions outside Singapore.
Board Diversity Policy
To build an open culture and avoid groupthink, the Company is committed to having diversity on the Board, taking initiatives designed to attract the most talented individuals as Directors,
regardless of their gender, race, ethnicity, religion, age, disability status or any other aspect of diversity. The Board views diversity as important to ensure that Board members provide the necessary range of perspectives, insights, experience and expertise for effective stewardship and management of the Company's business, and to help the Company build business resilience while making a difference. A diverse Board can also offer a cognitive diversity of perspectives in addressing a range of issues from strategy to corporate governance to addressing social and environmental stewardship and ensuring sustainable growth. To this end, the Company has maintained its Board
Diversity Policy, and had set targets to achieve 30% female Board representation by 2030, and to identify and appoint director(s) with the relevant expertise and experience that would complement those already on the Board to broaden the skill sets of the Board.
The Company believes that ensuring an optimum balance of gender representation on the Board would be beneficial as there is access to a larger talent pool and assurance of diverse perspectives and experiences that could augment strategic thinking and problem solving. Following the retirement of Dr Raj Thampuran on 30 May 2025, the ten-member Board comprises three female Directors who enhance gender diversity on the Board. The Board has achieved its target of 30% female Board representation ahead of 2030, and aims to maintain it.
Mr Ng Chee Khern was appointed as a Director on
1 February 2025. Mr Ng's appointment was recommended by the Nominating Committee and approved by the Board, after having assessed that Mr Ng's broad expertise, academic and professional qualifications, business experiences,
competencies and other qualities in relation to the Company's business activities and strategic goals would enhance the core competencies and diversity of skills of the Board.
Directors with different geographical exposures and expertise provide insights into cultural nuances and differences for the Company's effective navigation of challenges and opportunities that arise with overseas business growth and international talent management. As at 31 March 2025, the Directors, as a group, has varied geographical expertise and experience. In particular, a majority of the Directors have significant experience in the various geographical regions as illustrated on page 36 of this Annual Report.
In line with the Board Diversity Policy, the Board composition in FY2024/25 reflects the Company's commitment to Board diversity, especially in terms of diversity in gender, skills,
expertise and experience (including geographical expertise and experience).
Directors' profiles appear on pages 7 to 13 of this Annual Report and are also available on the Company's website.
CHAIRMAN AND CEO
Principle 3: There is a clear division of responsibilities between the leadership of the Board and Management, and no one individual has unfettered powers of decision-making.
The Role of the Chairman and the CEO
The Chairman of the Board is a Non-Executive and Independent Director and his position is separate from the office of the CEO. No single individual has unfettered powers of decision-making in the Company. There is a clear demarcation of the roles and responsibilities of the Chairman and the CEO, which is set out in
writing, to ensure an appropriate level of checks and balances, increased accountability, and greater capacity of the Board for independent decision-making. The Chairman leads the Board and is responsible for ensuring the effectiveness of the Board and its governance processes, while the CEO is responsible for implementing the Group's strategies and policies, and managing day-to-day operations.
The Chairman promotes a culture of openness and encourages full and frank debates amongst the Directors and between Directors and Management. At Board meetings, he draws out contributions from all Directors so that the debate benefits from the full diversity of views, perspectives and expertise in a robust yet collegiate setting. There is strong mutual trust and
respect amongst the Directors. As the Board practises collective decision-making, no individual Director influences or dominates the decision-making process.
The Chairman sets the agenda and dedicates sufficient time for discussions, especially on material developments and strategic matters. The Chairman also ensures that Management provides complete, adequate and timely information to Directors, and that there is effective communication with shareholders. At AGMs and other shareholder meetings, the Chairman plays a pivotal role in fostering effective dialogue among shareholders, the Board and Management of the Company.
The CEO, who is also an Executive Director, manages the Group's business. He chairs the Management Committee that deliberates on policy and operational issues, and implements Board decisions, amongst other things.
The Chairman and the CEO are Separate Persons
The Chairman and the CEO are separate persons and are not related to each other. A majority of the members of the Board and the Board committees, including the Chairman of each of the Board committees, are Independent Directors. Given that the roles of the Chairman and the CEO are separate and the Chairman is independent, the Board is of the view that it is not necessary to appoint a Lead Independent Director.
BOARD MEMBERSHIP
Principle 4: The Board has a formal and transparent process for the appointment and reappointment of directors, taking into account the need for progressive renewal of the Board.
Nominating Committee
As at 31 March 2025, the Nominating Committee comprised three Non-Executive Directors, the majority of whom, including the Chairman, are independent. As at 31 March 2025, the members of the Nominating Committee are:
Chairman: Mr Tang Kin Fei Members: Ms Chong Chuan Neo
Mr Tan Kai Ping
CORPORATE GOVERNANCEThe Nominating Committee, in accordance with the Terms of Reference approved by the Board, is responsible for, inter alia, the following:
the review of the structure, size, composition and diversity of the Board and the Board committees;
the review of succession plans for the Chairman of the Board and Non-Executive Directors;
the development of a transparent process for evaluating the performance of the Board, its Chairman, Board Committees and Directors, including assessing whether Directors who hold other listed company directorships and principal commitments are able to commit enough time to discharge their responsibilities;
the review of training and professional development programmes for the Board and its Directors;
the appointment and re-appointment of all Directors (including alternate Directors, if any) following consideration of their track record and assessment of any matters that may have a bearing on their suitability for appointment or re-appointment; and
the review and confirmation of the independence of each Director.
Each member of the Nominating Committee abstains from voting on any resolution in respect of the matter in which he/ she has an interest.
Annual Assessment of Independence
The Nominating Committee reviews the Board composition and makes recommendations for the appointment of new Directors. It is focused on maintaining a strong independent element in the composition of the Board and the Board committees. Annually, the Nominating Committee reviews each Director's independence, taking into consideration the relevant provisions of the Code and requirements of the Listing Manual. More information on the annual assessment of Directors' independence is set out in the "Continuous Review of Directors' Independence" section on pages 35 to 36 of this Annual Report.
Selection, Appointment and Re-appointment of Directors In discharging its duties in its review of the structure, size and composition of the Board and the Board committees, the Nominating Committee gives due regard to the benefits of all aspects of diversity. In support of gender diversity and in accordance with its Terms of Reference, the Nominating Committee will ensure that appropriate efforts are made to include suitably qualified women in the list of candidates for
a Board position. The Nominating Committee has developed a Skills Matrix, which denotes the experience, skillsets and expertise of Directors in relation to the Company's business activities and strategic goals. The Skills Matrix, which serves as a guide to identify the competencies and attributes for new
Board appointments, is regularly updated and reviewed by the Nominating Committee.
Pursuant to Provision 4.1(a) of the Code, one of the responsibilities of the Nominating Committee is to make recommendations to the Board on the review of succession plans for Directors, in particular the appointment and/or replacement of the Chairman, the CEO, and Key Management Personnel. The Board had delegated to the Nominating Committee matters of composition and progressive renewal of the Board and Board committees. The Board had also considered and deemed it appropriate to delegate matters
of succession planning for the CEO and Key Management Personnel (being Company personnel who hold the rank of SVP and above, and together with the CEO, the "Key Executives")
of the Company to the Compensation & HR Committee, which is consistent with the intent of Principle 4 of the Code in relation to the progressive renewal of the Board as regards the CEO who is also a Director. Recommendations made by the Nominating Committee and the Compensation & HR Committee on these matters are presented to the Board for consideration and approval.
The Board seeks to refresh its membership progressively and in an orderly manner, whilst ensuring continuity and sustainability of corporate performance. This enables the Board to benefit from the experiences of longer-serving Directors, and at the same time, leverage external perspectives and expertise from new appointees. New appointees to the Board are carefully selected based on their merits to augment core competencies, experience and diversity of the Board relevant to the evolving needs of the Group's businesses to ensure overall effectiveness and informed decision-making.
If required, the Nominating Committee, which leads the process, may seek assistance from external search providers to identify a broader range of suitable candidates, and for the selection of potential appointees. Directors and Management may also recommend potential appointees for consideration. In identifying and selecting candidates for directorships, the Nominating Committee also takes into account the Company's strategic priorities and the factors and trends affecting the long-term success of the Company. In the evaluation of potential appointees to the Board, members of the Nominating Committee, together with the Chairman of the Board, meet with candidates to assess their eligibility. If the candidates meet the required criteria, the Nominating Committee will
recommend their selection to the Board for approval. In making its recommendation, the Nominating Committee also gives due regard to the Board Diversity Policy adopted by the Board.
In FY2024/25, the Nominating Committee recommended the appointment of Mr Ng Chee Khern as Director with effect from 1 February 2025. Mr Ng has not previously served on the board of companies with adverse track records, or a history of irregularities, nor has he been under investigation
by professional associations or regulatory authorities. Mr Ng, who has prior experience as a director of listed issuers on the SGX-ST, has also attended mandatory training prescribed by the SGX-ST on the roles and responsibilities of a director that are relevant to his appointment on the Board, including the sustainability training course organised by the Singapore Institute of Directors.
Mr Ng is currently Permanent Secretary (Manpower) for the Ministry of Manpower, where he has spearheaded
Government programmes to develop a productive workforce and progressive workplaces for Singaporeans to have better jobs and a secure retirement. Prior to his current role, Mr Ng was Permanent Secretary for the Smart Nation and Digital Government Group in the Prime Minister's Office from May 2017 to March 2022. In this role, he led the government's efforts in driving the development of digital enablers for citizens and businesses, and applying digital and smart solutions to improve the lives of citizens in a Smart Nation. Mr Ng was also Permanent Secretary (Defence Development) in Singapore's Ministry of Defence from May 2014 to April 2017, where his portfolio covered defence research and technology, capability development and acquisitions, and defence administration.
Mr Ng served in the Republic of Singapore Airforce ("RSAF") for 26 years as a pilot and ended his service in the RSAF as the Chief of Airforce from March 2006 to December 2009.
After evaluation of Mr Ng's qualifications and experience, his appointment was approved by the Board as it would enhance the core competencies and diversity of skills of the current Board. Mr Ng is considered a Non-Executive and Independent Director.
From time to time and at least once a year, the Nominating Committee evaluates the need to appoint a Lead Independent Director. The Nominating Committee also reviews compliance with the Code requirements under its purview, and deviations are explained.
Qualitative Assessment of Directors' Contributions
The Company has in place a policy whereby Directors consult the Chairman of the Board and the Nominating Committee Chairman prior to accepting other board directorships.
Directors must also immediately report changes in their external appointments, including any corporate developments relating to their external appointments, which may affect
their independence. Every Director confirms annually to the Nominating Committee in writing his/her availability and time commitment to focus on the affairs of the Company in the discharge of his/her duties as a Director.
Having reviewed the contributions of each Director and his/her attention to the affairs of the Company, taking into account his/her executive appointments, listed company board representations, other principal commitments, and the record of each Director's attendance at Board and Board committee meetings for FY2024/25, the Nominating Committee and the Board were of the view that each Director had carried out his/her duties adequately. The Board also expects that the
Directors (including any Directors who are newly appointed) will discharge their duties adequately in FY2025/26.
Accordingly, the Board has determined that there is no necessity, for the time being, to set a maximum limit on a Director's other listed board representations. The Company will continue to disclose each Director's listed company board directorships and principal commitments in the Company's Annual Report.
Rotation, Retirement and Re-election
The Constitution provides in Article 90 that at each AGM of the Company, one-third of Directors (or, if their number is not a multiple of three, then the number nearest to one- third
rounded upwards to the next whole number) for the time being shall retire at each AGM. Retiring Directors are those who
have served longest since their last re-election and between Directors who were last re-elected on the same day, those to retire shall (unless they otherwise agree among themselves) be determined by lot. Retiring Directors are eligible to offer themselves for re-election under Article 91 of the Constitution, subject to the endorsement of the Nominating Committee (which takes into consideration the overall Board size and composition, and an assessment of the retiring Directors' competence, commitment and contributions) and approval
of the Board. Each member of the Nominating Committee or Director is required to recuse himself or herself from
deliberations on his or her own re-election. Directors appointed by the Board during the financial year to fill a casual vacancy
or appointed as an additional Director, may only hold office until the next AGM and shall then be eligible for re-election in accordance with Article 96 of the Constitution.
Annually, the Company Secretary will inform the Nominating Committee which Directors are due for retirement at the AGM. The Nominating Committee will then review the composition of the Board and decide whether to recommend to the Board the re-election of these retiring Directors, after taking into account factors such as their experience, expertise, competence, attendance, preparedness, participation and candour at Board and Board committee meetings.
At the 43rd AGM to be held on 22 July 2025, Mr Lim Kong Puay, Ms Chong Chuan Neo and Ms Tan Tze Gay will retire under Article 90 of the Constitution. Mr Ng Chee Khern will retire under Article 96 of the Constitution. The profiles of Mr Lim,
CORPORATE GOVERNANCEMs Chong, Ms Tan and Mr Ng are set out on pages 8 to 12 of this Annual Report. Additional information on these Directors is set out in the Notice of AGM and in the "Additional Information on Directors Seeking Re-election at the Annual General Meeting" section on pages 208 to 213 of this Annual Report.
Having assessed their respective contributions, the Nominating Committee and the Board recommend the re-election of Mr Lim, Ms Chong, Ms Tan and Mr Ng, all of whom, being eligible, have offered themselves for re-election.
Nominating Committee's Activities During the Financial Year During FY2024/25, the Nominating Committee held three meetings, and also undertook, inter alia, the following matters through circulation papers and numerous discussions via email and teleconference:
reviewed the composition and diversity of the Board and Board committees, Board size and the Skills Matrix, which was updated to reflect the skills and expertise of a new appointee;
reviewed the progress, plans and timeline for achieving the Board Diversity targets;
reviewed the succession plans for the Directors with the Company's strategic priorities and the factors affecting the long-term success of the Company in mind;
recommended to the Board the appointment of
Mr Ng Chee Khern as a Non-Executive and Independent Director and as a member of the Audit Committee and the Technology Advisory Committee, with effect from
1 February 2025;
recommended the appointment of Mr Lim Kong Puay as Chairman of the Technology Advisory Committee and the appointment of Ms Chong Chuan Neo as Chairman of the Board Sustainability Committee upon the retirement of Dr Raj Thampuran with effect from 30 May 2025;
determined the independence of each Director based on his/her declaration of independence pursuant to the provisions of the Code and Rule 210(5) of the Listing Manual;
considered and agreed that, given the prevailing circumstances (as explained on page 37 of this Annual Report), the appointment of a Lead Independent Director was not necessary for the time being;
considered and recommended the relevant Directors to retire and seek re-election at the AGM;
considered ongoing training of Directors, and recommended suitable training programmes, including more frequent updates on advancements in MRO
technology and periodic visits to and surveys of operations of joint venture companies;
assessed if a Director was able to and had carried out his/ her duties as Director of the Company considering his/her other board appointments and time commitments;
recommended the objective performance criteria and process for the evaluation of the effectiveness of the Board as a whole, of each Board committee, and of the
contributions by the Chairman and each individual Director;
reviewed the results of and insights from the assessment of the Board's performance and discussed the appropriate actions to address the external consultants' recommendations; and
reviewed the compliance of the Nominating Committee with the relevant requirements of the Code.
BOARD PERFORMANCE
Principle 5: The Board undertakes a formal annual assessment of its effectiveness as a whole, and that of each of its board committees and individual directors.
Board Performance and Evaluation
The Board has a formal process (incorporating objective performance criteria), which is overseen by the Nominating Committee and approved by the Board, for assessing
the effectiveness of the Board as a whole and the Board committees, as well as the contributions of the Chairman and individual Directors. The process, comprising an assessment of qualitative criteria, enables the Nominating Committee and the Board to enhance the effectiveness of the Board and its Board committees. For objectivity, the process is managed by Aon Solutions Singapore Pte Ltd, an external global organisational consulting firm, which has no connection with the Company or any of its Directors.
In FY2024/25, the qualitative assessment was designed to measure, with the use of a questionnaire and interviews, the overall performance of the Board and the Board committees, as well as the individual performance of the Directors. The questionnaire was tailored for the Company and included evaluation factors such as Board composition; information management; Board processes; sustainability matters; management of strategy and the Company's performance; Board priorities; human capital management; Directors' professional development and management; risk management and internal controls; as well as overall perceptions. The
questionnaire also incorporated a peer assessment of Chairman and individual performance. Evaluation factors for the Chairman included the management of Board and shareholder meetings, interaction between members of the Board as well as between the Board and Management, effectiveness of the Board, director development and overall leadership of the Board. For
individual Directors, evaluation factors included each Director's contribution to the Board and relevant Board committees; knowledge and abilities; collaboration with fellow Board members and with Management; and integrity. One-to-one interviews for deeper insights on specific focus areas were also conducted by the external consultants with the Chairman of
the Board, individual Directors and members of Management. The Nominating Committee takes appropriate actions to address the external consultants' findings, which include benchmarking information and best practices of other boards, and recommendations on areas for improvement.
This is the Company's 23rd year of evaluating Board performance. The Company Secretary assisted the Nominating Committee in the evaluation process. For FY2024/25, the external consultants concluded that the Board and its Board committees have met or exceeded its expectations in all evaluation categories. Overall, Directors noted that the Board had maintained high-quality and effectiveness in its governance role, and strong oversight on strategy and risks. Directors will continue to maintain a culture of passion, commitment and strong work ethic to support Management and the business; with the Chairman maintaining the Board's culture of trust, collegiality, mutual respect and collaboration.
REMUNERATION MATTERS
PROCEDURES FOR DEVELOPING REMUNERATION POLICIES
Principle 6: The Board has a formal and transparent procedure for developing policies on director and executive remuneration, and for fixing the remuneration packages
of individual directors and key management personnel. No director is involved in deciding his/her own remuneration.
Compensation & HR Committee
As at 31 March 2025, the Compensation & HR Committee comprised three Non-Executive Directors, the majority of whom, including the Chairman, are independent. As at 31 March 2025, the members of the Compensation & HR Committee are:
Chairman: Mr Tang Kin Fei Members: Mr Goh Choon Phong
Mr Wee Siew Kim
The Compensation & HR Committee, in accordance with the Terms of Reference approved by the Board, is responsible for, inter alia, the following:
reviewing and making recommendations to the Board on the remuneration framework and policies for the Directors of the Company, the CEO, Key Management Personnel and Senior Officers who hold the rank of Vice President;
reviewing and making recommendations to the Board on the specific remuneration packages for each Director,
the CEO and Key Management Personnel. No Director is involved in deciding his/her own remuneration;
the talent management and remuneration framework for the Company, including staff development and succession planning;
the administration of the Company's Economic Value Added-Based Incentive Plan as well as other Senior Management cash incentive arrangements or plans;
the administration of the Company's share schemes;
the administration of the Company's Share Buy Back programme;
guidance on the maintenance of harmonious industrial relations with the Company's unions, and review of major agreements with the unions;
reviewing the risks associated with the Company's human resource administration and management;
the engagement of consultants and/or advisors with respect to remuneration matters; and
disclosure on remuneration matters in the Company's Annual Report.
The Compensation & HR Committee is also responsible for reviewing the eligibility, guidelines, allotment, awards and payouts under the Company's Restricted Share Plan ("RSP"), Performance Share Plan ("PSP"), Performance Target Bonus ("PTB"), Strategic Share Award ("SSA"), Economic Value Added ("EVA")-Based Incentive Plan ("EBIP") and Value Creation Plan ("VCP").
The Compensation & HR Committee retains and may exercise discretion when determining the link amongst remuneration, performance and value creation.
Engagement of Remuneration Consultant
Where appropriate, the Compensation & HR Committee may seek external advice on market practices and benchmark data and recommendations on Key Executives' remuneration, including cash incentives and share-based compensation.
For FY2024/25, Carrots Consulting Pte Ltd was engaged to provide such services. Carrots Consulting Pte Ltd only provides remuneration consulting services to the Company, and has
no other relationship with the Company which could affect its independence and objectivity.
Compensation & HR Committee's Activities During the Financial Year
During FY2024/25, the Compensation & HR Committee held four meetings, and also undertook, inter alia, the following matters:
CORPORATE GOVERNANCEconducted a review of the FY2023/24 RSP performance to-date;
conducted a review of the FY2021/22, FY2022/23 and FY2023/24 PSP performance to-date;
determined the allotment for the 19th RSP and PSP grants for FY2024/25;
reviewed the payouts under the VCP, PTB and SSA for FY2023/24;
reviewed and recommended the total compensation
reviewed the pay-for-performance relationship of the Company's executive compensation structure;
reviewed the Compensation & HR Committee mandate for Share Buy Back;
reviewed the Company's Industrial Relations Report for 2024;
reviewed the Company's Organisational Climate Survey (OCS) 2024 Results and action plans;
reviewed all aspects of remuneration, including the
Relationships between Remuneration, Performance and Value Creation for Shareholders and other Stakeholders
1
6 Capital Inputs(1)
2
Value Drivers
3
Value Creation for Stakeholders
The relationship between remuneration, performance and value creation is shown below:
VALUE CREATION PROCESS AT SIAEC
framework for Key Executives for the Board's approval;
conducted the annual performance and compensation review for Key Executives;
reviewed the fees payable to Non-Executive Directors for FY2024/25;
reviewed and recommended the adoption of the new SIAEC Restricted Share Plan 2024 ("SIAEC RSP 2024") and SIAEC Performance Share Plan 2024 ("SIAEC PSP 2024") to replace the previous SIAEC Restricted Share Plan 2014 ("RSP 2014") and SIAEC Performance Share Plan 2014 ("PSP 2014") respectively, which were due to expire on
20 July 2024;
reviewed the performance and salary review exercise for managerial staff;
reviewed and endorsed the 2024 Succession Development Plan for the Company;
Company's obligations in the event of termination of any Executive Director's or Key Executive's contracts of service to ensure fair and reasonable terms are accorded; and
reviewed all HR risk management activities and the measures that are put in place to mitigate the human resources and industrial relations risks.
LEVEL AND MIX OF REMUNERATION
Principle 7: The level and structure of remuneration of the Board and key management personnel are appropriate and proportionate to the sustained performance and value creation of the company, taking into account the strategic objectives of the company.
Key Executives' Remuneration Philosophy and Principles
For FY2024/25, the Company's Remuneration Policies for Key Executives are based on the following principles:
Using all forms of capital in the Company to produce value
Identifying key value drivers, performance measures and targets
Defining value creation outcomes, performance measures and targets
Inputs
Financial Capital
Human Capital
Social & Relationship Capital
Intellectual Capital
Natural Capital
Manufactured Capital
Key Value Drivers (KPIs)
Financials SIAEC Company and Subsidiaries' Operating Profit, Share of Profits of JVCs/Assoc, Group Profit After Tax and SIAEC Group's Return on Equity
Value Creation (Outcomes)
Achieving Economic Value Added (EVA) by generating operating profit which meets the Cost of Invested Capital over the long term and successful transformation (suspended and replaced with Group Net Operating Profit After Tax ("NOPAT") for post-COVID-19 period until end FY2024/25)
Shareholders' wealth creation (based on absolute Total Shareholder Return(2)) (TSR)
Non-Financials / ESG SIAEC Despatch Reliability, On Time Delivery, Customer Satisfaction, *Workplace Safety, Aviation Safety,
*Succession Planning, *Employee Engagement, *Audit Report Findings, Staff Resignation Rate, Environmental (Emission(3), Waste, Environmental Compliance)
* Sustainability-based Value Drivers
Sustainable value creation for other stakeholders (employees, customers, suppliers, communities)
Supported by SIAEC Key Executives Total Compensation Philosophy
Stakeholders & Business Alignment
Motivate Right Behaviours
Fair, Appropriate & Market Competitive
Effective Implementation
Support Reflect SIAEC's Sustainability Business Strategies Agenda and Core Values
Key Executives Incentive Pay Programmes • PTB • EBIP • VCP • PSP • SSA • RSP
For Other Stakeholders:
For Shareholders:
Philosophy Principles |
Shareholder • Build sustainable value creation and unlock wealth creation to align with shareholder interests & Business • Enhance retention of Key Executives Alignment • Provide sound and structured funding to ensure affordability and cost-effectiveness of compensation system in line with value-added and wealth-added goals Motivate Right • Pay for performance - align, differentiate and balance rewards according to multiple dimensions of performance Behaviours • Strengthen line-of-sight linking rewards and performance goals
|
Fair & Appropriate • Ensure remuneration is competitive relative to the appropriate talent markets
|
Support • Align performance-related remuneration with the interests of shareholders and other stakeholders Sustainability • Promote the long-term success of the Company Agenda • Disclose relationships between remuneration, performance and value creation for shareholders and other stakeholders |
ALIGNMENT WITH SIAEC KEY EXECUTIVES COMPENSATION
In the event of any misstatement of financial results or of misconduct resulting in financial loss to the Company as determined by the Compensation & HR Committee, the Company may, in its absolute discretion, reclaim unvested incentive components of remuneration from Key Executives. There was no such event during FY2024/25.
By selecting performance targets based on a balance of drivers and outcomes, the Board ensures that SIAEC's Key Executives are paid not only for value already created (i.e., outcomes) but also for performance in generating and/or creating future value (i.e., drivers).
Notes:
As per the International Integrated Reporting Framework
Includes share price changes and dividend yields
Carbon Emissions Reduction KPI was added to FY2024/25 PSP
CORPORATE GOVERNANCENon-Executive Directors' Fee Framework for FY2024/25 The fee for Non-Executive Directors reflects the scope and extent of a Non-Executive Director's responsibilities and obligations, and is appropriate to the level of contribution, taking into account factors such as effort, time spent and responsibilities. The Non-Executive Directors' fee framework is measured against relevant benchmarks and aims to be market competitive. The Board believes that it is important to
remunerate Directors equitably to attract and retain individuals with the necessary talents and capabilities for the effective management of the Group.
Whilst the Compensation & HR Committee reviews the fees payable to Non-Executive Directors to be recommended for shareholders' approval at the AGM, no member of the
Compensation & HR Committee may by himself decide on his own remuneration.
Type of Appointment
Schedule of Non-Executive Directors' Fees(i)
($)
Board of Directors
Member's Fee
Chairman Fee (in addition to Member's Fee)
Shareholders' approval is sought at the AGM for the fees for Non-Executive Directors for the current financial year on a pool basis. This pool is subsequently used to pay the Non-Executive Directors' fees based on actual service on a quarterly basis
in arrears.
Other than the fee framework for the Technology Advisory Committee, the Board Sustainability Committee and the Board Working Group (which were established in FY2019/20, FY2022/23 and FY2023/24 respectively), and an uplift to Board Meeting Attendance Fees from FY2024/25, the overall framework for determining the Non-Executive Directors' fees (including the fees payable to the Chairman), as set out below, was last revised in FY2017/18. The CEO is an Executive
Director, and is therefore remunerated as a Key Executive and in accordance with the terms of his contract. He does not receive Directors' fees.
Information on the rates and the actual fees paid in FY2024/25 are shown in the table below.
70,000
95,000
DISCLOSURE ON REMUNERATION
Principle 8: The company is transparent on its remuneration policies, level and mix of remuneration, the procedure for setting remuneration, and the relationships between remuneration, performance and value creation.
Disclosure on Directors' Remuneration
The table below shows the breakdown of the remuneration of the Directors (including the CEO) for FY2024/25.
Fee ($)
Salary
($)
Bonuses
($)
Benefits
($)
Shares(v)
($)
Total ($)
Non-Executive Directors
Tang Kin Fei 285,000 - - - - 285,000
Goh Choon Phong(i) 114,000 - - - - 114,000
Raj Thampuran 148,000 - - - - 148,000
Wee Siew Kim 113,000 - - - - 113,000
Chua Bin Hwee 152,000 - - - - 152,000
Lim Kong Puay 174,000 - - - - 174,000
Chong Chuan Neo 144,000 - - - - 144,000
Tan Tze Gay 117,000 - - - - 117,000
Tan Kai Ping(i) 128,000 - - - - 128,000
Audit Committee
Chairman Fee 45,000
Member's Fee(ii) 27,000
Ng Chee Khern(ii) 19,295 - - - - 19,295
Board Safety & Risk Committee
Compensation & HR Committee and Nominating Committee
Chairman Fee 30,000
Member's Fee(ii) 17,000
Chairman Fee Member's Fee(ii)
Executive Director
Chin Yau Seng(iii)
-
623,178
509,807(iv)
61,994
657,501
1,852,480
0%
34%
28%
3%
35%
100%
37,000
21,000
Technology Advisory Committee, Board Sustainability Committee and Board Working Group
Chairman Fee 20,000
Member's Fee(ii) 10,000
Executive Committee Chairman Fee Member's Fee(ii)
Board Meeting Attendance Fee
For each Board meeting attended via teleconference/videoconference For each Board meeting held locally
For each Board meeting held overseas
Notes:
If a Director occupies a position for part of a financial year, the fee due to him or her shall be pro-rated accordingly.
Chairmen of Board committees do not receive these fees.
30,000
17,000
1,000
2,000
5,000
Notes:
Non-Executive Directors' fees in respect of Mr Goh Choon Phong and Mr Tan Kai Ping were paid to and retained by Singapore Airlines Limited.
Mr Ng Chee Khern was appointed Director on 1 February 2025.
As the CEO, Mr Chin Yau Seng did not receive any Non-Executive Directors' fees.
Comprises PTB and VCP declared for the financial year.
Comprises shares awarded under the RSP, PSP and Deferred Share Award (DSA) during FY2024/25; the value of awards is based on the fair value of the shares awarded under the RSP ($2.11), PSP ($2.11) and DSA ($2.25). Shares awarded under the RSP and PSP are subject to performance targets and other terms and conditions being met under the respective share plans. DSA awarded during FY2024/25 is part of the FY2023/24 SSA, which was fully settled in shares for the CEO.
100% of the Non-Executive Directors' fees for FY2024/25 was paid in cash. Apart from the foregoing, no base or fixed salary, variable or performance-related income or bonuses, benefits in kind, stock options, share-based incentives or awards, long-term incentives or other remuneration was paid to the Non-Executive Directors of the Company for FY2024/25.
CORPORATE GOVERNANCEREMUNERATION REPORT
Key Executives' Remuneration Structure
The Company's Key Executives' remuneration structure is designed to include short-term and long-term incentives, which motivates and rewards Key Executives, and allows the
Company to align executive compensation with market practice. The remuneration structure includes the cash-based variable components of PTB, SSA, VCP and EBIP, and share-based awards under the RSP and the PSP, in addition to a fixed basic salary and fixed allowances. The payment of the PTB, SSA,
VCP and EBIP and grants of share awards are dependent on the achievement of the prescribed Group and Company
performance measures and individual performance measures.
Remuneration Mix
The Company's remuneration mix for Key Executives comprises salary, variable components and benefits. Variable components comprise short-term and long-term incentives, which are dependent on Group, Company and individual performance.
The remuneration mix aims to provide a good balance between competitiveness with the market, as well as rewards for
short-term and long-term objectives.
Fixed Component
The fixed component comprises base salary, the Annual Wage Supplement and cash allowances. The fixed components are benchmarked to comparable positions in the market.
Variable Components
Performance Target Bonus ("PTB")
The PTB rewards Key Executives for delivering on financial and operational objectives, as well as strategic development of the Group. The PTB is targeted at three times of the monthly base salary of each Key Executive incumbent, and final payout is based on assessment of the Individual Performance Scorecard ("IPS") of each Key Executive incumbent. An IPS rating is subsequently used to modify the PTB payout within the range of 0 - 150%.
Economic Value Added-Based Incentive Plan ("EBIP") One of the incentive plans included in the remuneration of Key Executives of the Company is the EBIP, which forms a main portion of the annual performance-related bonus for these executives. The EBIP rewards sustainable shareholder value creation achieved over the medium term by growing profits, deploying capital efficiently and managing the risk profile and risk time-horizon of the business. Under the EBIP, one-third
of the accumulated EBIP bonus, comprising the EBIP bonus declared for the financial year, and the balance of the EBIP bonus brought forward from preceding years, is paid out in cash each year. The remaining two-thirds are carried forward in each individual executive's EBIP account for payment in future years. Amounts in the EBIP account are at risk because a significant reduction in EVA in any year will result in retraction of the
EBIP bonus earned in preceding years. The EBIP encourages Key Executives to work for sustained EVA generation, and
to take actions that are aligned with the long-term interests of shareholders.
The rules of the EBIP are subject to review and amendment by the Compensation & HR Committee, which has the discretion, under authority of the Board, to amend the rules where appropriate and relevant to the business environment in which the Company operates.
The Board had previously approved the recommendation by the Compensation & HR Committee to suspend new EBIP funding for FY2020/21 to FY2022/23 due to the impact of COVID-19, subject to certain minimum payouts as determined at the discretion of the Compensation & HR Committee. This suspension has been extended until the end of FY2024/25 by the Board based on the Compensation & HR Committee's recommendation and will be reassessed thereafter based on prevailing market conditions.
Value Creation Plan ("VCP")
The VCP is an interim incentive plan until FY2024/25, subject to the Board's discretion to motivate Key Executives to restore the Company to profitability. Under the VCP, a percentage of positive Group NOPAT will be shared with the Key Executives, subject to a funding cap. Payouts will be made after the end of each financial year. For FY2024/25, a VCP payout pool has
been generated based on the Group Net Operating Profit After Tax ("NOPAT") performance of the Company and allocated by the Board based on recommendation by the Compensation & HR Committee.
Strategic Share Award ("SSA")
The SSA is an incentive scheme established with the objective of rewarding, motivating, and retaining Key Executives who shoulder the responsibility for divisional-focused strategic (and environmental, social and governance ("ESG")) initiatives and future-oriented growth. SSA is currently planned to be phased out in FY2025/26.
Under the SSA, an individual target bonus is pre-determined for each level of the Key Executives. At the end of the financial year, the individual target bonus is modified by the incumbent's performance on the execution of the strategic initiatives as assessed by the Compensation & HR Committee. The resultant
payout varies between 0% - 150% of the individual target bonus with settlement in cash and shares under the Deferred Share Award ("DSA"). The award of DSA as part of the FY2024/25 SSA will be made in the following financial year and disclosed based on grant date. For EVP(O) and SVPs in respect of the FY2024/25 SSA, 25% will be cash-settled and 75% will be settled through the DSA (except in the case of the SVP Human Resources who retired on 31 May 2025, which will be fully cash-settled). For the CEO, the FY2024/25 SSA will be fully settled in shares.
Deferred Share Award ("DSA")
RSP 2014
PSP 2014
Plan Description
Award of fully-paid ordinary shares of the Company, dependent on position level and individual performance targets set at the start of a one-year performance period based on medium-term Group and Company objectives with some degree of stretch.
Award of fully-paid ordinary shares of the Company, conditional on performance targets set at the start of a three-year performance period based on stretched long-term corporate objectives for the Key Executives.
Performance Conditions
The above performance conditions are selected as they are the key financial and operational drivers of shareholder value and are aligned to the Group's and Company's business objectives.
The above performance conditions are selected as key measurements of value-creation for shareholders.
Vesting Condition
Awards granted in and after FY2016/17 Based on meeting the stated performance
conditions over a one-year performance period, one-third of the final award will vest provided performance conditions are met. Balance will vest equally over the subsequent two years with fulfilment of service requirements.
Cliff vesting based on meeting the stated performance conditions after the three-year performance period.
Payout
0% - 150% of the initial award, depending on the achievement of pre-set performance targets over the performance period.
0% - 200% of the initial award, depending on the achievement of pre-set performance targets over the performance period.
Achievement based on Company Operating Performance Scorecard
Absolute Total Shareholder Return ("TSR") outperform Cost of Equity ("COE")
Return on Equity ("ROE")
Carbon Emission Reduction at end of performance period to support 2030 target reduction from base year 2019
As part of the FY2023/24 SSA, the DSA is a share award established with the objective of rewarding, motivating and retaining Key Executives who are responsible for strategic and transformational initiatives. The DSA is granted as a contingent share award under the RSP with one-third vesting upon grant and the balance one-third per annum vesting over the next two years. The final award will include an additional 20% equity kicker which vests at the end of two years after the grant date, subject to meeting a service-based condition, and provided that individual performance remains satisfactory.
An initial award of FY2024/25 RSP was granted during the financial year under consideration in July 2024. The
achievement factor for the RSP award granted in FY2024/25, which commences vesting in July 2025, reflects the extent
to which the pre-determined target performance levels were partially achieved for the one-year performance period of FY2024/25.
An initial award of FY2024/25 PSP was granted during the financial year under consideration in July 2024. The
achievement factor for the PSP award granted in FY2022/23 reflects the extent to which the pre-determined target performance levels were partially met for the performance period from FY2022/23 to FY2024/25.
An initial award of DSA was granted during the financial year under consideration in July 2024 as part of the FY2023/24 SSA.
Share Incentive Plans
The RSP 2014 and the PSP 2014 were approved by shareholders at the Extraordinary General Meeting of the Company held on 21 July 2014, and replaced the previous SIAEC Restricted Share Plan and SIAEC Performance Share Plan. The details of the RSP 2014 and PSP 2014 are described below:
To align the interest of Key Executives and that of shareholders, Key Executives are required to retain a certain percentage of shares acquired through the share-based plans beyond the vesting period, up to the lower of: (1) a percentage of the total number of shares awarded under the RSP and PSP; or (2) the number of SIAEC shares to be retained in order to meet a minimum value, which is set at a percentage of annual base salary based on position level.
Details of the RSP and PSP (previous and current), and the awards granted thereunder, can be found on pages 95 and 188 to 189 of this Annual Report.
CORPORATE GOVERNANCEThe initial awards of FY2024/25 RSP and FY2024/25 PSP granted during the financial year under consideration to eligible participants were granted pursuant to the RSP 2014 and PSP 2014, except for Jeremy Yew Jin Kit's initial award of FY2024/25 RSP and FY2024/25 PSP which were granted pursuant to the SIAEC RSP 2024 and SIAEC PSP 2024 based on the same award details as set out above.
At the Annual General Meeting of SIAEC held on 19 July 2024, shareholders of SIAEC approved the adoption of the SIAEC RSP 2024 and the SIAEC PSP 2024 to replace the previous RSP 2014 and PSP 2014, which were due to expire on 20 July 2024 and which were terminated following the adoption of the SIAEC RSP 2024 and SIAEC PSP 2024. The termination of the previous RSP 2014 and PSP 2014 was without prejudice to the rights of holders of awards outstanding under the respective plans as at the date of such termination. The SIAEC RSP 2024 and SIAEC PSP 2024 have substantially the same terms as the RSP 2014 and PSP 2014, save that the SIAEC RSP 2024 additionally permits grants of fully paid Shares to be made to Non-Executive Directors as part of their remuneration in respect of their office as such in lieu of cash. The SIAEC RSP 2024 and SIAEC PSP 2024 additionally incorporates amendments to take into account changes to relevant legislation and the Listing Manual, and changes to streamline and rationalise certain other provisions.
Pay-for-Performance Alignment
In performing the duties as required under its Terms of Reference, the Compensation & HR Committee ensures that remuneration paid to the Key Executives is clearly linked to the achievement of business and individual performance targets.
The performance targets determined by the Compensation & HR Committee are set at realistic yet stretched levels each
year to motivate a high degree of business performance, with emphasis on both short and long-term quantifiable objectives. Individual performance objectives aligned to the overall strategic, financial and operational goals of the Group and the Company are set at the beginning of each financial year and are cascaded down to Key Executives using Individual Performance Scorecards, creating alignment between the performance of
Remuneration Band | Number of employees | Salary | Bonuses(i) | Benefits | Shares(ii) | Total |
(%) | (%) | (%) | (%) | (%) | ||
$1,000,001 - $1,250,000 | 1 | 36 | 29 | 3 | 32 | 100 |
$750,001 - $1,000,000 | 6 | 39 | 25 | 9 | 27 | 100 |
$500,001 - $750,000 | 3 | 41 | 25 | 3 | 31 | 100 |
$250,001 - $500,000 | 1 | 8 | 86 | 6 | 0 | 100 |
Total Aggregate Compensation | $8,627,744 |
the Group and the Company, and the individual. In line with the sustainability agenda as part of the enhanced Senior Management Total Remuneration Philosophy, sustainability
objectives have been incorporated into the Individual Performance Scorecards of all Key Executives. While these performance objectives are different for each Key Executive, they are assessed on the same principles across the following five broad categories of targets, including ESG metrics aligned with the Company's sustainability strategy:
Financial and Business
Investment and Operations
People and Organisational Development
Safety and Quality
Strategic and Sustainability Initiatives
In FY2024/25, the Compensation & HR Committee engaged a remuneration consultant, Carrots Consulting Pte Ltd, to conduct a Pay-for-Performance Alignment study. The Compensation & HR Committee concluded that there was adequate linkage of the executive remuneration to the performance of the Group and the Company overall for the review period of FY2018/19 to FY2023/24.
Compensation Risk Assessment
The Compensation & HR Committee has reviewed the compensation structure to take into account the risk policies of the Company and the various compensation risks that may arise, and introduced mitigating policies to better manage risk exposures identified. The Committee will, from time to time, undertake periodic reviews of the compensation-related risks to align the performance of the Key Executives to the overall strategic objectives of the Company.
Disclosure of Key Executives' Remuneration
The Board believes that, taken as a whole, the disclosures provided are meaningful and sufficiently transparent in giving an understanding of remuneration of its Key Executives. For FY2024/25, the Key Executives (who are not Directors or the CEO) are Bernd Riggers, Chua Hock Hai, David So Man Fung, Foo Kean Shuh, Jeremy Yew Jin Kit(iii), Eleana Choy(iv), Ng Jan Lin Wilin, Ng Lay Pheng, Philip Quek Cher Heong, Stefan Schmuck and Wong Yue Jeen. The summary table of the compensation for the Company's Key Executives (other than the CEO) for FY2024/25, in bands of $250,000, is as follows:
For FY2024/25, apart from the post-retirement travel benefits for Key Executives (other than the CEO), there were no termination, retirement and post-employment benefits granted to Non-Executive Directors, the CEO1 and the Key Executives. There were no employees who were substantial shareholders of the Company, or were immediate family members of a Director, the CEO or a substantial shareholder of the Company, and whose remuneration exceeded $100,000, during FY2024/25.
Employee Learning and Development Programmes
The Company believes upskilling and reskilling our workforce is critical to our success. We have continue to make substantial investments in training and development to equip our employees with the essential skillsets to stay ahead of technological advancements. We are committed to providing equal opportunities for all employees to help them achieve their full potential and accelerate their career development. Our Training Academy is an approved Maintenance Training Organisation ("MTO") holding multiple approvals from civil aviation authorities all over the world and partners with aircraft manufacturers to embed competency-based learning methodology into our courses. Through a robust curriculum of ab-initio and specialised aerospace courses as well as aircraft type related training, delivered by a pool of experienced
instructors, the Training Academy supports the technical training needs of our employees, joint ventures, customers and strategic partners as well as industry professionals. More information on the foregoing is set out in the Company's Sustainability Report.
To ensure a continuous pipeline of skilled and qualified talents for the aerospace industry, we continue to work closely with institutes of higher learning ("IHLs") and approved MTOs in Singapore and regional countries, to expand our training network and capabilities. We collaborate with the Singapore Institute of Technology and Singapore Polytechnics to enhance our outreach for the next generation of aircraft professionals, by co-delivery of industry-based modules in aerospace programmes. Through structured training needs analysis and
based on industry feedback, we regularly tailor our courses with input from subject matter experts in their respective fields. A multi-faceted approach comprising classroom theory, hands-on practice in a controlled environment, and on-job-training form the pillars of our course structure. We have invested in the latest training devices and courseware from Airbus, Boeing
and Embraer to enhance the quality of training for our licensed aircraft engineers and technicians, and to upskill them to service new-generation aircraft types, via the utilisation of synthetic maintenance training simulation devices.
As part of the Company's Continuous Improvement ("CI") initiative, our employees have been inducted into a wide range of learning and proficiency enhancement programmes to strengthen their thinking agility and develop new competencies in the areas of digitalisation, leadership, automation, artificial intelligence, and innovation. The Company's continuing training efforts also include the Lean Academy to inculcate CI mindset as well as the Aviation and Workplace Safety Promotion Centres to reinforce our safety culture.
More information on the foregoing is also set out in the Company's Sustainability Report.
ACCOUNTABILITY AND AUDIT
RISK MANAGEMENT AND INTERNAL CONTROLS
Principle 9: The Board is responsible for the governance of risk and ensures that Management maintains a sound system of risk management and internal controls, to safeguard the interests of the company and its shareholders.
Board's Governance of Risk
The Board has overall responsibility for the governance of risk. The Board, supported by the Board Safety & Risk Committee and the other Board committees, maintains oversight of the key risks of the Group's business. Annually, the Board reviews the adequacy and effectiveness of the risk management and internal control systems, addressing financial, operational, compliance and information technology risks.
Management is responsible for the identification and management of risks, and key risks are proactively identified, addressed and reviewed on an ongoing basis. To ensure the continuing relevance and adequacy of identified risks and the effectiveness of preventive and mitigating measures, the Group's risk registers are reviewed every year. During these
yearly reviews, close attention is also paid to the identification of new and emerging risks.
Key risk issues are surfaced by Management to the Board and Board committees for discussion and decision. Upon the occurrence of significant risk events, the Board and/or appropriate Board committees are promptly informed and updated on developments, to facilitate their review of the
effectiveness in managing such incidents and the adequacy of mitigating measures taken by Management.
Notes:
Comprises PTB, SSA (cash component) and VCP declared for the financial year.
Comprises shares awarded under the RSP, PSP and DSA during FY2024/25; the value of awards is based on the fair value of the shares awarded under the RSP ($2.11), PSP ($2.11) and DSA ($2.25). Shares awarded under the RSP and PSP are subject to performance targets and other terms and conditions being met under the respective share plans. DSA awarded during FY2024/25 is part of the FY2023/24 SSA.
Jeremy Yew Jin Kit (on secondment from SIA until July 2024) assumed the role of SVP on 1 August 2024. The above disclosure includes his salary received from both SIA (for the period from 1 April 2024 to 31 July 2024) and SIAEC (for the period from 1 August 2024 to 31 March 2025).
Eleana Choy joined SIAEC on 1 March 2025 and the above disclosure includes her salary, allowances and sign-on bonus.
The CEO does not receive any post-retirement travel benefits from SIAEC under the terms of his service agreement.
CORPORATE GOVERNANCEStrategic risks & compliance
GROUP RISK & COMPLIANCE MANAGEMENT FRAMEWORK
HR & IR risks & compliance
Operational risks Financial risks
(including IT risks) (including cash & compliance liquidity & IPT risks)
& compliance
Environmental risks (including climate risks)
& compliance
HR & IR risks & compliance
Operational risks Financial risks
(including IT risks) (including cash & compliance liquidity & IPT risks)
& compliance
Compliance risks (on Nominating Committee matters)
Board Sustainability Committee
Compensation & HR Committee
Board Safety & Risk Committee
Audit Committee
Nominating Committee
Environmental risks (including climate risks) &
compliance
Group Risk & Compliance Management Committee
Board of Directors
Oversees risks & compliance at Group level:
Operational risks (including IT risks)
Compliance risks
Strategic risks
Financial risks
HR & IR risks
Environmental risks (including climate risks)
Risk & Compliance Management Committee
JV Risk & Compliance Management Committee
and associated companies. Both Committees report to the Group Risk & Compliance Management Committee, which has oversight of the risks faced by the Group.
Board Safety & Risk Committee
As at 31 March 2025, the Board Safety & Risk Committee comprised four Non-Executive Directors, the majority of whom, including the Chairman, are independent. As at 31 March 2025, the members of the Board Safety & Risk Committee are:
Chairman: Mr Lim Kong Puay Members: Mr Wee Siew Kim
Dr Raj Thampuran Mr Tan Kai Ping
The Board Safety & Risk Committee assists the Board in overseeing the Group's risk management system, framework and policies and ensures that Management maintains a sound system of risk management to safeguard the interests of the Group and the Company's shareholders. The Board Safety & Risk Committee, in accordance with the Terms of Reference approved by the Board, is responsible for, inter alia, the following:
reviewing the safety and risk management frameworks, including risk governance structure, policy, risk appetite statements and tolerance levels;
reviewing the adequacy and effectiveness of the safety and risk management systems and the related disclosures in the Annual Report;
overseeing the management of risks associated with the Group's operations, safety and information technology systems and ensuring key risks under its direct purview are managed within acceptable levels;
with the risk management framework and procedures by the divisions in the organisation. External consulting firms are also engaged periodically to conduct independent assessment
of the Group's risk management system, framework and processes, and to benchmark them against best practices in the aerospace industry. Additionally, the Group has in place a formal programme of control self-assessments, whereby Management and line personnel are involved in the ongoing assessment and improvement of risk management and controls.
Annually, the CEO, the CFO and the Chairman of each Risk & Compliance Management Committee provide the Board Safety & Risk Committee with a written assurance on the adequacy and effectiveness of the risk management system.
Risk Management Framework
The Company adopts the three lines of defence model, where
(i) business units manage risks in day-to-day operations as the first line, (ii) the Board, Senior Management and dedicated corporate functions provide governance and oversight as the second line, and (iii) SIA Internal Audit provides independent assurance as the third line.
The risk management framework sets out the policies, processes and procedures for identifying, evaluating and managing risks. The Company advocates a continuous and iterative risk management process, which was developed with reference to the principles and guidelines of the ISO 31000 risk management standards and the Code. The risks identified are wide-ranging, covering strategic, financial, operational, cyber security and information technology, compliance, human resources and industrial relations risks, and environmental and climate risks.
More details of the key elements of the Risk Management Framework can be found on the Company's website2.
Oversees risks & compliance at Company level
Oversees risks & compliance at Joint Venture level
overseeing compliance with relevant laws and regulations pertaining to the risks under its direct purview;
Risk Appetite Statements
The following risk appetite statements outline the amount of risk
Strategic risks pertaining to the Group's business are overseen directly by the Board. The Board Safety & Risk Committee maintains oversight of operational risks, including cyber security and information technology risks, with the support of the Group Risk & Compliance Management Committee (chaired by the CEO). The Audit Committee has oversight of the financial
risks (including cash liquidity and risks arising from Interested Person Transactions), while the Compensation & HR Committee oversees human resources and industrial relations risks. The Board Sustainability Committee oversees environmental risks (including climate risks). The Nominating Committee maintains oversight of compliance risks on matters including those relating to nominations to, and membership of, the Board and Board committees and corporate governance matters. The Board and the Board committees oversee compliance with the Code's requirements and relevant laws and regulations under
their respective purview, and explain deviations as required by the Code, taking into account relevant obligations under the Listing Manual.
Management is responsible for the effective implementation of the risk management strategy, policies and processes
to facilitate the achievement of the Group's business and strategic objectives, and is guided by the Board and the Board Safety & Risk Committee in formulating the risk management framework, policies and guidelines. The Board has also endorsed risk appetite statements to provide guidance to Management on the approach to managing key risks. The
Risk & Compliance Management Committee oversees the management of key risks at the Company level, while the Joint Ventures Risk & Compliance Management Committee oversees the management of the key risks of subsidiaries, joint venture
reviewing the Group's risk profile on a regular basis to understand the significant risks faced by the Group and how they are mitigated, and advising the Board on current and future risk exposures; and
reviewing Management's responsiveness to the risk mitigating actions and reports on any material breaches of risk limits, and the adequacy of these actions.
Risk Management Assurance
Internal and external assurance of the risk management system is conducted regularly. Internal assurance is outsourced and audited by an independent team from the SIA Internal Audit, which reports directly to the Audit Committee to ensure the adequacy and effectiveness of risk controls, and compliance
https://www.siaec.com.sg/our_company/risk_management.html
the Group is willing to take in achieving its business objectives:
StrategicSIAEC pursues diversified growth in the aircraft MRO business to mitigate the risk of over-reliance on any single segment.
In addition to the Singapore hub, SIAEC also grows its presence overseas to capture growth opportunities in those markets and diversify its revenue sources.
To maintain competitiveness, SIAEC continually invests in infrastructure, equipment, technology, systems and training to develop capabilities, optimise operations and maintain a highly-skilled and productive workforce.
CORPORATE GOVERNANCESIAEC forms strategic partnerships with airlines, aerospace original equipment manufacturers and other relevant companies, to gain long-term access to key markets, technologies and capabilities.
SIAEC will continue to strengthen its business portfolio by pursuing value-accretive opportunities in new markets and businesses, whilst maintaining a disciplined and robust investment approval process, and ensuring a prudent approach in managing the associated risks.
RegulatorySIAEC is fully committed to complying with applicable laws and regulatory requirements, and conducting business with integrity, transparency and honesty.
Safety, Health & EnvironmentManagement of Key Risks
Safety Risks
With the Group's business in aircraft MRO, aviation and workplace safety are key risks facing the Group. Safety and quality are key focus areas for the management of these operational risks. The Company is committed to building and maintaining a strong and effective safety and quality management system, in compliance with regulatory requirements and in accordance with best practices in the MRO industry.
The Company's Aviation Safety Management System ("ASMS") adopts the requirements and guidelines set by the International Civil Aviation Organisation and the Civil Aviation Authority of Singapore. A Safety, Health and Quality Council ("Council"), chaired by the CEO, oversees the ASMS. The Council closely monitors safety and quality performance to ensure the effectiveness of safety and quality systems, and to identify emerging trends.
Additionally, the Management Committee regularly reviews aviation and workplace safety issues and incidents to ensure accountability and prompt follow-up at the operational level. Every quarter, the Board Safety & Risk Committee reviews reports on safety and quality performance and lapses to ensure that Management undertakes prompt and effective remedial actions to address shortcomings and prevent recurrence.
Pursuit of Excellence and Safety are core values of the Company. Through ongoing and new training programmes and campaigns, staff are regularly engaged and reminded on the importance of maintaining high standards of safety and quality at the workplace.
To reinforce the importance of safety and strengthen safety training, the Company has set up the Aviation and Workplace Safety Promotion Centres. In addition, the Maintenance Line Operations Safety Assessment programme is in place to enlist operational staff to participate in the identification of operational issues. Observations gathered are analysed and action plans are developed to address the issues identified.
Operating in a highly regulated industry, the Group is subject to regular audits conducted by airworthiness authorities and customer airlines on its adherence to mandated standards of safety and quality. The Company holds approvals from 28 airworthiness authorities worldwide, including the Civil Aviation Authority of Singapore, the Federal Aviation Administration and the European Union Aviation Safety Agency. These authorities, as well as the Company's customers, conducted 212 physical and desktop audits on the operations of the Company in FY2024/25 to affirm the adherence to operational and safety standards.
Operational Risks, Crisis Management and Business Continuity
As part of our continuing efforts to enhance the robustness of our crisis management plans, a Company-wide crisis management exercise is conducted yearly. Crisis management and communication plans and procedures are regularly reviewed and refined, to ensure that responses in a crisis are coordinated and effective. Incidents that had taken place in the aviation and related industries are reviewed and learning points applied to strengthen the Company's crisis management
processes. On an ongoing basis, business units and support divisions conduct tests of business continuity plans to ensure their preparedness and the effectiveness of responses to disruptions of critical business functions.
As part of its risk-mitigating measures, the Group regularly reviews the scope, type and adequacy of its insurance coverage, taking into account matters including the availability of cover and the probability and impact of potential risks.
Cyber Security and Information Technology ("IT") Risks
With increasing cyber security threats globally, the Company has taken a proactive approach to managing its cyber security and IT risks.
The Company adopts SIA Group's IT security and governance policies, which take reference from the ISO/IEC 27001 standard on information security management. In addition, the Company leverages SIA Group IT infrastructure, maintains oversight of the systems, and conducts independent review to monitor that the IT security infrastructure and networks continually keep up with evolving threats. A Cyber Incident Response Team within the Crisis Management Directorate is in place to manage Company's responses in the event of a cyber security incident and an exercise was conducted in FY2024/25 to test and enhance the responses to such incidents. Annually, the business units and support divisions conduct tests of business continuity plans to ensure preparedness and effectiveness of responses to disruptions on critical IT systems.
To further safeguard IT security arising from staff working from home, the Company has implemented IT security policies that require mandatory updating of the Company's laptops and servers. Besides the bi-annual IT certification exercises, regular reminders are sent to all staff on phishing and hacking risks and best IT practices. Staff are also required to undergo recurrent e-learning training on information security.
To ensure cyber resilience of the Group, IT audits and assessments are conducted on subsidiaries, joint venture and associated companies to ensure compliance with IT controls and where required, follow-up actions are taken to improve standards and resilience.
Safety is a top priority and of paramount importance to the continuing operations of SIAEC. There is no compromise on safety and this message is continuously reinforced in daily work and training.
Conscientious efforts are made to embed continued safety vigilance and safety culture amongst all staff. This includes providing a safe work environment, encouraging active reporting of safety matters, continuous learning and improvement whilst maintaining the highest standard of quality and safety in aircraft maintenance.
SIAEC is committed to operating in an environmentally responsible manner and continually explores sustainable solutions.
CORPORATE GOVERNANCEManagement of Key Risks
Strategic Risks
The Group's strategic risks include geo-political tensions, varying competitive landscapes, changing customer demands, evolving regulatory and operating environments and technological disruptions. Uncertainties in the global economy, rapid geopolitical developments, competition in the core business segments and disruptive technologies continue to impact the Group. These risks are monitored constantly throughout the year, taking into consideration changing global economic and industry trends. Strategy meetings are held annually to formulate and fine-tune business strategies and responses, which will support business objectives, while addressing strategic risks and identified trends.
To remain as a valued service provider and stay ahead of its competition, the Company focuses on Continuous Improvement across key technology areas such as digitalisation and automation, as well as the adoption of Lean methodology in its operations and business processes. Besides improving operational efficiency and productivity, Continuous Improvement aims to create value for customers through delivery of high-quality services at competitive prices, develop new and relevant capabilities within the Group and promote a culture of innovation and continuous improvement throughout the organisation.
On strategic initiatives such as commercial partnerships, investment and divestment decisions, the Company has an established evaluation process and decisions are guided by the Investment Committee (which is a management committee), the Executive Committee and the Board. This ensures that value-accretive opportunities are pursued through a disciplined and robust investment approval process, while ensuring a prudent approach in managing the associated risks. In evaluating strategic initiatives, the Company performs thorough due diligence, feasibility studies and sensitivity analyses, engaging
the counsel and expertise of external advisors as required. These strategic initiatives are also monitored to ensure that they continue to meet the Group's business objectives and where required, the Group will augment its strategic initiatives to respond to changes in the business landscape.
Compliance and Regulatory Risks
The Company is fully committed to complying with applicable laws and regulatory requirements, and conducting business with integrity, transparency and honesty. The Company has a zero-tolerance policy towards bribery and corruption. There are policies and procedures in place against violation of regulations, which set out standards of ethical conduct for all employees covering topics such as anti-bribery and corruption; giving and receiving of corporate gifts and concessionary offers; competition laws; interested person transactions; personal data protection; dealings in securities; employee conduct and work ethics; conflicts of interests; and economic sanctions (collectively, "Compliance Controls"). The Company's economic sanctions policy details the processes for due diligence and screening of sanctioned entities, individuals or corporates prior to dealing
with such sanctioned persons and on an ongoing basis. The Company also has an established whistle-blowing programme and channel for stakeholders to provide confidential feedback or raise concerns about possible improprieties in any matter. More information on the whistle-blowing programme is set out in the section on the "Group's Whistle-Blowing Policy" on pages
57 to 58 of this Annual Report.
It is a requirement for our suppliers, including their subcontractors or service providers, to adhere to applicable laws and regulations as well as the Company's Suppliers' Code of Conduct which is enforced through purchase orders and agreements.
To reinforce the compliance culture, recurrent mandatory e-learning programmes have been put in place for the Company's staff and the completion rates for such programmes are closely monitored and reported to the Risk & Compliance Management Committee.
Management of Key Risks
Financial Risks
The Group's operations carry certain financial risks, including the effects of changes in foreign exchange rates and interest rates.
The Group's risk management approach is to moderate the effects of such volatility on its financial performance. The Group's policy permits the use of derivatives to hedge specific exposures.
The Group manages its foreign exchange exposure through a policy of matching, as far as possible, receipts and payments in each individual currency. Surpluses of convertible currencies are sold, as soon as practicable, for Singapore dollars. The Group also uses forward foreign currency contracts to hedge a portion of its future foreign exchange exposure. The Group uses forward contracts purely as a hedging tool and does not take positions in currencies with a view to making speculative gains from currency movements.
Counterparty risks are managed by limiting aggregated exposure on all outstanding financial instruments to any individual counterparty, taking into account its credit rating. Such counterparty exposures are regularly reviewed and adjusted as necessary to mitigate the risk of material loss arising in the event of non-performance by counterparties.
Trade and other receivables that are neither past due nor impaired are with creditworthy debtors. Concentrations of credit risk with respect to trade debtors are limited to the entities comprising the Group's customer base. The Group carefully assesses the financial strength of its customers and where appropriate, obtains collateral, including bank guarantees and letters of credit, from customers. In addition, the Group monitors the receivable balances on an ongoing basis, providing for doubtful accounts whenever risks are identified.
More information on financial risk management is set out in the section on "Financial Risk Management Objectives and Policies" on pages 174 to 182 of this Annual Report.
Human Resources Risks
In a rapidly changing business landscape, businesses need to be agile and responsive to market shifts. A talented and skilled workforce that is equipped with the necessary competencies is critical.
The Company recognises the importance of having a good pipeline of talents to assume key management positions so that the Company's leadership bench strength and ability to make key business decisions remain robust to support business growth and expansion.
Through a structured Talent Management Framework, high potential employees with desired leadership qualities and the potential to assume key management positions are identified. This talent pool is reviewed and refreshed annually, and the Company invests in their development through targeted training, mentoring, coaching and on-the-job capability development opportunities. The plans are reviewed regularly to ensure that our talents are provided with sufficient exposure to build up their repertoire of experiences, skills, knowledge and competencies needed for the Company's current and future leadership roles.
The Company is equally committed to the development of the workforce through upskilling and reskilling. Keeping pace with the Company's Continuous Improvement initiatives, continuing education and training of the workforce ensures all employees are equipped with the right skills and competencies to adapt to new technology and work processes. By investing in a future-ready workforce, the Company ensures that the Group's business remains competitive and at the same time, strengthens employee engagement and retention.
Pre-employment training is another area where the Company is committed to nurturing the next generation of talents for the business. The Company collaborates with IHLs and through internships, attachments, career talks and projects that expose students to real-world challenges, we aspire to build pipelines of talents that are equipped with the necessary skills and knowledge needed in the future.
The Company monitors the labour market and reviews recruitment plans to ensure sufficient resources to support business growth and operations. On staff retention and attraction, the Company continually evaluates its remuneration packages and makes adjustments where necessary, to be competitive with market rates, as well as takes steps to improve career development and progression opportunities.
CORPORATE GOVERNANCEManagement of Key Risks
Supply Chain Risks
As part of supply chain management, the Company forecasts and provisions parts and materials required for aircraft, engine and component maintenance in advance. In addition, inventory levels are monitored and replenished regularly to ensure adequacy. The Company also maintains close communication with original equipment manufacturers ("OEM") and major part suppliers to anticipate potential supply disruptions and ensure continual access to parts and materials. The Company has programmes with several major part suppliers to consign their parts on-site. The Company will continue to expand and diversify its supplier network, and identify alternate vendors as back-up.
The Company also conducts robust evaluation of suppliers during the selection process. In addition, processes are in place to manage suppliers and monitor their performance, including requiring suppliers to adhere to the Company's Suppliers' Code of Conduct and ongoing monitoring of suppliers' compliance through audits and supplier engagements.
Climate Change Risks
With the effects of climate change becoming increasingly evident, there is a growing concern on the ability of corporations to effectively manage the associated impacts and adapt to the changes. Physical climate risks, such as heat stress and prolonged wet weather, affect working conditions and jeopardise physical assets. Transition climate risks, such as stricter regulations and higher carbon taxes, increase the operating costs of businesses.
The Company is committed to playing its part in addressing climate change by setting targets to halve its Scope 1 and 2 emissions by 2030 and achieve net-zero emissions by 2050. The Company has developed a decarbonisation framework and identified key levers and enablers to guide the development of initiatives to meet these goals. Some of the initiatives include electrification of ground support equipment and vehicle fleet, installation of solar panels to tap renewable energy, etc. The Company also promotes the conservation of resources and recycling efforts, regularly engaging staff on the importance of sustainability.
Aligning with the Task Force on Climate-related Financial Disclosures ("TCFD") recommendations which will facilitate subsequent transition to the IFRS Sustainability Disclosure Standards, the Company has identified material physical and transition climate risks and opportunities relevant to our business. The identified climate risks have been integrated into our Enterprise Risk Management framework to be continually assessed and managed. As part of ongoing efforts to better manage climate risks, the Company has also conducted an exercise to quantify the impact of selected risks. This will allow the Company to improve resource allocation for risk management, facilitate decision-making and enhance transparency of disclosure to stakeholders.
More information on climate change mitigation can be found in the Company's Sustainability Report.
No Material Sanctions-related Risks
The Board has assessed that the Group currently does not have any exposure or nexus to any sanctions-related risks which
are relevant and material to its operations. This position will be monitored on an ongoing basis.
Board Safety & Risk Committee's activities during the Financial Year
During FY2024/25, the Board Safety & Risk Committee held four meetings, and also undertook, inter alia, the following matters:
reviewed the top risks under its purview;
reviewed the salient risk management activities of the Company, subsidiaries, joint venture and associated companies in managing the top risks under its purview;
reviewed the results of the yearly risk review to understand the significant risks facing the Group;
reviewed the adequacy and effectiveness of the risk management system, including the assurance provided by Management, and the related disclosures in the Annual Report;
reviewed the risk appetite statements; and
reviewed the safety and quality performance, and the actions to address lapses.
AUDIT COMMITTEE
Principle 10: The Board has an Audit Committee which discharges its duties objectively.
Audit Committee
As at 31 March 2025, the Audit Committee comprised six Non-Executive, Independent Directors. As at 31 March 2025, the members of the Audit Committee are:
Chairman: Ms Chua Bin Hwee Members: Dr Raj Thampuran
Mr Lim Kong Puay
Ms Chong Chuan Neo Ms Tan Tze Gay
Mr Ng Chee Khern (from 1 February 2025)
Neither the Chairman of the Audit Committee nor any of the Audit Committee members is a former partner or director of the Company's existing auditing firm. None of the Chairman or members of the Audit Committee have any financial interest in
the Company's existing auditing firm. A majority of the members of the Audit Committee (including the Chairman) have recent and relevant accounting or related financial management expertise or experience.
The Audit Committee, in accordance with the Terms of Reference approved by the Board, is responsible for, inter alia, the following:
the integrity of financial statement preparation and reporting;
risk management and internal controls in relation to financial reporting and other financial-related risks;
review of the assurance from the CEO and CFO on the financials records and financial statements;
recommendation to the Board on the proposals to shareholders on the appointment/re-appointment and removal of external auditors;
internal audit scope, adequacy, effectiveness, resources, performance, quality, independence and results of work including without limitation that which relate to internal controls, interested person transactions and sustainability reviews;
external audit qualification, scope, adequacy, effectiveness, independence, terms of engagement, engagement fees and results of work;
compliance with legal, regulatory (non-aviation related) and Company policies including matters of financial reporting and other financial-related risks;
whistle-blowing policies, processes and reporting; and
interested person transactions.
The Audit Committee reviews the quality, integrity, reliability and fairness of the Group's financial statements and information (including the relevance and consistency of the accounting principles adopted and the significant financial reporting issues and judgments) presented by Management. In the discharge
of its duties, it meets regularly (and at least annually) with the external and internal auditors separately, and without the presence of Management, pursuant to the provisions of the Code. During the financial year under review, the Audit
Committee met two times with the external auditors and once with the internal auditors of the Company separately, without the presence of Management. The external and internal auditors report their findings and recommendations to the Audit Committee independently.
External Audit
The Audit Committee oversees the Group's relationship with its auditors. It recommends to the Board the selection, appointment, re-appointment and/or removal of the external auditors, and the remuneration and terms of engagement
thereof. The Company's external auditor, KPMG LLP ("KPMG"),
is registered with ACRA. The audit partner is rotated once every five years. On an annual basis, the Audit Committee evaluates the performance and effectiveness of the external auditors. It also reviews the independence and objectivity of the external auditors, and assesses the nature, extent and costs of non-audit services provided by the external auditors. Such performance and effectiveness evaluation is used by the Audit Committee
to consider and recommend the appointment, re-appointment or removal of the Company's external auditors, the terms of engagement and remuneration of the external auditors. The annual re-appointment of the external auditors is subject to shareholder approval at the Company's AGM.
Internal Audit
The internal audit function is designed to provide reasonable assurance about the adequacy, effectiveness and efficiency of internal controls; the reliability of financial information processes; compliance with applicable laws and regulations;
and compliance with policies and procedures of the Company, its subsidiaries, joint venture and associated companies.
The Company's internal audit function is outsourced to SIA Internal Audit pursuant to an agreement between the Company and SIA. SIA Internal Audit adopts a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes by conducting risk-based audits and information technology audits across the Group. An annual audit plan is developed using a structured risk and control assessment framework through which the inherent risk and control environment of each auditable unit
in the Group is assessed. The risk-based annual audit plan is aligned to the key strategies and risks across the Group's
business. SIA Internal Audit uses analytical tools to perform data analysis in selected audit areas. This has enabled SIA Internal Audit to be more effective in providing audit assurance. The Head of Internal Audit reports directly to the Audit Committee.
The appointment of the Head of Internal Audit is reviewed and decided by the Audit Committee. The Audit Committee
approves the engagement, evaluation and audit fees of the SIA Internal Audit team.
Annually, the Audit Committee evaluates the adequacy and effectiveness of the internal audit function, the continuation of the engagement of SIA Internal Audit for performance of the internal audit and whistle-blowing investigations functions as well as the fees payable to them. In situations where the audit work to be carried out by SIA Internal Audit could give rise
to potential conflicts of interest, such as audit work relating to transactions between the Company and SIA, the Audit
Committee may authorise such audit work to be carried out by an independent third party as it deems appropriate.
SIA Internal Audit has unfettered access to all the Company's documents, records, properties and personnel, including access to the Audit Committee. It is free from any undue influence
that would impair its ability to discharge its responsibilities objectively and has appropriate standing within the Company. The Head of Internal Audit meets at least annually with the Audit Committee without the presence of Management. All significant audit findings and recommendations made are reported to
the Audit Committee and Management. Significant issues are discussed at the Audit Committee meetings. SIA Internal Audit follows up on all recommendations to ensure that Management has implemented the recommendations in a timely manner and reports the results to the Audit Committee every quarter.
SIA Internal Audit is a member of the Singapore chapter of the Institute of Internal Auditors ("IIA") and meets the Standards for the Professional Practice of Internal Auditing set by the IIA, including its Code of Ethics. SIA Internal Audit is adequately staffed by persons with the relevant qualifications and
experience. The professional competence of SIA Internal Audit is maintained or upgraded through professional certifications, training programmes, conferences and seminars that provide updates on auditing techniques and regulations. Quality assessment reviews are carried out at least once in five
years by external qualified professionals. An external quality assessment review was completed in FY2024/25. The results affirmed that the internal audit function generally conforms with the IIA Standards, International Professional Practices Framework and the IIA Code of Ethics.
INTERNAL CONTROLS
Adequacy and Effectiveness
The Company's internal control structure consists of policies and procedures established to provide reasonable assurance that transactions undertaken are aligned with the Company's objectives. These internal controls include Compliance Controls; approval limits for every banking and finance transaction
which are set out in financial policies; segregation of duties and regular rotation of sensitive positions; and also include without limitation the controls encapsulated in the policies and programme described below. The Board is supported by the Audit Committee in the review of the adequacy and effectiveness of the Group's system of internal controls.
The reviews are conducted from time to time and at least once annually.
Group's Whistle-Blowing Policy
The Group's whistle-blowing policy encourages employees, vendors and third parties to report improprieties, malpractices, misconduct and wrongdoings relating to the Group or its officers. The policy is communicated clearly to all employees on the Company's intranet and via a web-based training course introduced in FY2022/23. Reports to the Whistle-blowing Committee can be lodged via the whistle-blower reporting services independently managed by an external service provider by calling the hotline at +65 3158 1087 (24-hour),
via email at SIAGroup_whistleblow@tipoffs.com.sg, by post to
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SIA Engineering Company Ltd. published this content on June 23, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 23, 2025 at 02:28 UTC.
