Melrose Industries PLC
LSE-MRO
Company Overview
Melrose Industries PLC engages in the aerospace, automotive, powder metallurgy, and other industrial businesses in the United Kingdom, rest of Europe, North America, and internationally. Its Aerospace segment provides airframe and engine structures, and electrical interconnection systems for the aerospace industry in civil airframe and defense platforms. The company's Automotive segment designs, develops, manufactures, and integrates driveline technologies, including electric vehicle components. Its Powder Metallurgy segment offers precision powder metal parts for the automotive and industrial sectors; and metal powder for powder metallurgy, as well as commercializes additive manufacturing. The company's Other Industrial segment designs, manufactures, and distributes ergonomic products for use in a various working, learning, and healthcare environments; and offers metal hydride hydrogen storage solutions for use in a range of industrial and commercial applications. The company was formerly known as New Melrose Industries PLC and changed its name to Melrose Industries PLC in November 2015. Melrose Industries PLC was founded in 2003 and is headquartered in London, the United Kingdom.
Name
Melrose Industries PLC
CEO
Peter G. Dilnot Interim
Website
www.melroseplc.net
Sector
Aerospace and Defense
Year Founded
2003
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Bulls Say
Supplying 90% of the in-service global engines fleet with a strong focus on narrow-body aircraft, GKN is well positioned to capitalize on long-term structural industry growth.
The service business should accelerate growth as 45% of CFM56 and 30% of the V2500 engines are due for their first major maintenance work over the next five years.
Program risk has diminished as the group exits a heavy investment phase and aftermarket revenue is ramping up.
Bears Say
Further technical issues from in-service GTF engines could hit margins and the ramp-up of production.
Protracted supply chain issues might hurt the ramp-up in engines, leading to a miss on delivery guidance.
An increase in the retirement of aircraft could prematurely shrink fleets and hit market revenue.