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Canada Technical Services and Lufthansa Technik.
Future Outlook for the MRO Industry
The future outlook for the MRO industry remains bullish for the next decade. Associated maintenance companies are well
positioned to receive their share of benefits due to the growing aerospace industry and increasing number of aircraft fleet. The
commercial aircraft fleet is expected to increase at a CAGR of 4.3% to 28,000 in 2017 from 17,800 in 2007. This is likely to
expand the size of the MRO industry by more than 50% by 2017.
Chart 4 – Number of Commercial Aircrafts by 2017E
Source: www.aerostrategy.com
In addition, since the average age of aircraft is increasing globally, the market opportunity for aging aircraft is expected to
ratchet up significantly. The chart below depicts the increased proportion of aged aircraft relative to the total fleet.
Chart 5 – Air Fleet Ages
Source: Company
Lastly, as the industry provides several growth opportunities, competition is likely to intensify. The growing aerospace industry
(commercial as well as military aircraft) has two classes of maintenance companies: (i) firms that follow the traditional NDT
methods; and (ii) new-age companies that stress more on technology development. These firms pose a threat to each other’s
market share. The technology-driven companies are anticipated to record higher growth in the future. Certain fundamentals of a
© Khandaker Partners. All rights reserved. The information and data contained herein is not warranted or represented to be accurate and complete.
This report is intended for U.S. residents and for information purposes only and should not be considered as advice or solicitation to buy or sell any
Security.
MRO company are likely to provide the much needed cutting edge to the players. Other than globalization and consolidation,
factors that could drive growth for companies in the MRO industry include: a) cost reduction through economies of scale and
low-cost units; b) value-added offerings; and c) an efficient logistics supply chain led by a spare part distribution network.
© Khandaker Partners. All rights reserved. The information and data contained herein is not warranted or represented to be accurate and complete.
This report is intended for U.S. residents and for information purposes only and should not be considered as advice or solicitation to buy or sell any
Security.
Products and Solutions
Overview
The Comparative Vacuum Monitoring (CVMTM) technology provides a real time monitoring (periodic and continuous) of the
initiation and crack developed on the metal body structure of an aircraft. Basically, CVMTM technology works on the principle
of differential pressure, that occur between galleries containing vacuum and galleries having air at standard atmospheric
pressure. Under normal conditions, since all the galleries are intact, there is no air flow into the vacuum region. However, when
a crack develops, the air at atmospheric pressure starts flowing into the vacuum gallery through the passage created due to the
crack. A transducer is attached to measure the flow between the galleries and indicates the intensity of the crack to the sensor.
The sensor either takes the form of a self adhesive polymer sensor or might form part of the overall set up. SMS has
successfully acquired four patents for this technology in the U.S. and has also filed for patents in 24 countries.
The application of the CVMTM technology in the aviation industry includes laboratory as well as on-sight operational usage.
The technology provides a robust base for the SHM system of an aircraft. The SHM system facilitates continuous monitoring of
areas that have a higher probability of crack formation on an aircraft. Sensors placed throughout the aircraft at probable
locations are linked to an on-board instrumentation, which helps to detect crack formation. CVMTM technology considerably
increases the performance of an aircraft, enhances safety levels and reduces the cost and time involved with the structural
maintenance.
Additionally, demand for the CVMTM technology is rising significantly owing to its added advantages such as physical
durability, light weight and simplicity to install. The technology can also be implemented across a range of sensor types to
ensure structural reliability and avoid operational fatigue in aircraft. For instance, the liquid sensors used in the SHM system
are made-up of radar transparent materials that do not generate electromagnetic emissions and are able to detect cracks by
differential pressures.
CVMTM Technology
The principal supporting the CVMTM technology is simple to understand. The technology works on the principle that vacuum
maintained within a small volume is extremely sensitive to leakage. The air and vacuum galleries are placed under the surface
　
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