MTU Aero Engines - free cash flow faces headwinds on engine inspection programme
BERLIN, July 26 (Reuters) - MTU Aero Engines' free cash flow is facing headwinds from a new inspection programme for geared turbofan (GTF) engines, the German firm's chief financial officer said on Wednesday.
"The Geared Turbofan inspection programme will cause headwinds for our free cash flow," said CFO Peter Kameritsch.
"We will resolutely enhance our strict cash management to limit the impact as far as possible," he added.
Free cash flow stood at 135 million euros ($149.38 million) in the first six months of 2023, compared with 168 million euros in the prior-year period, the German company said.
MTU is a partner on the GTF engine made by Pratt & Whitney that powers the A320neo.
Pratt & Whitney announced a new inspection programme for the GTF engines, which will be commencing in September and initially concerns 200 engines, according to MTU. ($1 = 0.9038 euros) (Writing by Miranda Murray, Editing by Friederike Heine)
