The hiring spree came despite the aircraft maintenance, repair, and overhaul (MRO) services giant expecting tough negotiations at its flagship 22.6-hectare facility in the Ninoy Aquino International Airport, whose 25-year lease expired at the end of August this year.
LTP, a venture between Tan’s MacroAsia and Germany’s Lufthansa Group, disclosed in its latest quarterly report it had 3,914 personnel as of end-September this year.
This means it added 962 skilled workers over the past 12 months. Of this number, around 700 employees joined the firm since June this year, filings showed.
Businesses that are reconsidering investments in an area typically slow down expansion, including headcount growth. Past news reports suggested LTP might pull out of the site if it fails to secure more favorable terms.
What MacroAsia is saying now
For one, the company said the airline industry continues to boom, raising overall demand for MRO services such as those provided by LTP.
“With the recovery of the aviation industry beginning in 2024, LTP has since accelerated recruitment to rebuild technical capacity and meet the increasing workload at its facilities,” it said.
It continues to see “rising global demand” for MRO capacity, with LTP’s facilities able to service a wide range of aircraft, including Airbus models such as the A320, A330, A340, A380, and Boeing 777s, placing it in a prime spot to serve carriers around the world.
It flagged rising costs
MacroAsia expects lease rates to surge to P710 per square meter with the end of its old contract.
It was previously paying just P65 per square meter, a rate that had been fixed for decades since 2000.
The contract expired after NAIA was privatized to a consortium led by tycoon Ramon S. Ang’s San Miguel Corp.
Business is still doing very well
Based on its latest financial report, LTP contributions surged over 80 percent to P868.5 million in net income to MacroAsia during the first nine months of 2025.
“This significant increase is primarily due to improvements in LTP’s base maintenance business,” the company said.
MacroAsia also posted a recurring profit increase of 14 percent to about P1.2 billion while revenue grew 6 percent to P7.4 billion.
This was despite the partial impact of the P710 per square meter updated lease fee, contributing to a 28 percent increase in total operating expense to P1.2 billion during the nine-month period.
Negotiations are still ongoing
Despite the contract expiring in August, LTP and MacroAsia are still in talks to improve the terms.
“While such increases may be recoverable through adjustments in client pricing, significant lease escalations could affect certain foreign airline customers that do not directly benefit from the NAIA capacity expansion,” MacroAsia said.
“As of this reporting period, MacroAsia and LTP are actively negotiating with the concerned authorities to secure favorable and sustainable terms for the renewal,” it added.
Clark hub also being considered
“Considering developments in the main hub, LTP is also evaluating opportunities in Clark, Pampanga,” the company said.
“This strategic consideration would enable the company to serve a broader client base, improve operational resilience, and strengthen the Philippines’ position as a regional MRO hub,” it added.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
