SMS achieves key milestone towards FAA certification

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Stock Structural Monitoring Systems Plc (SMN.ASX)
Release Time 20 Jan 2025, 8:54 a.m.
Price Sensitive Yes
 SMS achieves key milestone towards FAA certification
Key Points
  • Federal Aviation Administration (FAA) has approved and issued the final Certification plan to Boeing
  • Only two steps remain before final FAA approval and certification
  • Delta Air Lines has confirmed commitment to install APB sensors across its fleet of 71 aircraft
Full Summary

Structural Monitoring Systems Plc ('SMS' or 'the Company') (ASX: SMN & SMNOA) has announced significant progress in the certification process for its Aft Pressure Bulkhead (APB) sensor technology. The Federal Aviation Administration (FAA) has approved and issued the final Certification plan to Boeing, marking the achievement of the third-to-last milestone in the process. With this milestone completed, only two steps remain: Boeing's submission of the full Service Bulletin and Compliance Report to the FAA, and final approval and certification from the FAA for this application. Although the timeline for these final steps is not yet confirmed, SMS will be following progress closely and updating the market as this information is received. While SMS has achieved full technical approval of the APB sensor solution within Boeing, the FAA has required concurrent inspections using Low Frequency Eddy Current (LFEC) technology every 2,400 cycles (or every second inspection) until sufficient operational data is gathered. To meet this requirement, Boeing is working with a major operator of older 737 Classic aircraft to collect additional data, and SMS is supplying the necessary kits to support this program. Delta Air Lines has confirmed its commitment to install APB sensors across its fleet of 71 aircraft subject to inspection requirements, and is also training Maintenance, Repair, and Overhaul (MRO) providers in Florida and El Salvador. SMS is also preparing sensor kits for United Airlines' APB sensor trial, expected to begin in January 2025. United has integrated the sensors into its maintenance program and is qualifying AEM as a supplier. The FAA's clarified requirements will also support discussions with other key target airlines, including Southwest and American Airlines, about integrating SMS's sensor technology.

Outlook

While the additional inspection requirement set by the FAA is temporary, SMS is confident that Boeing's program to collect the necessary operational data will address this in due course. The company is highly confident that its APB sensors will be the first structural health monitoring solution used in the commercial airline industry and will pave the way for expanded adoption of CVMTM technology and future innovations.