Bermuda Aviation Services Ltd. yesterday announced a 19 percent rise in full-year net income, which rose to a company record $3.4 million.

BAS chairman Michael Darling described the year as "extremely successful" and he added that the securing of a majority shareholding in Otis Bermuda and the acquisition of Computer Cabling Solutions (CCS) should help the company's chances of further success.

And group president Eugene Bean predicted earnings and revenues would rise by around 20 percent in 2008.

"Otis is the world's leader in elevator technology and holds the largest share of installed units not just in Bermuda but worldwide," Mr. Darling said.

"In March BAS acquired 100 percent of the shares of CCS Ltd., a leading provider of cabling, telephony and network infrastructure in Bermuda. Not only do both businesses complement our facilities management operations, but they also meet our strict criteria for acquisitions. Both companies have a solid customer base and present excellent opportunities for growth."

Mr. Darling added: "Our focus on performance produced our fourth consecutive year of increased revenue and net earnings. Whilst operating earnings were down 22 percent to $3.3m, net earnings improved 19 percent to $3.4m. Revenue for the period was up five percent to $37 million.

"We enjoyed results that strengthened our balance sheet, enabled us to return higher dividends to our shareholders and allowed us to invest in our future through further acquisitions providing momentum for significant growth in 2008."

Meanwhile, Mr. Bean will step down at the end of the year, to be replaced by Ken Joaquin, who has been chief executive officer since October last year and will become group CEO on January 1, 2008.

Mr. Bean will then take up the role of executive director primarily concentrating on the company's strategic initiatives.

"I am extremely grateful to have had the opportunity to lead such a great company and particularly proud to have been a part of its diversification and growth," Mr. Bean said. "I look forward to further contribution in my new strategic role supporting the new leadership."

Mr. Bean added: "In our management letter of 2006 we set several goals for the three ensuing years. All related to increasing shareholder value.

"I am pleased to report that we are well on our way to meeting or exceeding our objectives. Earnings per share for this fiscal year were up 19 percent; return on revenue is ahead 14 percent, cash flow is strong and having continued to execute our growth plan effectively the company could not be more stable."

Mr. Bean announced two scholarship plans to assist employees with further education needs. The values will be $10,000 "Bermuda Aviation Services Ltd. Chairman's Education Award", and $5,000 per year for an Associate's Degree at the Bermuda College designated as the "Bermuda Aviation Services Limited President's Education Award".

Mr. Bean also mentioned the legal action BAS has taken against the Government, a matter reported this week by The Royal Gazette. He said attempts to settle amicably had so far failed.

"It concerns our private jet operation where it is our position that the company has the exclusive right to operate the concession till the year 2014," Mr. Bean said.

"The tender documents issued in 1997 clearly state that the successful proponent has such a right. The Government has put forward that we do not, and has accepted another proposal that will allow a second operator. We are confident of our position."