Rolls-Royce on track to meet targets
Power systems giant Rolls-Royce has assured that trading since the end of the first half has been in line with the guidance given in July - double digit growth in engine deliveries in all sectors and 20-25% growth in group profit.
Power systems giant Rolls-Royce has assured that trading since the end of the first half has been in line with the guidance given in July - double digit growth in engine deliveries in all sectors and 20-25% growth in group profit.
The firm said it has seen "encouraging" order flow from a broad range of global customers, and continues to expect good growth in underlying profit and a modest cash inflow (excluding the impact of acquisitions).
"Since the half year we have achieved some important milestones and continued to lay firm foundations for future growth," said chief executive John Rishton.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The balance sheet is said to be "robust" due to payments in excess of £1.4bn in relation to the acquisition of Tognum and the R Brookes Associates purchase in the nuclear sector. Rolls-Royce said that the balance sheet will also be strengthened when the restructuring of its involvement in International Aero Engines (IAE) is completed.
The group announced last month that it would dispose of its interest in IAE - a joint venture between Pratt & Whitney, MTU Aero Engines (MTU) and Japanese Aero Engine Corporation (JAEC) - to Pratt & Whitney for $1.5bn, in addition to further payments for every hour IAE engines are flown over the next 15 years.
During the period since 1 July, the firm has celebrate the entry into service of the first Boeing 787 Dreamliner.
BC
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
Review: The Store, Oxford – purveyors of excellence
MoneyWeek Travel The Store is a luxurious, new hotel in Oxford that has set up shop in a former department store in the heart of the city
By Chris Carter Published
-
Seven ways the Budget could hike inheritance tax or capital gains tax at death
Chancellor Rachel Reeves could target death taxes by raising IHT and/or levying CGT on inheritances. We look at some potential moves in the Autumn Budget
By Ruth Emery Published