Rolls-Royce upbeat despite Marine slowdown - UPDATE

Engine and power systems giant Rolls-Royce has maintained its outlook for the full year despite lowering its assumptions for underlying growth in the Marine division.

The news comes as the group announced the retirement of its Chief Operating officer (COO) Mike Terrett at the end of 2012 after five years in that position.

Terrett has been working at Rolls for 34 years and is said to have been "instrumental" in shaping the business. He has worked as Chief Engineer on the company's Trent 800 programme, President and Chief Executive Officer (CEO) of the Intentional Aero Engines (IAE) division and the President of Civil Aerospace.

"I would like to thank Mike for his leadership, the enormous contribution he has made to Rolls-Royce over many years and for the personal support he has given to me," said the company's CEO John Rishton.

As for the firm's third-quarter performance, the company said that trading has been consistent with the guidance provided at its half-year results in July.

The company said that guidance across the board remains unchanged except for in Marine, where underlying revenue is now expected to be more or less flat year-on-year due to the phasing of deliveries.

In July, Rolls said it expected "modest growth in underlying revenue" for Marine.

"For the full year, the group continues to expect good growth in underlying revenue and underlying profit, with cash flow around breakeven as we continue to invest in future growth."