Plus   Neg

Rolls Royce FY17 Underlying Operating Profit Up 22%; Underlying Revenue Up 6%

Rolls Royce Holdings plc (RYCEF.PK,RR.L,RYCEY.PK) reported 2017 profit before tax of 4.9 billion pounds, a material increase over the 2016 loss of 4.6 billion pounds. The Group noted that its reported profit before tax included a 2.6 billion pounds non-cash profit from the revaluation of its hedge book as sterling strengthened. Profit per share was 228.64 pence compared to a loss of 220.08 pence. Underlying operating profit was 1.2 billion pounds, an increase of 22% from prior year. Underlying profit before tax was up 25% to 1.1 billion pounds with strong contribution from Power Systems. Underlying earnings per share was 40.5 pence compared to 30.1 pence.

Fiscal 2017 underlying Group revenue rose 6% to 15.09 billion pounds, reflecting 6% growth in original equipment and 7% in services. Civil Aerospace led the progress, with revenues up 12% reflecting strong growth in OE engine delivery volumes (up 5% in total and up 35% for widebody). Nuclear revenues rose 4%.

Warren East, Chief Executive, said: "Financial results were ahead of our expectations and we achieved a number of important operational and technological milestones, but were impacted by the increasing cost and challenge of managing significant in-service engine issues. The business unit simplification and restructuring programme that we announced this January will drive further rationalisation and is a fundamental step in the journey started two years ago to bring Rolls-Royce closer to its full potential both operationally and financially."

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Galaxy Entertainment Group (WYNN) Friday announced that it has agreed to purchase 5.3 million primary shares of Wynn Resorts Ltd. at a price of $175 a share, resulting in $927.50 million of gross proceeds to Wynn Resorts. The two sale, combined with a previous sale effectively eliminate ownership of founder and former CEO Steve Wynn in Wynn Resorts. Starbucks wants to be more efficient but it is risking the fragile loyalty of its most devoted customers. The ubiquitous chain plans a major push to get coffee lovers to use its mobile app to place their orders, but regulars prefer to buy their lattes by waiting in the queue. According to reports,... Taco Bell, the Mexican fast-food chain owned by Yum Brands Inc. (YUM), Thursday said it will start selling tortilla chips in grocery and convenience stores starting May. The chips will be available in Fire and Mild sauce packet flavors and also in a Classic flavor. "This launch of our first line...
comments powered by Disqus
Follow RTT