Rolls-Royce Holdings has announced a remarkable turnaround in its financial results, showcasing a significant pretax profit increase thanks to cost-saving measures and higher-than-expected revenue.
Key Figures for 2023:
- Pretax Profit: £2.43 billion ($3.07 billion)
- Revenue: £16.49 billion, exceeding expectations of £15.33 billion
- Underlying Operating Profit: £1.59 billion, marking a £900 million increase
- Free Cashflow: £1.3 billion
Forward Guidance for 2024:
Rolls-Royce is optimistic about its future performance, with projected underlying operating profit in the range of £1.7 billion to £2 billion and free cash flow expected to be between £1.7 billion and £1.9 billion.
Operational Highlights:
- Large engine flying hours have rebounded to 88% of 2019 levels, a 65% increase from 2022.
- Large engine orders hit a 15-year high.
- Progress on defense programs, like the Aukus submarine agreement, is on track.
“Our robust performance in 2023 bolsters our confidence in achieving our 2024 targets and signifies a significant stride towards our long-term goals,” stated Chief Executive Tufan Erginbilgic.