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BAE-led consortium wins £250m UK combat aircraft contract

What’s New in the UK Defense Industry

The group, led by BAE Systems, has received a £ 250m contract from the Department of Defense to advance the development of the next generation of British fighters.

The jet concept and evaluation phase contract marks an important step towards launching the Tempest program, which is considered central to the UK’s combat aviation strategy.

With the end of production of Eurofighter Typhoon, a British, French, Italian and German company, the success of the program is critical to the UK’s future of £ 6 billion in combat aviation and 18,000 jobs per year. It is considered to be. ..

BAE is working with Rolls-Royce and MBDA, as well as the UK division of Leonardo, Italy, on the Tempest program. The concept and evaluation phase allows partners to shape the final design and functional requirements of Tempest.

Defense Minister Ben Wallace announced the deal when he visited BAE’s Warton site in Lancashire, saying it was “an important step in the next phase of the future combat aviation system.”

“The deal, which already boosts the world’s leading aviation industry, will keep thousands of jobs across the UK and help the UK stay at the top of the fight against aviation,” Wallace added. I did.

The news of the deal was announced when BAE announced that it would launch a share buyback program of up to £ 500m and increase its interim dividend by 5% after a good performance in the first half of this year.

The UK’s largest defense group has also raised its guidance for the whole year, saying it expects underlying earnings per share to increase by 3% to 5% from last year’s results.

Group sales in the first half of this year increased 6% on a constant currency basis to £ 10 billion, according to BAE. Interest and pre-tax profit increased 27% to £ 1.03 billion. We will pay an interim dividend of 9.9pa shares.

Charles Woodburn, BAE’s CEO, said the performance “emphasizes confidence in top-line growth, margin expansion and full-year guidance on three-year cash goals.”

BAE-led consortium wins £250m UK combat aircraft contract Source link BAE-led consortium wins £250m UK combat aircraft contract

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