Rolls-Royce says it will recover in the second half

Rolls-Royce reported an 80 per cent drop in first half profit, but stuck to guidance that its profit performance will recover in the second half of the year.
By The Newsroom
Published 28th Jul 2016, 08:23 BST
Updated 25th Aug 2016, 18:23 BST
Roll-Royce is in turnaround mode after warning last year that 2016 profit would halve.Roll-Royce is in turnaround mode after warning last year that 2016 profit would halve.
Roll-Royce is in turnaround mode after warning last year that 2016 profit would halve.

Rolls-Royce, which is in turnaround mode after warning last year that 2016 profit would halve, reported an underlying pretax profit of £104m for the first six months of the year, beating a consensus forecast for it to be £16m in the red.The company said its outlook for the full year is unchanged, driven by a pick-up in large aero-engine deliveries, growth in demand for engine servicing and as it benefits from a cost cutting program. Analysts expect profit it to post pretax profit of £669m in 2016.'‹'‹Chief '‹e'‹xecutive Warren East'‹ said: "'‹Order intake has been good and, although known headwinds constrained revenue and profit in the first half, the business remains well positioned to deliver a solid second'‹ '‹half performance'‹."'‹Following the EU referendum, Rolls-Royce reaffirmed its commitment to the UK but warned that longer term assurances w'‹ill'‹ depend on '‹the'‹ post-Brexit deal.'‹Rolls-Royce is involved with The '‹'‹Advanced Manufacturing Research Centre (AMRC) in South Yorkshire, which is managed by the University of Sheffield.

Related topics:Rolls-RoyceSouth YorkshireUniversity of Sheffield