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[1/2] A BR700-725 jet engine is seen at the assembly line of the Rolls-Royce Germany plant, in Dahlewitz near Berlin, Germany February 28, 2023. Tufan Erginbilgic, who took over in January, is the latest chief executive to try to tackle the company's inefficiencies. On Tuesday the company said it planned to shed up to 2,500 roles out of its total staff of 42,000. "This is another step on our multi-year transformation journey to build a high performing, competitive, resilient and growing Rolls-Royce," he said. One in 2020 aimed at surviving the pandemic which slashed 9,000 jobs, and one in 2018 which made 4,600 redundancies.

Persons: Nadja Wohlleben, Grazia Vittadini, Tufan Erginbilgic, Royce, Warren East, Sarah Young, Kate Holton, Emelia Organizations: Royce, REUTERS, Airbus, Boeing, General Electric, Tuesday, Warren, Thomson Locations: Royce Germany, Dahlewitz, Berlin, Germany, Britain, United States

[1/2] A BR700-725 jet engine is seen at the assembly line of the Rolls-Royce Germany plant, in Dahlewitz near Berlin, Germany February 28, 2023. Tufan Erginbilgic, who took over in January, is the latest chief executive to try to tackle the company's inefficiencies. On Tuesday the company said it planned to shed up to 2,500 roles out of its total staff of 42,000. "This is another step on our multi-year transformation journey to build a high performing, competitive, resilient and growing Rolls-Royce," he said. As part of the new streamlining plan, Rolls-Royce said it would merge its engineering technology and safety groups, and as a result chief technology officer Grazia Vittadini would leave in April 2024.

Persons: Nadja Wohlleben, Grazia Vittadini, Tufan Erginbilgic, Royce, Warren East, Sarah Young, Kate Holton Organizations: Royce, REUTERS, Airbus, Boeing, GE, Tuesday, Warren, Thomson Locations: Royce Germany, Dahlewitz, Berlin, Germany, LONDON

☆ Rolls-Royce shares soar by 23% after annual results crush expectations
▼ + stars: | 2023-02-23 | by ( Ruxandra Iordache | ) www.cnbc.com time to read: +2 min

Rolls Royce Trent XWB engines, designed specifically for the Airbus A350 family of aircraft, are seen on the assembly line at the Rolls Royce factory in Derby, November 30, 2016. Shares of London-listed aviation manufacturer Rolls-Royce soared Thursday, after the company sharply beat expectations with a 57% year-on-year increase in underlying profit, driven by its civil aerospace and power systems. The company recorded £652 million ($786 million) of underlying profit last year, £238 million higher than in 2021 — exceeding analyst forecasts near £478 million, as polled by Reuters. The company attributed the results to recovering demand for international travel, noting a 35% year-on-year hike in large engine flying hours for civil aerospace. The surge brings Rolls-Royce shares in line with the Deutsche Bank analysts' price target of £1.36.

☆ New Rolls-Royce boss says more to come after profit beat
▼ + stars: | 2023-02-23 | by ( Paul Sandle | ) www.reuters.com time to read: +2 min

SummarySummary Companies FY op profit 652 mln stg, up 57%Profit beats consensusNew CEO says 2023 profit will riseLONDON, Feb 23 (Reuters) - The new chief executive of Britain's Rolls-Royce (RR.L) forecast more profit growth in 2023 after last year beat expectations, and said the engineering company was capable of "much more" as his transformation plan starts to take shape. As Rolls-Royce announced a 57% rise in underlying operating profit on Thursday, he said his transformation programme was already underway and moving at pace. The company posted operating profit of 652 million pounds ($786.4 million) for 2022, beating an analyst forecast of 478 million pounds, helped by an improving performance in civil aerospace, its biggest division, as travel recovers from the pandemic. For 2023, Rolls guided to underlying operating profit of 0.8-1.0 billion pounds and free cash flow of 0.6-0.8 billion pounds, helped by the early benefits of the transformation. ($1 = 0.8291 pounds)Reporting by Paul Sandle; additional writing by Sarah Young and Kate HoltonOur Standards: The Thomson Reuters Trust Principles.

☆ Rolls-Royce strategy bind is a problem best shared
▼ + stars: | 2023-02-23 | by ( Pamela Barbaglia | ) www.reuters.com time to read: +4 min

That’s way better than the 1.5 billion pound cash outflow in 2021, but also four times what analysts had expected. Even so Rolls, which makes 45% of its revenue from making, selling and servicing commercial aircraft engines, is on the wrong side of the energy transition. But reaching net zero emissions by 2050 may involve ditching gas turbines entirely. One solution could come from hydrogen-powered fuel cell engines - Rolls clinched a partnership with easyJet (EZJ.L) in July to carry out a joint project to test a hydrogen engine. Rolls-Royce’s plans to reach net zero emissions by 2050 date back to 2021.

☆ Rolls-Royce slumps as new CEO warns of 'last chance' to change
▼ + stars: | 2023-01-27 | by ( Sarah Young | ) www.reuters.com time to read: +3 min

According to the Financial Times, Tufan Erginbilgic told staff at Rolls-Royce's main British site in Derby, central England, that the company's performance was "unsustainable" and it faced a "last chance" to change. "He was honest about our financial underperformance compared with our peers," a Rolls-Royce spokesperson said in an emailed statement on Friday. Shares in Rolls-Royce, which before the Financial Times report were at their highest for about a year, lost 4% in morning trading. Rolls-Royce was plunged into crisis when most air travel stopped for months during the pandemic, and then recovered only slowly. Many rounds of restructuring and asset sales were already undertaken under prior CEO Warren East, putting to question just how much more can be implemented," Zhao said.

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