Shares of Rolls-Royce jumped more than 11% to hit an all-time high on Thursday after the company reinstated its dividend and raised its profit forecast on the back of strong first-half results.
That's up from the £1.7 billion to £2.0 billion forecast in its 2023 full-year results and ahead of market expectations.
The firm, which supplies aviation giants Boeing and Airbus, also said it would resume dividends for full-year 2024, starting at a 30% pay-out ratio of underlying profit after tax.
"These results and our increased financial resilience give us the confidence to raise our 2024 guidance and reinstate shareholder distributions in respect of the full year 2024 results," Erginbilgic added.
Underlying operating profit was £1.15 billion, up from £673 million in the previous year.
Persons:
Royce, Tufan Erginbilgic, Erginbilgic
Organizations:
Royce Trent, Airbus, Lufthansa Technik AG, Royce, London, Boeing
Locations:
British