Aero-engineer Rolls-Royce on Thursday reported a strong recovery in profit as its new CEO's turnaround plan gathers pace, helped by better pricing for maintaining the engines that power long-haulaircraft like the Airbus A350 and Boeing 787.
The British company reported first-half underlying operating profit of 673 million pounds ($854 million), more than five times the level of a year ago.
Chief Executive Tufan Erginbilgic, who joined the company in January, said the jump in profit and cash generation reflected "greater productivity, efficiency, and improved commercial outcomes.
Operating profit in its defence unit, which provides the engines that power Britain's nuclear submarines, grew by a third, driven by strong revenue growth and higher margin.
Power systems - its third major business unit - reported broadly flat profit at a lower margin.
Persons:
Royce, Tufan Erginbilgic, Erginbilgic
Organizations:
Airbus, Boeing, British