Rolls-Royce Holding PLC ( (RYCEY) ) has released its Q4 earnings. Here is a breakdown of the information Rolls-Royce Holding PLC presented to its investors.
Rolls-Royce Holdings PLC is a leading engineering company specializing in power and propulsion systems, primarily operating in the aerospace, defense, and power systems sectors. Known for its innovative technologies and strategic partnerships, the company plays a significant role in the global aerospace industry.
The 2024 earnings report from Rolls-Royce Holdings PLC highlights a strong financial performance, with significant progress in strategic initiatives and a robust transformation program. The company reported an underlying operating profit of £2.5 billion and a free cash flow of £2.4 billion, reflecting its successful commercial optimization and cost efficiency measures.
Key financial metrics from the report include a 57% increase in underlying operating profit compared to 2023, driven by improved performance across all core divisions despite supply chain challenges. The company also announced a reinstatement of shareholder dividends and a £1 billion share buyback plan for 2025, underscoring its strengthened balance sheet and confidence in future growth.
Rolls-Royce has upgraded its mid-term targets, aiming for an underlying operating profit of £3.6 billion to £3.9 billion and a free cash flow of £4.2 billion to £4.5 billion by 2028. These targets are supported by strategic initiatives across its divisions, including advancements in Civil Aerospace and Defense, and investments in Power Systems.
Looking ahead, Rolls-Royce remains optimistic about its growth prospects, with plans to deliver its mid-term targets two years ahead of schedule. The company is focused on further enhancing its operational resilience and exploring new market opportunities, positioning itself for continued success in the evolving aerospace and defense sectors.