This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-21528977
The article has changed 3 times. There is an RSS feed of changes available.
| Version 1 | Version 2 |
|---|---|
| BAE Systems' profits drop as defence budgets fall | BAE Systems' profits drop as defence budgets fall |
| (about 9 hours later) | |
| UK aerospace company BAE Systems has reported a fall in full-year profits, blaming delays over a major contract with Saudi Arabia and weak global demand. | UK aerospace company BAE Systems has reported a fall in full-year profits, blaming delays over a major contract with Saudi Arabia and weak global demand. |
| Pre-tax profits fell more than 6% to £1.37bn ($2.1bn), compared with £1.47bn last year. | Pre-tax profits fell more than 6% to £1.37bn ($2.1bn), compared with £1.47bn last year. |
| Sales also fell from £19.1bn to £17.8bn for the year to 31 December 2012. | Sales also fell from £19.1bn to £17.8bn for the year to 31 December 2012. |
| But BAE, which makes the Typhoon jet fighter, said its order backlog rose 8% to £42.4bn. | But BAE, which makes the Typhoon jet fighter, said its order backlog rose 8% to £42.4bn. |
| It also cheered shareholders by announcing a 4% increase in final dividend to 19.5p as well as a three-year share repurchase programme worth up to £1bn. | It also cheered shareholders by announcing a 4% increase in final dividend to 19.5p as well as a three-year share repurchase programme worth up to £1bn. |
| BAE's shares closed up 4%. | |
| But its outlook for 2013 remained cautious, with the company saying it expected "modest growth in underlying earnings per share" and a "constrained" US and UK market. | But its outlook for 2013 remained cautious, with the company saying it expected "modest growth in underlying earnings per share" and a "constrained" US and UK market. |
| Its deal to supply Saudi Arabia with 72 Typhoons has hit trouble following disagreements over the final contract price, while in the US, where BAE derives 40% of its revenues, the defence budget is being cut by $487bn (£320bn) over the next decade. | Its deal to supply Saudi Arabia with 72 Typhoons has hit trouble following disagreements over the final contract price, while in the US, where BAE derives 40% of its revenues, the defence budget is being cut by $487bn (£320bn) over the next decade. |
| In December 2012, BAE won a £2.5bn aircraft contract with the Sultanate of Oman to provide 12 Typhoon fighter jets and eight Hawk Advanced Jet Trainer aircraft. | In December 2012, BAE won a £2.5bn aircraft contract with the Sultanate of Oman to provide 12 Typhoon fighter jets and eight Hawk Advanced Jet Trainer aircraft. |
| The company has been under pressure to develop an alternative growth strategy following the collapse of its planned merger with European defence company EADS in 2012. | The company has been under pressure to develop an alternative growth strategy following the collapse of its planned merger with European defence company EADS in 2012. |