Engine maker Rolls-Royce has posted record annual profits of £1.16 billion for the year to the end of December 2011.
It is the first time the company has reported annual profits in excess of £1 billion. The results were boosted by the company’s acquisition of German engine maker Tognum and the £950 million sale of its stake in International Aero Engines.
Rolls-Royce provides power systems and services for use on land, at sea and in the air, for the civil aerospace, defence aerospace, marine and energy and nuclear sectors.
The company reported a record order book of £62.2 billion, up five per cent from the year before; record underlying revenue of £11.3 billion, up four per cent; and record underlying profit before tax of £1.16 billion, up 21 per cent from a year earlier.
Chief executive Sir John Rishton commented: “Rolls-Royce performed well in 2011, and at the year-end had a record order book, record underlying revenue and record underlying profit. We continue to benefit from a broad portfolio, a large and growing customer base and access to markets where demand remains strong for our products and services.
“Our order book gives us good visibility of future revenues and demonstrates the confidence our customers have in us. We see opportunities for profitable growth across our portfolio. In particular, the acquisition of Tognum, that we have made in partnership with Daimler, adds significantly to the breadth of our portfolio and will accelerate growth.”
He concluded: “For 2012 we expect good growth in both underlying revenue and underlying profit with cash flow around breakeven as we continue to invest in future growth.”
Headquartered in London, Rolls-Royce employs over 38,900 people in offices, manufacturing and service facilities in 50 countries.
