Rolls-Royce upgrades profit forecast as turnaround plan bears fruit

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Rolls-Royce said its turnaround plan was starting to deliver as the British engineering group raised its profit forecast for the year after a better than expected performance in the first half, sending shares in the group up by more than 15 percent.

Article originally published by The Financial Times. Hargreaves Lansdown is not responsible for its content or accuracy and may not share the author's views. News and research are not personal recommendations to deal. All investments can fall in value so you could get back less than you invest.

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26 Jul 2023

The FTSE 100 company, which produces engines for some of the world’s largest commercial aircraft, said on Wednesday that it expected underlying operating profit to be £1.2bn-£1.4bn this year, up from a previous expectation of £0.8bn-£1bn. Analysts had forecast £934mn.

The company, which makes most of its money from servicing and maintaining engines, said higher volumes and commercial improvements, as well as cost efficiencies in its civil and defence units, helped drive performance.

Shares in Rolls-Royce rose 18.6 per cent in early trading on Wednesday. The company is due to report half-year results next week.

This article was written by Sylvia Pfeifer from The Financial Times and was legally licensed through the Industry Dive Content Marketplace. Please direct all licensing questions to