Announcing its financial results for the year, BAE chief executive Ian King said cost controls together with new contract wins in the US, Saudi Arabia and internationally had helped it maintain profit levels.
The current financial year had started with good momentum with a settlement on Salam pricing (whereby a long-negotiated agreement with Saudi Arabia, relating to the supply of Eurofighter Typhoon aircraft – pictured – was reached). US budgets were in place and there was a well-defined UK Maritime sector plan, King added.
He went on, “Budget pressures in some of the Group’s larger markets are expected to prevail but BAE Systems has a broad-based portfolio.” This, he said would “provide a solid basis for growth over the medium term”.
In 2013, sales increased by 2% to £18.2bn with underlying earnings increasing by 3% to £1.9bn.
Copyright Ken Hurst 2014