Rolls-Royce reports signs of recovery in long-haul jets demand - 08 iulie 2022: Diferență între versiuni

The return of the wide-body market is also critical for Rolls-Royce to get back to full financial health. The company’s business model of earning revenues on engines in the air and on after-market sales was badly hit by the grounding of a large portion of the world’s fleet during the pandemic. 

The European manufacturer, which is aggressively raising output of its single-aisle A320 family of jets, has so far stuck to a forecast to increase production of its A350 jet from five a month to six in early 2023, but the rapid rebound in travel has sparked more interest from airlines. 

Renewed demand for its engines is important for Rolls after it embarked on its biggest restructuring in its 116-year-history during the pandemic, including cutting 9,000 jobs out of a global workforce of some 52,000. The cuts shrunk its civil aerospace business by a third. Investors are watching closely if the company hits its target to generate “modestly positive free cash flow” for 2022, tilted towards the second half of the year. The civil business recently set out a medium-term plan to grow at high-single digit margins and low double digit revenue.

(UK.RR)

https://www.ft.com/content/c765b24f-7bb7-4b78-8320-37ac31ccdb43