Earnings Alerts

Rolls-Royce Holdings (RR/) Earnings: 1H Civil Aerospace Adjusted Revenue Exceeds Expectations

  • Civil Aerospace Adjusted Revenue: GBP 4.12 billion, beating the estimate of GBP 3.74 billion.
  • Defence Adjusted Revenue: GBP 2.22 billion, exceeding the estimate of GBP 1.98 billion.
  • Power Systems Adjusted Revenue: GBP 1.84 billion, slightly below the estimate of GBP 1.9 billion.
  • New Markets Adjusted Revenue: GBP 2 million, close to the estimate of GBP 1.94 million.
  • Defence Adjusted Operating Profit: GBP 345 million, surpassing the estimate of GBP 274.4 million.
  • Power Systems Adjusted Operating Profit: GBP 189 million, slightly missing the estimate of GBP 193.9 million.
  • New Markets Adjusted Operating Loss: GBP 91 million, larger than the estimated loss of GBP 71.3 million.
  • Divestment Targets: Expecting to generate £1.0bn-£1.5bn in gross proceeds by 2028.
  • Efficiency & Simplification Programme: Aiming for more than £250m of cumulative savings by end of 2024, with a mid-term target of £400-500m in savings.
  • Organizational Design Benefits: On track to deliver around £200m per annum by the end of 2025.
  • Strategic Focus: Strong first-half results reflect efforts in commercial optimisation and cost efficiencies.
  • Analyst Ratings: 14 buy ratings, 3 hold ratings, and 3 sell ratings.

Rolls-Royce Holdings on Smartkarma

Independent research analysts on Smartkarma have provided contrasting views on Rolls-Royce Holdings, a British company renowned for its power business, primarily in civil aerospace. Business Breakdowns, in a bullish stance, delves into Rolls-Royce’s focus on engineering excellence and long-standing history, with a spotlight on its production of airplane engines for commercial and business aircraft. Meanwhile, Leonard Law, CFA, in a bearish sentiment, analyzes Rolls-Royce’s Environmental, Social, and Governance (ESG) aspects. Lucror Analytics rates RR’s ESG as “Adequate”, emphasizing its solid governance and minimal controversies, earning a notable position in the Dow Jones Sustainability Index for the aerospace & defense industry.


A look at Rolls-Royce Holdings Smart Scores

FactorScoreMagnitude
Value0
Dividend1
Growth5
Resilience5
Momentum5
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Rolls-Royce Holdings PLC, a renowned manufacturer of aero, marine, and industrial gas turbines for various sectors including civil and military aircraft, is projected to have a promising long-term outlook based on the Smartkarma Smart Scores. The company received top scores in Growth, Resilience, and Momentum, indicating a robust performance in these areas. With a strong focus on innovation and expanding its market presence, Rolls-Royce Holdings is poised for significant advancement in the foreseeable future.

Despite the lower scores in Value and Dividend, the exceptional ratings in Growth, Resilience, and Momentum imply a bright future for Rolls-Royce Holdings. The company’s diversified portfolio, encompassing power generation systems, marine propulsion equipment, and defense technology, showcases its adaptability and strength in various markets. Investors may find Rolls-Royce Holdings an attractive prospect for long-term investment, given its impressive performance across key factors driving growth and sustainability.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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