UK defence makers BAE Systems, Rolls‑Royce post strong H1 2026 results
BAE Systems announced first‑half 2026 financials showing sales of £15.77 billion, up 9% year‑on‑year, and underlying EBIT of £1.70 billion, an 11% increase. Underlying earnings per share rose to 38.9 pence and free cash flow reached £1.79 billion. The company secured £16.4 billion of new orders, taking its order backlog to a record £84 billion. CEO Charles Woodburn said the volatile global threat picture is prompting sustained defence‑budget growth, and the group lifted its full‑year guidance, expecting 10‑12% underlying earnings growth.
Rolls‑Royce reported underlying operating profit of £2.53 billion for the same period, a 46% surge, with revenue of £11.28 billion, up 20%. The firm upgraded its full‑year operating‑profit outlook to £4.7‑£4.9 billion and raised free‑cash‑flow guidance to £3.8‑£4.0 billion. Shares jumped around 6% on the FTSE 100 after the guidance lift. The company highlighted strong civil‑aerospace demand and elevated defence spending as key drivers.
Airbus also posted solid H1 2026 performance, delivering 351 commercial aircraft, generating €33.2 billion of revenue (up 12%) and adjusted EBIT of €2.73 billion (up 24%). Its Defence and Space division recorded adjusted EBIT of €487 million, and the group kept its 2026 full‑year guidance unchanged.
Entities: Airbus SE · BAE Systems · BAE Systems plc · Charles Woodburn · John Healey · Rolls‑Royce Holdings · Rolls‑Royce Holdings plc · United Kingdom · United Kingdom Government
Claims
What the coverage asserts, and how well corroborated each claim is across sources.
- [● 5 SOURCES] BAE Systems raised its 2026 underlying earnings growth forecast to 10‑12%. (2026 half‑year results press release, BAE Systems report, and related articles)
- [● 4 SOURCES] BAE Systems order backlog was £84 billion at the end of June 2026. (supports)
- [● 5 SOURCES] CEO Charles Woodburn said the global threat environment remains volatile and UK defence spending falls short of what is required. (CEO remarks in BAE Systems half‑year release and coverage)
- [● 5 SOURCES] Rolls‑Royce underlying operating profit was £2.53 billion in the first half of 2026, up 46% YoY. (supports)
- [● 3 SOURCES] BAE Systems underlying EBIT rose 11% to £1.70 billion in the first half of 2026. (Half‑year results press release and related coverage)
- [● 5 SOURCES] Rolls‑Royce raised its full‑year underlying operating profit guidance to £4.7‑£4.9 billion for 2026. (supports)
- [● 5 SOURCES] BAE Systems underlying earnings before interest and tax (EBIT) rose 11% to £1.70 billion in the first half of 2026. (supports)
- [● 4 SOURCES] BAE Systems secured £16.4 billion of new orders in the first half of 2026. (supports)
- [● 3 SOURCES] BAE Systems sales increased 9% to £15.77 billion in the first half of 2026. (supports)
- [○ 1 SOURCE] Airbus delivered 351 commercial aircraft in the first half of 2026, generating €33.2 billion of revenue and adjusted EBIT of €2.73 billion. (supports)