Belfast Telegraph

Profits soar to £1.9bn at defence giant BAE Systems

By Ravender Sembhy

BAE Systems has reported rising full-year profits and the defence giant expects the election of Donald Trump to further boost its performance in 2017.

The company said underlying earnings rose 13% to £1.9bn last year as it reaped the benefit of its weaponry and aircraft being used in war-torn Syria and Yemen.

BAE also said it would be helped by increased defence spending in the US over the coming 12 months.

"In the US, following the two-year Bipartisan Budget Act signed in 2015, there are signs of a return to growth in defence budgets, with the new administration expected to further increase defence and security spending," the group said.

President Trump has pledged to raise defence spending by $500bn (£406bn) to $1 trillion (£811bn), which would raise demand for the defence and armament sector.

Revenue at BAE grew 6% to £17.8bn.

Belfast Telegraph