BAE Systems raises free cash flow forecast as demand remains strong (updated)

BAE Systems

Today 08:14

Adds shares in bullet 3
LONDON, Nov 12 (Reuters) - Britain's biggest defence company BAE Systems BAES.L raised its annual free cash flow forecast by as much as 50% on Thursday, benefiting from customer advances, while sticking to its profit growth forecast as governments boost military spend.
Lifts annual free cash flow guidance to around £3 billion from previous guidance of more than £2 billion after it benefits from customer advances
Reiterates forecasts it upgraded in July for underlying operating profit to rise 10% to 12% and for sales to grow by 8% to 10%
Shares rise 1% to 1,937 pence. Stock is up 13% in the year to date 
Order intake stands at £33 billion in 2026 so far, says further agreements anticipated before the end of the year
Given "evolving threats", CEO Charles Woodburn says BAE is "well positioned to deliver sustainable growth over the years ahead"
Orders in the second half of 2026 include £1.6 billion related to the Global Combat Air Programme, a British, Italian and Japanese plan to build a new fighter jet, and £4.3 billion funding for UK's new nuclear deterrent submarines 

 (Reporting by Sarah Young, Editing by Paul Sandle)
 ((sarah.young@thomsonreuters.com; +44 20 7542 1109; Reuters Messaging: sarah.young.thomsonreuters@reuters.net))