Dip in profits for BAE despite boost in sales figures

A DEFENCE firm that made hundreds of people redundant has revealed a dip in profit despite a boost in sales.
Workers at BAE SystemsWorkers at BAE Systems
Workers at BAE Systems

BAE Systems, whose maritime services are mainly based in Portsmouth, announced its annual figures and reported an increase in sales.

The defence, security, and aerospace company revealed an overall strong performance in 2017, with sales increasing to £19.62bn from £19bn in 2016.

Revenue also increased from £17.79bn in 2016 to £18.32bn.

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However, the firm did see a dip in operating profit, which shrank from £1.74bn in 2016 to £1.48bn in 2017. In October last year, BAE announced it would axe almost 2,000 jobs across the UK.

The firm revealed it would be making 340 people redundant in Portsmouth’s maritime services division.

Chief executive Charles Woodburn said the company managed to deliver a strong performance, consistent with their expectations.

Around 3,500 people employed by BAE across the Solent.

The firm helped Portsmouth Naval Base to prepare for the arrival of HMS Queen Elizabeth by completing crucial infrastructure work. It will continue to provide her with support until at least 2020.

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David Mitchard, managing director, BAE Systems maritime services, said: ‘Last year was a landmark year for Portsmouth with the arrival of HMS Queen Elizabeth.

‘Having played a leading role in her construction and in preparing the naval base for her arrival, we were extremely proud to welcome her to her home port, along with many thousands of people.

‘Looking ahead to 2018 our dedicated workforce remains focused on delivering excellent service at home and abroad to ensure the Royal Navy’s fleet is ready to meet its operational demands.’