Partner Article

BAE suffer weaker sales

BAE Systems has reported a fall in profits in 2012, caused by weaker demand for defence products.

Sales fell by 7% from £19,154m in 2011 to £17,834m in 2012, partly caused by a pricing dispute on a Saudi Arabian Typhoon Jet order which has delayed the order.

Contracts outside the UK and US increased from £4.8bn to £11.2bn, affording some optimism.

The failed planned merger with French defence manufacturer EADS also impacted the company in 2012.

Chief executive of BAE Systems, Ian King, said: “Our geographic diversity is providing resilience and in particular, we have made excellent progress in international markets achieving a non-US and UK order intake of £11.2bn.

“This has resulted in an 8% increase in our order backlog to over £42bn. We have closed the year with a strong balance sheet and are well positioned for the future.”

This was posted in Bdaily's Members' News section by Tom Keighley .