Swindon & Wiltshire News
Profits at Babcock rise as governments spend more on defence
Profits have jumped 19 per cent at defence engineering firm Babcock, as governments spend more on defence.
Babcock maintains Britain’s naval fleet, builds warships and provides weapons systems at 60 sites around the UK.
Regionally, Babcock has multiple locations in Bristol, where its Submarine Availability Support Hub and a Technology Centre provide critical systems for defence and civil markets; Corsham, where it manages and operates the MoD’s military satellite communications system Skynet; and Tidworth, where it stores and maintains military vehicles.
The majority of Babcock’s South West staff are located at Plymouth, where the firm operates the Devonport dockyard.
Figures released this morning (Friday) for the six months ending September 30 show the company has an order book of £9.9 billion.
The company lists its highlights during the period as reopening Devonport’s 15 Dock facility, marking the return of twin streaming submarine maintenance capability, winning a £114 million three-year contract to prepare for the first nuclear defueling of a decommissioned Trafalgar Class submarine in over 20 years (pictured), and securing over £50 million in new orders for Skynet services.
As well as the UK, the company also did deals with the governments of Canada, France, and South Africa.
CEO David Lockwood said: “Thanks to the skills and dedication of our people, Babcock continued its track record of profitable growth with a strong performance in the first half.
“Good momentum was underpinned by consistent delivery for our customers against a background of supportive market dynamics.
“We are on track to achieve our expectations for the full year and are pursuing exciting opportunities for sustainable growth and margin expansion, both in the UK and internationally.”
