BAE Systems Lifts Cash Flow Guidance Again as Defense Spending Fuels Orders
By Mauro Orru
BAE Systems raised its free cash flow projection for the second time this year as orders keep climbing thanks to high spending on military hardware amid high geopolitical tensions.
The U.K. arms maker said free cash flow this year should come in at about 3 billion pounds, equivalent to $3.98 billion, up from prior guidance of more than 2 billion pounds. The group said its new forecast included some benefits from customer advances it had received to date.
In July, the company raised its annual sales, profitability and cash flow targets after a strong first half, a sign of confidence that its business would remain strong for the rest of the year.
The company said orders grew to 33 billion pounds so far this year, up from more than 27 billion pounds a year earlier.
It continues to expect sales growth of 8% to 10% this year. Underlying earnings before interest and taxes--a key measure of profitability--should still grow 10% to 12%, while underlying earnings per share, another closely watched metric, are still expected to grow 11% to 13%.
Write to Mauro Orru at mauro.orru@wsj.com
(END) Dow Jones Newswires
November 12, 2026 02:41 ET (07:41 GMT)
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