Rolls Royce
Company Overview
Sector : Industrials
Industry : Aerospace & Defense
Headquarter : London, United Kingdom
Description : Rolls-Royce Holdings plc designs and manages mission-critical power systems in the United Kingdom and internationally. The company operates through three segments: Civil Aerospace, Defence, and Power Systems. The Civil Aerospace segment develops, manufactures, markets, and sells aero engines for large commercial aircraft, regional jet, and business aviation markets, as well as provides aftermarket services. The Defence segment is involved in the development, manufacture, marketing, and sale of military aero engines, naval engines, and submarine nuclear power plants, as well as offers aftermarket services. The Power Systems segment engages in the development, manufacture, marketing, and sale of integrated solutions for onsite power and propulsion under the mtu brand name. Rolls-Royce Holdings plc was founded in 1884 and is headquartered in London, the United Kingdom.
S&P Credit Rating
BBB+
CEO
Tufan Erginbilgic
No. of Employees
43,162
Website
www.rolls-royce.com
Rolls-Royce | Key Metrics
| Fiscal Year End Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Income Statement | ||||||||||
| Revenue | 14,960 | 16,310 | 15,730 | 16,590 | 11,820 | 11,220 | 13,520 | 16,490 | 18,910 | 21,210 |
| Revenue Growth % | 8.96% | 9.04% | 6.66% | 5.45% | (28.72%) | (2.38%) | 20.52% | 21.94% | 14.70% | 12.15% |
| Gross Profit | 3,050 | 3,170 | 1,200 | 940 | (210) | 2,140 | 2,760 | 3,620 | 4,220 | 6,180 |
| Gross Margin % | 20.38% | 19.46% | 7.62% | 5.68% | (1.78%) | 19.04% | 20.39% | 21.96% | 22.32% | 29.12% |
| Operating Income | (70) | 1,160 | (1,170) | (960) | (2,270) | 470 | 790 | 1,770 | 2,730 | 4,410 |
| Operating Margin % | (0.49%) | 7.09% | (7.41%) | (5.76%) | (19.22%) | 4.17% | 5.84% | 10.74% | 14.46% | 20.80% |
| EBIT | (4,570) | 4,950 | (2,870) | (740) | (2,750) | (50) | (1,190) | 2,630 | 2,330 | 6,970 |
| EBIT Margin % | (30.58%) | 30.37% | (18.23%) | (4.46%) | (23.27%) | (0.44%) | (8.83%) | 15.97% | 12.31% | 32.85% |
| EBITDA | (3,520) | 5,380 | (1,960) | 470 | (1,590) | 940 | (240) | 3,580 | 3,210 | 7,870 |
| EBITDA Margin % | (23.53%) | 33.01% | (12.48%) | 2.82% | (13.48%) | 8.41% | (1.79%) | 21.72% | 17.00% | 37.10% |
| Net Income | (4,030) | 4,210 | (2,400) | (1,320) | (3,170) | 120 | (1,270) | 2,410 | 2,520 | 5,840 |
| Net Margin % | (26.96%) | 25.80% | (15.21%) | (7.90%) | (26.80%) | 1.11% | (8.83%) | 14.58% | 13.14% | 27.52% |
| Diluted EPS (£) | (0.76) | 0.78 | (0.44) | (0.24) | (0.53) | 0.01 | (0.15) | 0.29 | 0.30 | 0.69 |
| Dividend Per Share (£) | 0.04 | 0.02 | 0.04 | 0.04 | — | — | — | — | — | 0.11 |
| Balance Sheet | ||||||||||
| Total Assets | 25,540 | 30,000 | 31,860 | 32,270 | 29,520 | 28,670 | 29,450 | 31,510 | 35,690 | 38,120 |
| Total Liabilities | 23,670 | 23,830 | 32,910 | 35,620 | 34,390 | 33,310 | 35,470 | 35,140 | 36,570 | 35,360 |
| Total Equity | 1,860 | 6,170 | (1,050) | (3,350) | (4,880) | (4,640) | (6,020) | (3,630) | (880) | 2,750 |
| Cash & Equivalents | 2,740 | 2,930 | 4,970 | 4,440 | 3,310 | 2,530 | 2,370 | 3,510 | 5,330 | 6,030 |
| Working Capital | 3,320 | 3,670 | 1,590 | 1,080 | 690 | 3,430 | 2,090 | 3,290 | 4,860 | 3,900 |
| Book Value Per Share (£) | 0.35 | 1.15 | (0.19) | (0.60) | (0.59) | (0.56) | (0.72) | (0.44) | (0.11) | 0.33 |
| Total Debt / Equity | 1.80 | 0.57 | — | — | — | — | — | — | — | 1.55 |
| Cash Flow | ||||||||||
| Operating Cash Flow | 1,411 | 1,810 | 2,226 | 2,297 | (3,009) | (259) | 1,850 | 2,485 | 3,782 | 4,565 |
| Cash from Investing | (1,363) | (1,509) | (975) | (918) | (1,010) | (428) | 826 | (726) | (831) | (939) |
| Cash from Financing | (739) | (70) | 702 | (1,792) | 3,024 | (88) | (2,866) | (549) | (1,047) | (2,973) |
| Capital Expenditure | 1,216 | 1,746 | 1,585 | 1,387 | 950 | 559 | 596 | 713 | 886 | 985 |
| Free Cash Flow | (733) | (489) | (2,413) | (2,157) | (1,512) | 117 | 338 | 659 | 1,407 | 3,030 |
| Change in Cash | (691) | 231 | 1,953 | (413) | (995) | (775) | (190) | 1,210 | 1,904 | 653 |
| Period ending Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue % | ||||||||||
| Year Over Year | 8.96% | 9.04% | (3.54%) | 5.45% | (28.72%) | (5.13%) | 20.52% | 21.94% | 14.70% | 12.15% |
| 3-Year Average | (1.21%) | 5.89% | 4.65% | 3.51% | (10.16%) | (10.65%) | (6.59%) | 11.72% | 19.01% | 16.19% |
| 5-Year Average | 6.10% | 6.04% | 0.28% | 3.84% | (2.94%) | (5.59%) | (3.68%) | 0.94% | 2.66% | 12.39% |
| 10-Year Average | 7.65% | 8.17% | 5.65% | 4.76% | 0.65% | 0.08% | 1.07% | 0.61% | 3.25% | 4.45% |
| Operating Income % | ||||||||||
| Year Over Year | — | — | — | — | — | — | 68.59% | 124.46% | 54.38% | 61.38% |
| 3-Year Average | — | (3.74%) | — | — | — | — | — | — | 80.10% | 77.50% |
| 5-Year Average | — | (0.74%) | — | — | — | — | (7.35%) | — | — | — |
| 10-Year Average | — | 8.94% | — | — | — | (8.57%) | (4.11%) | 2.56% | 7.75% | 12.17% |
| Net Income % | ||||||||||
| Year Over Year | — | — | — | — | — | — | — | — | 4.52% | 131.69% |
| 3-Year Average | — | 293.59% | — | — | — | — | — | — | 175.93% | — |
| 5-Year Average | — | 13.02% | — | — | — | — | — | — | — | — |
| 10-Year Average | — | 21.38% | — | — | — | (17.78%) | — | 5.84% | 43.31% | 53.02% |
| EPS % | ||||||||||
| Year Over Year | — | — | — | — | — | — | — | — | 4.08% | 131.47% |
| 3-Year Average | — | 296.07% | — | — | — | — | — | — | 175.40% | — |
| 5-Year Average | — | 13.46% | — | — | — | — | — | — | — | — |
| 10-Year Average | — | 21.36% | — | — | — | (21.23%) | — | 1.45% | 37.21% | 46.32% |
| Fiscal Year End Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Returns | ||||||||||
| Return on Assets % | (16.85%) | 15.15% | (7.76%) | (4.10%) | (10.26%) | 0.41% | (4.37%) | 7.91% | 7.50% | 15.83% |
| Return on Equity % | (117.28%) | 104.80% | (94.29%) | — | — | — | — | — | — | 643.99% |
| Return on Invested Capital % | (58.95%) | 57.09% | (35.43%) | — | — | — | — | — | — | 104.57% |
| Working Capital Efficiency | ||||||||||
| Days Sales Outstanding | 125.08 | 133.03 | 105.68 | 57.41 | 71.86 | 70.13 | 62.26 | 57.38 | 56.16 | 53.17 |
| Days Inventory | 87.72 | 93.74 | 99.81 | 100.40 | 121.47 | 147.82 | 141.99 | 135.55 | 123.51 | 131.36 |
| Payables Period | 51.78 | 61.68 | 62.52 | 56.23 | 56.38 | 54.05 | 50.99 | 47.42 | 38.94 | 44.84 |
| Cash Conversion Cycle | 161.03 | 165.09 | 142.97 | 101.59 | 136.95 | 163.90 | 153.26 | 145.51 | 140.73 | 139.70 |
| Asset Turnover | ||||||||||
| Receivables Turnover | 2.92 | 2.74 | 3.45 | 6.36 | 5.08 | 5.20 | 5.86 | 6.36 | 6.50 | 6.86 |
| Inventory Turnover | 4.16 | 3.89 | 3.66 | 3.64 | 3.00 | 2.47 | 2.57 | 2.69 | 2.96 | 2.78 |
| Fixed Assets Turnover | 3.93 | 3.73 | 3.29 | 2.83 | 1.86 | 2.03 | 2.67 | 3.42 | 4.15 | 4.58 |
| Asset Turnover | 0.62 | 0.59 | 0.51 | 0.52 | 0.38 | 0.39 | 0.47 | 0.54 | 0.56 | 0.57 |
| Fiscal Year End Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Liquidity | ||||||||||
| Current Ratio | 1.35 | 1.34 | 1.10 | 1.07 | 1.05 | 1.29 | 1.15 | 1.22 | 1.29 | 1.20 |
| Quick Ratio | 1.02 | 1.00 | 0.73 | 0.74 | 0.66 | 0.69 | 0.63 | 0.68 | 0.77 | 0.70 |
| Leverage & Solvency | ||||||||||
| Interest Coverage | (59.21) | 74.09 | (26.54) | (3.90) | (15.17) | (0.17) | (3.38) | 7.58 | 7.17 | 23.96 |
| Financial Leverage | 13.72 | 4.86 | — | — | — | — | — | — | — | 13.98 |
| Debt / Equity | 1.71 | 0.55 | — | — | — | — | — | — | — | 1.04 |
| Per Share | ||||||||||
| Book Value Per Share (£) | 0.35 | 1.15 | (0.19) | (0.60) | (0.59) | (0.56) | (0.72) | (0.44) | (0.11) | 0.33 |
| Cash Value Per Share (£) | — | — | — | 0.80 | 0.59 | 0.32 | 0.33 | 0.45 | 0.69 | 0.77 |
| Capital Expenditure | ||||||||||
| Capex as % of Sales | 8.13% | 10.71% | 10.08% | 8.36% | 8.03% | 4.98% | 4.41% | 4.32% | 4.69% | 4.64% |
| Fiscal Year End Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash Flow Growth | ||||||||||
| Operating CF Growth % YoY | 28.98% | 28.28% | 22.98% | 3.19% | — | — | — | 34.32% | 52.19% | 20.70% |
| Free Cash Flow Growth % YoY | (2.01%) | (67.18%) | 901.56% | 41.97% | — | — | — | 41.31% | 63.43% | 23.62% |
| Cash Flow Margins & Quality | ||||||||||
| Free Cash Flow / Sales % | 1.30% | 0.39% | 4.08% | 5.49% | (33.48%) | (7.29%) | 9.28% | 10.75% | 15.32% | 16.88% |
| Free Cash Flow / Net Income | (0.05) | 0.02 | (0.27) | (0.69) | 1.25 | (6.82) | (0.99) | 0.73 | 1.15 | 0.61 |
| Free Cash Flow Per Share (£) | 0.08 | (0.01) | 0.10 | 0.06 | (0.26) | (0.29) | 0.05 | 0.20 | 0.30 | 0.38 |
| Fiscal Year End Dec | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Price Multiples | ||||||||||
| Price / Sales | 0.90 | 0.97 | 0.94 | 0.80 | 0.43 | 0.81 | 0.67 | 1.62 | 2.69 | 4.98 |
| Price / Earnings | — | — | 9.17 | — | — | 2.57 | — | 15.20 | 20.56 | 16.82 |
| Price / Forward Earnings | 22.21 | 37.55 | 19.22 | 15.46 | 24.43 | 14.54 | 23.30 | 27.25 | 2,843 | 32.21 |
| Price / Cash Flow | 8.14 | 26.84 | 60.32 | — | — | 129.25 | 7.11 | 21.61 | 26.14 | 34.11 |
| Price / Book | 3.25 | 4.81 | 20.66 | — | — | — | — | — | — | 39.88 |
| PEG Ratio | — | — | 0.49 | — | — | 0.10 | — | — | 0.51 | 0.10 |
| Earnings & Enterprise Value | ||||||||||
| Earnings Yield % | (16.48%) | (4.40%) | 10.91% | (18.32%) | (92.88%) | 38.96% | (24.18%) | 6.58% | 4.86% | 5.95% |
| Enterprise Value (£ Bil) | 13.47 | 16.81 | 15.76 | 15.50 | 13.84 | 15.29 | 13.05 | 28.05 | 49.23 | 94.28 |
| EV / EBIT | — | — | 8.98 | — | — | 5.54 | — | 14.50 | 19.14 | 16.51 |
| EV / EBITDA | — | 27.78 | 5.70 | — | — | 3.97 | — | 9.69 | 14.13 | 14.30 |