Rolls-Royce Rolls-Royce Holdings plc annual report 2013

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Group at a glance

As in previous years, our business priorities remain the 4 Cs: Customer, Concentration, Cost and Cash.

Group overview 2013

2013 revenue by
business segment
2013 group overview Pie Chart image
  • 42% Civil aerospace
  • 17% Defence aerospace
  • 7% Energy
  • 16% Marine
  • 18% Power Systems
  • The order book increased 19 per cent to £71.6 billion. This included a £1.6 billion contribution from Power Systems.
  • Order intake was £26.9 billion in the year.
  • Underlying revenue increased to £15.5 billion, with 53 per cent from original equipment (OE) and 47 per cent from services revenue.
  • Underlying profit before tax increased 23 per cent to £1.8 billion, including £257 million from Tognum.
Civil aerospace business segment image

Civil aerospace

The Civil aerospace segment is a major manufacturer of aero engines for the airline and corporate jet markets. Rolls-Royce powers more than 30 types of commercial aircraft and has almost 13,000 engines in service around the world.

£6,655m
Underlying revenue 2013
£844m
Underlying profit 2013
Revenue mix
Civil aerospace Pie Chart image
  • 46% OE revenue
  • 54% Services revenue
  • First flight of the Airbus A350 XWB powered by Trent XWB engines
  • First flight of the Boeing 787-9 powered by Trent 1000 engines
  • Major new orders from JAL, IAG, Lufthansa, United, Singapore and Etihad
  • Delivered 3,000th BR700 series engine
defence aerospace business segment image

Defence aerospace

Rolls-Royce is the second largest provider of defence aero-engine products and services globally, with around 16,000 engines in service with over 160 military customers in more than 100 countries.

£2,591m
Underlying revenue 2013
£438m
Underlying profit 2013
Revenue mix
defence aerospace Pie Chart image
  • 50% OE revenue
  • 46% Services revenue
  • 4% Development
  • TP400-powered A400M entered service
  • MissionCare™ contract for Saudi Arabian EJ200 engines secured
  • 1,500th AE 2100 engine delivered
  • Upgraded AE 1107 engines for V-22 Osprey
  • T56 engine enhancement kits gained first sales
  • Delivered 40th Rolls-Royce LiftFan® for F-35B Lightning II fighter programme
  • RTM322 helicopter engine programme sold to Turbomeca
Marine business segment image

Marine

The Marine segment has 4,000 customers and equipment installed on over 25,000 vessels worldwide, including those of 70 navies.

£2,527m
Underlying revenue 2013
£281m
Underlying profit 2013
Revenue mix
Marine Pie Chart image
  • 57% OE revenue
  • 43% Services revenue
  • Range of world ‘firsts’ of LNG-powered vessel types delivered
  • MT30 selected for new UK MoD Type 26 Frigate
  • £800 million contract agreed with UK MoD for provision of future nuclear submarine propulsion systems
  • New UT 830 seismic survey vessel launched
  • COSCO ordered new wave-piercing design of offshore vessels
  • Third service centre in China opened
Energy business segment image

Energy

To date, Energy has sold 4,600 gas turbines with 180 million operating hours recorded. Rolls-Royce has over 50 years of experience in the nuclear industry.

£1,048m
Underlying revenue 2013
£26m
Underlying profit 2013
Revenue mix
Energy Pie chart image
  • 40% OE revenue
  • 60% Services revenue
  • 33 RB211s ordered for oil and gas applications
  • Major service contract secured with Petrobras
  • New Santa Cruz, Brazil, assembly plant operational
  • Signed tripartite agreement with Rosatom and Fortum to assess nuclear reactor design for UK new build
  • Renewed agreement with Westinghouse to provide nuclear inspection services in US
Power systems business segment image

Power systems

Rolls-Royce Power Systems is headquartered in Germany and specialises in reciprocating engines, propulsion systems and distributed energy systems.

£2,831m
Underlying revenue 2013
£294m
Underlying profit 2013
Revenue mix
Power systems Pie chart image
  • 71% OE revenue
  • 29% Services revenue
  • MTU Powerpacks ordered for UK Intercity Express Programme
  • Fjord Line ordered Bergen engines for cruise ferries
  • UK MoD selects MTU gensets alongside MT30 gas turbine
  • Polish partnership created to supply and maintain cogeneration plants
  • Mining trucks powered by MTU delivered to Rio Tinto in Australia