Rolls-Royce Holdings PLC (LSE:RR.) has launched a £200 million "interim" share buyback ahead of its full-year results, after completing a £1 billion scheme last month.
The new buyback is expected to run from 2 January until the week when its results are due on 26 February.
Rolls-Royce said the total quantum of its next full buyback for 2026 is still under review and will be announced alongside the results.
UBS has been appointed to carry out the repurchases on a non-discretionary basis, with a maximum number of shares repurchased under the programme of 850.5 million, as authorised by shareholders at the 2025 annual meeting.
The FTSE 100 company's share price is up around 90% so far this year, having hit an all-time high of almost 1,200p in September, before dropping to 1,114.5p this week.
A recent wobble has been seen in Europe’s aerospace and defence shares, partly from apparent progress in Ukraine peace negotiations.
Last week, analysts at JPMorgan said the fundamentals remain firmly in place and that both civil aviation and defence companies can deliver 15-20% earnings growth a year for the next five years.