BAE Systems PLC (LSE:BA.) reported increased sales and profits for 2021 and forecast further growth in the current year.
Underlying profits (EBIT) came in at £2.2bn in the year to 31 December 2021, a rise of 13% on the previous year and in line with the market consensus, on the back of a 5% increase in sales to £21.3bn.
The defence group forecast sales growth in the range 2%-4% for 2022, with underlying EBIT expected to rise by between 4%-6%.
It expects sales to grow in the Electronic Systems, Air, Maritime and Cyber & Intelligence segments, while Platforms & Services (US) sales are forecast to be stable.
Around 75% of the expected sales are already in the order backlog, BAE noted.
The company said its defence and security capabilities “remain highly relevant in an uncertain global environment with complex threats”.
“This backdrop has resulted in good prospects in existing and new international markets for our products and services in air, maritime, land, space and cyber security,” it added.
Net debt decreased to £2.16bn at the year end from £2.71bn a year earlier.
The company is paying a final dividend of 15.2p, taking the total annual payout to 25.1p, 6% higher than the previous year.
Shares climbed 2.76% to 617.40p.