Investor Update - Paris Defence Aerospace Axel Arendt

Transcription

1 Investor Update - Paris 2009 Defence Aerospace Axel Arendt 2009 Rolls-Royce plc The information in this document is the property of Rolls-Royce plc and may not be copied or communicated to a third party, or used for any purpose other than that for which it is supplied without the express written consent of Rolls-Royce plc. This information is given in good faith based upon the latest information available to Rolls-Royce plc, no warranty or representation is given concerning such information, which must not be taken as establishing any contractual or other commitment binding upon Rolls-Royce plc or any of its subsidiary or associated companies. 1

2 Agenda Overview and market position Market outlook Programmes - update Summary 2

3 Developing the Defence business 3

4 A competitive & broad portfolio Strong position in all key defence aero market sectors Broadest military engine customer base Strong positions on global fixed wing and rotary programmes Unique STOVL experience Leader in rapidly growing transport sector 4

5 Technology and integration capability Military specific skills & technologies - unique to defence applications STOVL heritage & world-class fan systems technology has put Rolls- Royce at the forefront of the world s largest military aerospace programme Future defence platforms increasingly dependant on military specific power system technology Game changing advanced propulsion technology developments underway 5

6 Products and systems span decades F136 & LiftSystem (JSF) EJ200 (Typhoon) RB199 (Tornado) Pegasus (Harrier) Adour (Hawk, Jaguar) TP400 (A400M) AE 2100 (C-130, C-27J) T56 (C-130, E-2C, P-3) AE 3007 (Global Hawk) AE 1107C-Liberty (V-22) RTM322 (AH-64, EH101, NH90) T800 (Super Lynx, US-2, T129) Model 250 (OH-58D) MTR390 (Tiger) Gnome (Sea King) Gem (Lynx) BR710 (Nimrod) In Development In Development & Production In Production In Service (out of production) 6

7 Extensive service capabilities Rolls-Royce has an installed base of 18,000 military aero engines and serves 160 armed forces world-wide Growing opportunity for industrial support within the customer base Continuing Rolls-Royce innovation in services through the development of MissionCare TM 7

8 Today A well balanced portfolio 2008 Revenues ~ 1.7bn 8

9 Agenda Overview and market position Market outlook Programmes - update Summary 9

10 Trends in Defence Aerospace Near-term Defence budgets are relatively stable and the business has good visibility going out 3 to 5 years Still significant market opportunities including growth potential for gas turbine powered fixed wing and rotary unmanned systems Government funding of Research, Development & Technology is increasingly being conducted on a shared basis with industry Products are being retained in service for longer than planned providing scope and scale to grow services business With demand driven by geo-political tensions, market activity will remain strong 10

11 $450bn market opportunity over 20 years World demand for military aero engines and related services - $450bn over next 20 years Many customer requirements over next 10 years already contracted Balanced portfolio of customers with good global spread RoW Far East $450bn Middle East Europe US Robust long-term service contracts held directly with governmental defence departments 11

12 Agenda Overview and market position Market outlook Programmes - update Summary 12

13 JSF: F136 and the LiftSystem 3,300 3,700 global aircraft demand fueled by US and 8 Partner Nations Rolls-Royce has a 40% share of F136 - F136 first ground run 30 th January 2009 Annual funding challenge for alternate engine is being addressed by FET Rolls-Royce provides LiftSystem for STOVL variant - Successful first flight June Low Rate Initial Production (LRIP) under contract for long lead items 13

14 Eurofighter Typhoon: EJ200 1,068 engines ordered to date with over 500 engines delivered In 2008, engine contract signed with Saudi Arabia to supply 72 Typhoon aircraft Tranche 3 contract for new aircraft with UK, Spain, Germany and Italy expected to be signed by July 2009 Future export opportunities being pursued 14

15 Military transport supporting growth AE 2100 turboprop in C-130J and C-27J - c.800 engines delivered for C-130J with further potential 700+ engines - 80 engines delivered for C-27J; further potential 500+ engines; C-27J selected by US Army and USAF for new Joint Cargo Aircraft - subject to budget review T56 turboprop in C-130, E-2C, C-2A, P-3 - Approximately 7,500 engines currently in service worldwide; Over 220 million flight hours - T Upgrade provides increased performance, increased reliability and fuel savings Accessing global market opportunities 15

16 Next generation transport A400M: TP400 Designed to meet the European requirement for a tactical and strategic airlift aircraft TP400-D6 draws on Rolls-Royce civil turbofan and military large turboprop experience 180 aircraft requirement for Nation Partners (~800 engines) While the overall A400M programme has encountered some delays, the first engine flew successfully in the Flying Test Bed aircraft at the end of 2008 Strong export potential for aircraft/tp400 Long term opportunity with good prospects 16

17 Agenda Overview and market position Market outlook Programmes - update Summary 17

18 Summary Solid long-term business with sound order book and good forward visibility World leading company-wide technologies Broad portfolio covering all key defence sectors Long programme lives and strong mix of new and mature programmes Access to a global customer base Substantial aftermarket business with significant scope for growth 18

19 Defence Aerospace Delivering innovative military propulsion solutions 19