London (AWP / AFP) – British industrial group Rolls-Royce dived heavily in the red in 2018 due to problems with its Trent 1000 aircraft engines, the shutdown of the A380 and heavy production restructuring charges.
Last year, the aerospace, energy and defense group – and distinct from the luxury automaker – lamented a net loss of 2.4 billion pounds ($ 2.8 billion). euros), compared to a net profit of 3.4 billion pounds in 2017.
However, its turnover increased by 7% to 15,7 billion pounds (EUR 18,3 billion). But Rolls-Royce said in a statement that it had incurred additional costs related to the problems of its Trent 1000, a long-distance Boeing 787.
The group lamented a load of nearly 800 million pounds year-round around this engine. It reached higher-than-expected proportions due to the compensation that Rolls-Royce is expected to pay to aircraft customers, some of which are lost due to this technical problem.
The problem came from the faster-than-expected Trent 1000 compressors, which led Rolls-Royce to develop a new part that the manufacturer began to install on these engines, causing inconvenience to the user companies.
It also received an exceptional cargo of almost £ 200 million related to the decision of the European aircraft manufacturer Airbus to stop producing its large A380, lack of order. Rolls-Royce was one of the suppliers of the program with its Trent 900 engine.
The group also had to incur additional costs due to the strong restructuring announced last June, which included the abolition of 4,600 administrative jobs in two years, especially in the UK. He noted that the goal of job cuts would be maintained and said that 1,300 jobs had already been cut since the initial announcement.
Rolls-Royce had justified in June this severe austerity for the need to save 400 million pounds per year from the end of 2020.
Facing these difficulties, the group announced that it was withdrawing from a bid launched by Boeing to boost the new mid-sized aircraft that the American aircraft manufacturer plans to produce.
"We can not promise to meet the deadline with a sufficiently advanced product that meets Boeing's ambitions for this aircraft," said Chris Cholerton, president of Rolls-Royce's civil aviation division.
Rolls-Royce shares lost 2.01% to 963 pence at 10:00 GMT on the London Stock Exchange.
afp / jh