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Rolls-Royce has increased its defence margin to 21% due to advancements in autonomous propulsion and military engine orders. The company's underlying operating profit rose 46% to £2.53 billion in the first half of the year. This growth has led Rolls-Royce to raise its 2026 guidance.
BAE Systems has lifted its 2026 outlook due to a surge in defence orders. The company's earnings call transcript and presentation are available, providing insight into its financial performance. This development is significant for the defence industry, indicating a potential increase in demand for defence technologies and systems.
The European Commission and Ukraine have signed a defence industrial partnership to integrate Ukrainian and European defence industries. The partnership includes a drone deal and €1 billion in drone funding under a support loan.