Company overview

Rolls-Royce, a world-leading provider of power systems and services for use on land, at sea and in the air, has established a strong position in global markets - civil aerospace, defence aerospace, marine and energy and nuclear.

The long-term disciplined application of our strategy has created a broad portfolio of products, services and capabilities that ensures a wide range of options for future growth. The expected doubling of revenue over the next decade is underpinned by a record order book, which gives good visibility of the future, and a strong balance sheet which enables us to invest in the people, technology and capability that will enhance competitiveness.

In the short term we expect demand in some markets to remain subdued. However, we have access to the faster growing global markets and our large installed base allows us to benefit from an increasing emphasis on the services we can provide to our customers.

Rolls-Royce employs over 38,900 skilled people in offices, manufacturing and service facilities in 50 countries. The Group has a strong commitment to apprentice and graduate recruitment, and to further developing employee skills.

The order book at December 31, 2010, at constant exchange rates, has remained resilient at £59.2 billion (2009 £58.3 billion). This included firm business that had been announced but for which contracts had not yet been signed of £4.5 billion (2009 £6.8 billion).

Aftermarket services agreements, including TotalCare® packages, represented 31 per cent of the order book, having increased by more than 40 per cent in the last three years. These are long-term contracts where only the first seven years’ revenue is included in the order book.