Business is going well for UK-based engineering services company Babcock, according to its latest trading update for the period from 1 April 2017.
The company reported that its trading was in line with expectations, since revenue visibility had continued to improve. It said that 89% of revenue was now in place for 2017/18, and about 57% was in place for 2018/19.
With an order book and bid pipeline of opportunities that had remained stable, the company was confident in its ability to grow revenue as expected over the medium term.
Although revenue in the marine sector was expected to be slightly lower than in the previous financial year – due to a stepdown in volumes from the Queen Elizabeth Class aircraft carrier programme and the phased introduction of contracts – it was believed that this would be offset by growth in other sectors.
As a result, Babcock’s outlook for the year remained unchanged.