Rolls Royce Cuts Dividend in Half

Rolls Royce has halved its dividend pay-out thanks to rough 2015 results that were primarily driven by weakness in the defence aerospace and marine operating segments

Jeffrey Vonk 12 February, 2016 | 4:30PM

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In keeping with management’s revised July guidance, narrow-moat Rolls Royce (RR.) reported rough 2015 results that were primarily driven by weakness in the defence aerospace and marine operating segments. Underlying revenue declined 4% to £6.8 billion, 1% on a constant-currency basis, versus the prior period, resulting in operating margin contraction of 130 basis points to 12.1% in 2015.

Narrow-moat Rolls Royce benefits from high customer switching costs

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Rolls-Royce Holdings PLC220.00 GBX-0.86

About Author

Jeffrey Vonk  is an equity analyst with Morningstar.

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