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Rolls Royce has returned to profit in the first six months of 2021, with underlying operating profit of £307m, up from a £1.6m loss in the first half of 2020.
Group underlying revenue was down at £5.2bn for the first half of 2021, compared with £5.4bn for the same period the previous year.
According to the company, the bounce back into profit was driven largely by good performance in defence and a recovery in order intake within power systems.
Warren East, Rolls Royce chief executive, said: 'The benefits of our fundamental restructuring programme in Civil Aerospace are evident in our reduced cash outflow and improved operational efficiency. This leaner cost base together with a strong liquidity position gives us confidence in our ability to withstand uncertainties around the pace of recovery in international travel and benefit from the eventual rebound.
'We are making disciplined investments in the new opportunities to drive future growth, particularly in net zero power where we are leading the way with innovation and engineering excellence. Our net zero pathway and targets, announced in June, set out our plan to enable the sectors in which we operate achieve net zero by 2050 by driving step-change improvements in engine efficiency, helping accelerate the take-up of sustainable fuels and developing new technologies.'