UK Defense Firm Babcock Raises Target, Announces Buyback
Babcock builds everything from naval ships to armored carriers and troop training programs.
Photographer: Jeff J Mitchell/Getty ImagesBabcock International Group raised its medium-term profit target and announced its first-ever share buyback as the UK defense firm benefits from a surge in military spending.
The company now sees an underlying operating margin of at least 9% over a period of three to five years, up from at least 8%, according to a regulatory statement today. Babcock also announced a £200 million ($272 million) share buyback and it boosted its dividend 30% to 6.5 pence per share.