By Tapan Panchal
LONDON-- Rolls-Royce Holdings PLC is suspending its
share-buyback program after sluggish demand for its less powerful
aircraft turbines and marine engines have weighed unexpectedly on
profit so far this year.
The engineering group, one of the U.K.'s leading industrial
companies, said on Monday that underlying pretax profit, a measure
that excludes some costs, is now expected to be GBP1.33 billion
($2.06 billion) and GBP1.48 billion this year, down from its
previous guidance of GBP1.40 billion to GBP1.55 billion.
Rolls-Royce also said underlying pretax profit is expected to
have been GBP390 million and GBP430 million in the six months to
end June, or around 30% of the expected full-year amount, compared
with 40% in 2014.
Write to Tapan Panchal at Tapan.Panchal@wsj.com
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