Rolls-Royce Announces 1.5 Billion Pound Interim Share Buyback

Rolls-Royce Holdings announced on November 12, 2026, that it will execute an interim share buyback of 1.5 billion pounds, approximately $1.99 billion, by February 25, 2027. This move accelerates capital returns within a larger buyback program of 7 billion to 9 billion pounds planned for 2026 through 2028.

The company attributed the decision to strong demand in its civil aerospace and defense divisions, alongside a 62% year-over-year increase in power-systems orders during the first nine months of the year. While the company maintained its 2026 operating profit guidance of 4.7 billion to 4.9 billion pounds, it plans to revisit medium-term targets during its full-year results announcement in February.

Despite the buyback, the company remains cautious about flying-hour outlooks, which are expected to end near the lower end of the 115%–120% range compared to 2019 levels. Chief Executive Officer Tufan Erginbilgiç stated that the action reflects the company's confidence in sustainable free cash flow growth driven by its transformation.