BAE : Key Themes Update

1

Key Themes Update

Brad Greve - CFO

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Update on key themes

Defence	Supply	Energy	Capital
market	chain &
Allocation
environment	inflation

• Record defence order backlog		•	Working closely		•	Hedging strategy in UK		Pension
		with supply chain
• Defence spending increases				•	USA, Australia, KSA energy
	•	Resourcing improving in
in many nations				position clearer		Share Buy Back
		parts of US labour market

On-going commitment to operational performance and margin improvement

FX a significant tailwind to reported numbers and outlook

• 2022 BAE Systems. All Rights Reserved. BAE SYSTEMS is a registered trademark.

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Digital Intelligence Context

Cyber & Intelligence sector

Digital Intelligence 29%

Intelligence	2021
& Security	Revenue
71%	£1,752m

• Reported as part of Cyber and Intelligence sector
• Restructuring activities in recent years to align to core capabilities
• Sale of BAE Systems' financial crime detection business (commercial) to close shortly
• Improved business performance in recent years
  • Profitability and cash flow generation

• Key part of digital and technology strategy looking forward
• Businesses combined to deliver enhanced capability to our customers

Positioned for strong growth - key enabler of technology ambitions

• 2022 BAE Systems. All Rights Reserved. BAE SYSTEMS is a registered trademark.

Digital Intelligence Investor Presentation

Dave Armstrong

Group Managing Director, BAE Systems Digital Intelligence

Copyright © 2022 BAE Systems. All Rights Reserved. BAE SYSTEMS is a trade mark of BAE Systems plc.

Digital Intelligence - Who and Why

Copyright © 2022 BAE Systems. All Rights Reserved. BAE SYSTEMS is a trade mark of BAE Systems plc.