Revenue distribution by sectors:

• Civil aviation: approx. 50%
• Defense: approx. 25%
• Energy and propulsion systems: approx. 25%

TOP 3 markets and their percentage shares:

• United States: approx. 30%
• United Kingdom: approx. 15%
• China: approx. 10%

Rolls-Royce Holdings plc generates the majority of its revenue from civil aviation, particularly through the sale and maintenance of engines for commercial aircraft. The defense sector is also a significant revenue contributor, with the company providing engines and other technologies for military applications. The energy and propulsion systems segment includes solutions for power generation and industrial applications.

The United States is the largest market for Rolls-Royce, attributed to its strong presence in the civil and military aviation sectors. The United Kingdom remains an important market, not only due to geographical proximity but also because of historical and strategic connections. China has emerged as a growing market, especially in the civil aviation sector, as the country continuously expands its aircraft fleets.

Production sites of Rolls-Royce Holdings plc:

1. Derby, United Kingdom - Main production site for civil engines.
2. Bristol, United Kingdom - Production of engines and components for aviation.
3. Dahlewitz, Germany - Manufacturing of engines for business aircraft.
4. Indianapolis, USA - Production of engines and propulsion systems for military and civilian use.
5. Singapore - Assembly and testing of engines for the Asian market.

Rolls-Royce Holdings plc operates several production sites worldwide, focusing on the manufacturing of engines and propulsion systems for civil and military aviation. The headquarters and largest production site are located in Derby, United Kingdom. Other key locations are in Germany, the USA, and Singapore, strategically positioned to efficiently serve different markets.

Revenue Growth: Estimated 5-7% annually (2025-2027)

Rolls-Royce Holdings plc is pursuing a multi-pronged growth strategy focusing on innovation, efficiency enhancement, and market expansion. A key element of the strategy is the advancement of sustainable technologies, particularly in the field of low-emission engines and the electrification of propulsion systems.

The company is heavily investing in research and development to strengthen its position in the sustainable aviation sector. Furthermore, diversification into new markets and sectors such as power generation and maritime applications is being promoted.

Another focus is on improving operational efficiency through cost-cutting measures and supply chain optimization. These actions are aimed at increasing profitability and making the company more resilient to market volatilities.

Important raw materials: Titanium, Nickel, Aluminum, Cobalt

Main supplier countries:

• Titanium: Russia, USA, Japan
• Nickel: Indonesia, Philippines, Russia
• Aluminum: China, Canada, Russia
• Cobalt: Democratic Republic of Congo, Canada, Australia

Rolls-Royce Holdings plc is heavily dependent on the procurement of specific raw materials crucial for the production of aircraft engines and other high-tech products. Titanium and Nickel are particularly important for the manufacturing of engine components due to their high strength and temperature resistance.

The company mainly sources Titanium from Russia, the USA, and Japan, while Nickel is imported from Indonesia, the Philippines, and Russia. Aluminum is obtained from China, Canada, and Russia, and Cobalt, essential for batteries and other applications, mainly originates from the Democratic Republic of Congo, Canada, and Australia.

These raw materials are crucial for the production of high-performance components used in the aerospace industry. Rolls-Royce must therefore ensure that supply chains are stable and diversified to avoid production disruptions.

Market share in the aviation industry: Approx. 16% (2024, estimate)
Research and Development (R&D) expenses: £1.5 billion (2024, estimate)
Number of patents: Over 5,000 active patents (2023)

Rolls-Royce Holdings plc has a significant competitive advantage in the aviation industry, especially in the field of engine manufacturing for large aircraft. The company is one of the three major providers in this sector, alongside General Electric and Pratt & Whitney. Rolls-Royce's market share is approximately 16%, indicating its strong position in the long-haul aircraft segment.

An essential aspect of Rolls-Royce's competitive advantage is its continuous investment in research and development. With expenses of around £1.5 billion in 2024, the company demonstrates its commitment to innovation and technological leadership. These investments enable Rolls-Royce to develop more efficient and environmentally friendly engines, which are increasingly important in the industry.

Furthermore, Rolls-Royce has an extensive portfolio of patents that protect its technological innovations and strengthen its market position. With over 5,000 active patents, the company can differentiate its products and secure itself against competitors.

Overall, Rolls-Royce benefits from its strong brand, technological expertise, and strategic partnerships, which together create a sustainable competitive advantage.

Institutional Investor Share: approx. 70% (2025, estimated)

Insider Purchases/Sales: No significant transactions in the last quarter (2025, estimated)

The institutional investor share in Rolls-Royce Holdings plc is estimated to be around 70%. This demonstrates the confidence of large institutional investors in the company's long-term strategy and stability.

In 2025, there were no significant insider transactions, which could indicate a stable assessment of the company's value by management. Such information is important for evaluating management's confidence in the company's future development.

Market share of Rolls-Royce Holdings plc: 10% (estimated for 2025 in the field of aviation propulsion systems)

Main competitors and their market shares:

1. General Electric (GE Aviation): 30%
2. Pratt & Whitney (Raytheon Technologies): 25%
3. Safran: 15%
4. Rolls-Royce Holdings plc: 10%
5. Honeywell Aerospace: 8%
6. MTU Aero Engines: 5%
7. CFM International (Joint Venture of GE and Safran): 7%

Moat of Rolls-Royce:

Rolls-Royce possesses a significant moat, especially due to its strong position in the field of large engines for long-haul aircraft. The brand is known for its technical excellence and innovative strength, reflected in the development of efficient and environmentally friendly engines. Additionally, Rolls-Royce has long-term maintenance contracts that secure stable revenues.

Compared to its competitors, General Electric has a larger moat due to its broader product range and market presence. Pratt & Whitney excels with innovative technologies like the geared turbofan, while Safran has a strong position through its partnerships and joint ventures, particularly with GE.

Overall, Rolls-Royce has a respectable moat, but not the strongest compared to GE Aviation and Pratt & Whitney, which dominate due to their size and technological diversity.

Revenue growth: 7.5% (2024) Profit growth: 10.2% (2024) Order backlog: £60 billion (2024)

Rolls-Royce Holdings plc recorded solid revenue growth of 7.5% in 2024, attributed to the recovery of the aviation industry and increasing demand for engines. The profit growth of 10.2% indicates that the company was able to improve its efficiency and reduce costs.

The order backlog of £60 billion points to strong demand and a secure source of income for the coming years. This provides the company with a stable foundation for future growth and investments in new technologies.

Additionally, Rolls-Royce has been increasingly investing in sustainable technologies and the development of low-emission engines in recent years. This strategic focus could make the company more competitive in an increasingly environmentally conscious industry.

Overall, the financial performance and strategic direction suggest that Rolls-Royce Holdings plc represents an attractive investment opportunity, especially for investors interested in long-term growth.

Dividend: No payout (as of 2025)

Rolls-Royce Holdings plc has not paid any dividends in recent years. This is mainly due to financial challenges and restructuring that the company has undergone in recent years.

The reliability of future dividend payments remains uncertain as the company continues to work on stabilizing its finances. Investors should closely monitor the financial recovery and strategic decisions of management to get clues about possible future dividend payments.