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BAE Systems PLC
LSE:BA

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BAE Systems PLC
LSE:BA
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Price: 2 267.6489 GBX -0.93%
Market Cap: £68B

Operating Margin

9.5%
Current
Declining
by 0.2%
vs 3-y average of 9.7%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin
9.5%
=
Operating Income
£2.7B
/
Revenue
£28.3B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin
9.5%
=
Operating Income
GBX2.7B
/
Revenue
£28.3B

Peer Comparison

Country Company Market Cap Operating
Margin
UK
BAE Systems PLC
LSE:BA
68.7B GBP
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US
Raytheon Technologies Corp
NYSE:RTX
266B USD
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US
Lockheed Martin Corp
NYSE:LMT
146.1B USD
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US
Northrop Grumman Corp
NYSE:NOC
98.8B USD
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US
General Dynamics Corp
NYSE:GD
95B USD
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US
RTX Corp
LSE:0R2N
263.5B USD
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US
Boeing Co
NYSE:BA
166.6B USD
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NL
Airbus SE
PAR:AIR
130B EUR
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FR
Safran SA
PAR:SAF
119.8B EUR
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UK
Rolls-Royce Holdings PLC
LSE:RR
100.4B GBP
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US
Howmet Aerospace Inc
NYSE:HWM
95B USD
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Market Distribution

Higher than 96% of companies in United Kingdom
Percentile
96th
Based on 3 579 companies
96th percentile
9.5%
Low
-195 650% — 0%
Typical Range
0% — 0.2%
High
0.2% — 4 630.7%
Distribution Statistics
United Kingdom
Min -195 650%
30th Percentile 0%
Median 0.1%
70th Percentile 0.2%
Max 4 630.7%

BAE Systems PLC
Glance View

In the realm of global defense and aerospace, BAE Systems PLC stands as a formidable player, seamlessly merging cutting-edge technology with strategic defense solutions. Headquartered in London, this colossal entity has woven itself into the fabric of international defense by providing an extensive portfolio of products and services. From high-tech military aircraft and naval vessels to advanced cybersecurity frameworks, BAE Systems addresses the multifaceted needs of nation-states and corporations alike. Its operations span the globe, harnessing a broad spectrum of engineering and technological expertise to create sophisticated defense mechanisms. The company's relentless focus on innovation ensures that its offerings are not just reactive, but proactive measures anticipating the ever-evolving nature of global security threats. BAE Systems derives its revenue predominantly from long-term contracts with government entities across the world, particularly the United States, United Kingdom, and Saudi Arabia. By fostering strategic partnerships and alliances, BAE leverages its comprehensive expertise in defense, aerospace, and cyber solutions. The company’s vast network also includes joint ventures that allow it to expand its capabilities and adapt to the dynamic demands of defense technology. Through these collaborative endeavors, it secures a continuous stream of income, balancing the precision of engineering with astute financial acumen. In essence, BAE Systems not only builds the hardware that protects nations but also curates a holistic ecosystem of defense strategies that translates into robust financial performance.

BA Intrinsic Value
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What is Operating Margin?
Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.
How is Operating Margin calculated?

Operating Margin is calculated by dividing the Operating Income by the Revenue.

Operating Margin
9.5%
=
Operating Income
£2.7B
/
Revenue
£28.3B
What is BAE Systems PLC's current Operating Margin?

The current Operating Margin for BAE Systems PLC is 9.5%, which is below its 3-year median of 9.7%.

How has Operating Margin changed over time?

Over the last 3 years, BAE Systems PLC’s Operating Margin has decreased from 10% to 9.5%. During this period, it reached a low of 9% on Jun 30, 2025 and a high of 10.6% on Jun 30, 2023.

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