Rolls-Royce To Undertake Additional Engine Inspections

  • Rolls-Royce To Undertake Additional Engine Inspections

Rolls-Royce To Undertake Additional Engine Inspections

This effectively curtails operations across oceans or remote areas. Now inspections must be carried out after every 200 flight cycles. Three analysts have rated the stock with a sell rating, five have given a hold rating, two have issued a buy rating and one has given a strong buy rating to the stock.

Rolls-Royce said despite the additional expense of the inspections, it still expects to hit its annual free cashflow target of around £450m by "reprioritising various items of discretionary spend" to account for extra costs from the Trent 1000. Citigroup restated a "buy" rating and issued a GBX 1,060 ($14.98) price target on shares of Rolls-Royce in a research report on Thursday, March 8th.

That will lead to more disruption for its customers, with 380 of the engines in question now in service with airlines, with the firm adding that the new approach will not affect Trent 1000 Package B engines and Trent 1000-TEN engines. The Civil Aerospace segment provides commercial aero engines, such as airlines, business aviation, and helicopter engines for various sectors of the airline and corporate jet markets, as well as aftermarket services.

Boeing said that about 25% of the Dreamliners flying were powered by the engine and it was deploying support teams to help to manage service disruptions.

Some Trent 1000 engines have needed unscheduled maintenance as the turbine blades have worn out more quickly than expected.

"We will be working closely with Boeing and affected airlines to minimise disruption wherever possible", Chief Executive Warren East said.

It said the check was already required prior to the engine reaching a flying threshold of 2000 cycles or one way journeys but the directive reduces that timeframe to 300 cycles.

"It's disappointing and frustrating that our new aircraft don't work the way they are supposed to", spokesman Lasse Sandaker-Nilsen said, adding that it had cancelled a flight from Paris to NY next week as a result.

Virgin Atlantic said it had up to four 787s grounded at any one time while it organised replacement engines from Rolls.

"While the compressor technical issue was known at the time of our results, the requirement for more regular inspections will lead to higher than previously guided cash costs being incurred during 2018", it said in a statement.

In December, the European Aviation Safety Agency (EASA) ordered airlines to replace some Rolls Trent 1000 engines.