Babcock International Group PLC (BCKIF) Q2 2025 Earnings Call Transcript

Babcock International Group PLC (OTCPK:BCKIF) Q2 2025 Earnings Conference Call November 13, 2024 4:00 AM ET

Company Participants

David Lockwood - Chief Executive Officer
David Mellors - Chief Financial Officer

Conference Call Participants

Sam Burgess - Citi
Sash Tusa - Agency Partners
Joel Spungin - Investec
Christopher Bamberry - Peel Hunt
David Perry - JPMorgan

David Lockwood

All right then. So good morning, everyone. Welcome to our Half Year Results for the Six Months to 30th September 2024. Obviously, this is a result for six months, but we only stood up doing a business update 12 weeks ago for the full year.

And we've had the AGM statement as well since then. So this will be kind of a comprehensive walk through the numbers from David and then kind of what's happened since we last spoke to you from me.

For the six months, successfully delivered performance and growth. We'll touch on it quite a lot between us, but we said, when we first started in Babcock, performance drives growth in a company like Babcock, because we have a lot of frame contracts where customers have a lot of discretion about whether or not to take optional work. So if you're performing badly, they don't, if you're performing well, they do. Those frames then generate further growth.

So in terms of securing the position of the company performance is the bedrock of growth. So that's why those are in that sequence. We did deliver 11% organic revenue growth in the period. Order book broadly flat, but as David will talk through as he goes through the detail, largely driven by consuming frame contracts, because our order intake is necessarily lumpy.

And indeed, in some ways, the lumps get bigger, the best you perform because if you're performing well in a support contract, people tend