**Summary**
Babcock International Group PLC provided a positive trading update ahead of its Annual General Meeting on September 25, 2025, highlighting continued momentum and unchanged full-year expectations. Key points include
1. **Trading Performance (to 31 August 2025):**
Organic revenue growth and improved underlying operating margins, in line with expectations.
Strong growth in **Nuclear** (civil projects and submarine support) and **Aviation** (French Mentor 2 contract ramp-up), partially offset by lower revenue in **Land** (reduced Rail business activity).
Full-year expectations remain unchanged, with progress toward upgraded medium-term guidance (mid-single-digit revenue growth, ≥9% operating margin, ≥80% operating cash conversion).
2. **Strategic Developments**
Awarded significant contractsincluding
£65 million for the Type 31 frigate Capability Insertion Programme.
£114 million for UK submarine defueling.
AU$250 million 8-year contract with Australian Border Force.
First contract for AUKUS joint venture in Australia.
Launched **NomadTM**, an AI-powered communications intelligence product.
Formed strategic partnerships with BAE Systems, Patria, Hanwha Ocean, HII, and KNL.
3. **Financial Updates**
Completed 25% of the £200 million share buyback programme (expected to conclude by FY26).
Refinanced Revolving Credit Facility (RCF) with a new £600 million facility (extendable to £800 million).
4. **Future Outlook**
Investor events highlighted potential for **Marine Design and Build** and **Cavendish Nuclear** businesses to double revenues by 2030.
HY26 half-year results scheduled for 20 November 2025.
Babcock remains optimistic about its strategic progress and alignment with supportive macro environments, particularly in defense and nuclear sectors.