Rolls-Royce has got to grips with a long-running engine problem and enjoyed a strong end to 2019, leaving it well placed to cope with any disruption caused by the coronavirus outbreak, it said on Friday.
Shares in the British engines maker jumped as much as 6.6%, one of the few increases among European blue-chips, as the upbeat tone contrasted with the gloom gripping many other companies - including Rolls’ airline customers - about the potential for coronavirus to trigger a global recession.
Rolls has been battling to improve the durability of its Trent 1000 engine, which powers Boeing’s 787 Dreamliner, with the blades in the TEN variant proving particularly problematic.
Airlines have had to ground the aircraft for repairs.
However, Chief Executive Warren East said on Friday the roll-out of fixes was progressing and he had increased confidence in a new blade design due next year. The number of aircraft on the ground for repair would fall to a single-digit by end of the second quarter, in line with forecasts, he said.