BAE Systems forecasts years of growth as record backlog hits 83 billion pounds

The UK defence giant reported a 12 percent profit rise as security challenges drive spending. Its order backlog hit a record 83.6 billion pounds on Wednesday.

Insights:
BAE Systems announced a 12% rise in full-year operating profit and a record £83.6 billion order backlog on February 18, 2026. The company also issued guidance for 2026, projecting that sales will rise between 7% and 9% while operating profit is expected to increase by 9% to 11%. Following the announcement, shares associated with Leverage Shares -1x Short Boeing ETP Securities moved sharply toward all-time highs. This performance, set against a backdrop of increased defense spending in the United Kingdom GBGB, indicates a period of sustained higher demand for defense contractors and defense-related technologies.
HMS Agamemnon, an Astute-class nuclear-powered submarine, is pictured at BAE Systems' shipyard in Barrow-in-Furness, Britain, September 22, 2025. Paul Ellis/Pool via REUTERS
HMS Agamemnon, an Astute-class nuclear-powered submarine, is pictured at BAE Systems' shipyard in Barrow-in-Furness, Britain, September 22, 2025. Paul Ellis/Pool via REUTERS
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