Babcock International Group PLC BCKIY

IndustrialsAerospace & DefenseUnited Kingdom

Last close 14.24 USD on Nov 3, 2026, −15.6% year to date

Quant rating

Quant rating C Rank 229 of 418 in Industrials

Growth C 263 of 418
Valuation B 147 of 418
Quality C 234 of 418
Revisions C 235 of 418
Momentum C 187 of 418

Wall Street consensus Buy (1.91)Average target 16.58 USD +16.4%

Historical valuation

Multiples use consensus estimates for the next twelve months. The dashed line is the 5-year average.

Key data

Market cap: 6.9B
Enterprise value: 7.4B
52-week range: 11.92 – 21.15
3-year range: 4.72 – 21.15
Dividend yield: 0.71%
Beta (5 years): 0.40
Shares outstanding: 488M
Next earnings: Nov 19, 2026

About the company

Babcock International Group PLC is a United Kingdom-based international defense, aerospace and security company. The Company provides a range of products and service solutions to enhance its customers’ defense capabilities and critical assets. It operates in four segments: Marine, Nuclear, Land, and Aviation. The Marine segment includes naval ships, equipment, and marine infrastructure in the United Kingdom and internationally. The Nuclear segment includes submarines and complex engineering services in support of decommissioning programs and projects, training and operation support, new build program management and design and installation in the United Kingdom. The Land segment includes critical vehicle fleet management, equipment support and training for military and civil customers. The Aviation segment includes critical engineering services for defense and civil customers, including pilot training and equipment support. It operates in Australasia, Canada, France, and South Africa.

Growth and profitability fiscal year ends March 31

Growth and profitability by fiscal year
	2026	2025	2024	2023	2022	5Y avg
Revenue (mil)	6,846	6,241	5,542	5,474	5,387	–
Revenue growth	9.7%	12.6%	1.2%	1.6%	−1.6%	4.6%
EPS (basic, normalized)	0.51	0.67	0.39	0.22	0.37	–
EPS growth	−23.7%	73.9%	73.1%	−39.5%	–	–
Gross margin	58.0%	56.1%	54.6%	58.2%	11.7%	47.7%
Net margin	4.1%	5.1%	3.8%	−0.8%	4.0%	3.2%
ROE	34.7%	49.8%	44.6%	−6.8%	36.7%	31.8%

Balance sheet, last quarter
Cash & short-term investments (mil)	–
Current ratio	–
Long-term debt (mil)	–
Net debt (mil)	–
Total equity (mil)	–
Net debt / equity	–
Net debt / EBITDA	–

Estimates and valuation

Consensus estimates and implied multiples
	Sales (mil)			EBITDA (mil)			EPS
Fiscal year	Mean est.	Growth	EV/Sales	Mean est.	Growth	EV/EBITDA	Mean est.	Growth	P/E
2026 actual	6,846	+9.7%	1.1x	501	−20.3%	14.7x	0.51	−23.7%	27.7x
2027	7,252	+5.9%	1.0x	770	+53.6%	9.5x	0.87	+69.1%	16.4x
2028	7,618	+5.0%	1.0x	833	+8.2%	8.8x	0.95	+8.9%	15.0x
2029	8,012	+5.2%	0.9x	893	+7.1%	8.2x	1.04	+10.2%	13.7x

Estimate revisions

Change in consensus estimates over 1, 3 and 6 months
	Sales				EPS
Fiscal year	Estimate (mil)	1M	3M	6M	Estimate	1M	3M	6M
2027	7,252	0.0%	+0.1%	+1.9%	0.87	+0.1%	+0.3%	+3.9%
2028	7,618	0.0%	+0.1%	+2.1%	0.95	−0.4%	−0.9%	+3.9%
2029	8,012	0.0%	+0.1%	−0.6%	1.04	−0.5%	−0.5%	−1.9%

Earnings surprises

Reported results versus consensus, last 10 fiscal quarters
	FQ-9	FQ-8	FQ-7	FQ-6	FQ-5	FQ-4	FQ-3	FQ-2	FQ-1	FQ0
Sales reported (mil)	–	–	–	–	–	–	–	–	–	–
Sales mean (mil)	–	–	–	–	–	–	–	–	–	–
Surprise	–	–	–	–	–	–	–	–	–	–
EPS reported	–	–	–	–	–	–	–	–	–	–
EPS mean	–	–	–	–	–	–	–	–	–	–
Surprise	–	–	–	–	–	–	–	–	–	–

FQ0 is the most recent reported quarter, FQ-1 the one before, and so on.

Peer comparison Aerospace & Defense

Peers in the same industry group, by market capitalization
Company	Market cap	Net debt/EBITDA	Net margin	P/B	FY1 P/E	FY2 P/E	FY1 EV/EBITDA	FY2 EV/EBITDA
BCKIY Babcock International Group PLC	6.9B	–	4.1%	8.44x	16.4x	15.0x	9.5x	8.8x
KTOS Kratos Defense & Security Solutions, Inc.	7.7B	−10.82x	1.6%	2.24x	49.6x	36.5x	36.6x	26.7x
LOAR Loar Holdings Inc.	6.4B	4.39x	14.5%	5.34x	50.0x	42.4x	27.2x	23.9x
TKMCY TKMS AG & Co KgaA	6.4B	−5.90x	4.8%	5.52x	5.0x	3.7x	18.1x	14.8x
AVAV AeroVironment, Inc.	6.3B	0.52x	−13.4%	1.43x	37.8x	28.1x	20.1x	15.8x
HXL Hexcel Corporation	6.2B	2.58x	5.8%	4.68x	34.3x	26.2x	17.8x	14.8x
Mean		−1.85x	2.9%	4.61x	32.2x	25.3x	21.6x	17.5x
Median		0.52x	4.5%	5.01x	36.1x	27.2x	19.1x	15.3x

Technical analysis

1M+12.3%
3M−8.2%
1Y−10.9%
3Y+196.2%

Financial statements in millions of USD

Income statement in millions of USD, fiscal years

Income statement, Babcock International Group PLC, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Total revenue	6,846	6,241	5,542	5,474	5,387	5,472
Cost of revenue	2,875	2,742	2,515	2,287	4,757	5,094
Gross profit	3,971	3,499	3,027	3,187	630	379
Selling, general & administrative expenses	2,484	2,143	1,999	1,933	373	519
Research & development	–	–	–	–	–	–
Depreciation/amortization	185	152	146	224	–	–
Interest expense (income), operating	−19.8	−9.0	−11.0	7.2	−26.4	18.1
Unusual expense (income)	1.7	−0.4	−18.9	125	−41.0	2,253
Other operating expenses	916	743	607	842	0	0
Operating income	403	470	305	56.1	324	−2,411
Net interest income (expense)	−14.1	−29.6	−25.0	−38.1	−88.1	−85.8
Gain (loss) on sale of assets	–	–	–	–	–	–
Other non-operating income (expense)	−14.1	−15.4	−6.4	−10.4	3.3	1.5
Net income before taxes	375	425	274	7.6	239	−2,495
Provision for taxes	96.5	104	61.2	48.7	18.9	−11.0
Minority interest	0.7	−2.3	−3.2	−2.1	−4.9	0
Equity in affiliates	–	–	–	–	–	–
U.S. GAAP adjustment	–	–	–	–	–	–
Net income before extraordinary items	279	319	209	−43.2	216	−2,484
Extraordinary items	–	–	–	–	–	–
Net income	279	319	209	−43.2	216	−2,484
EBIT, normalized	372	457	265	333	83.7	−161
EBITDA, normalized	557	612	411	558	524	567
Basic EPS, normalized	0.51	0.67	0.39	0.22	0.37	–

Balance sheet in millions of USD, fiscal years

Balance sheet, Babcock International Group PLC, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Assets
Cash & short-term investments	980	837	722	559	1,505	1,247
Receivables	1,065	963	851	974	995	987
Total inventory	274	210	237	156	187	211
Prepaid expenses	161	149	123	78.6	93.4	92.0
Other current assets	11.6	12.0	5.6	5.3	25.7	19.0
Total current assets	2,490	2,170	1,938	1,773	2,807	2,556
Property, plant & equipment	1,124	1,018	874	786	1,372	1,726
Goodwill	1,031	1,005	985	964	1,028	1,318
Intangibles	177	184	188	174	231	275
Long-term investments	58.4	56.2	75.4	70.8	71.3	101
Note receivable	69.3	61.9	49.7	47.0	60.3	113
Other long-term assets	246	272	313	268	470	265
Total assets	5,196	4,767	4,423	4,082	6,039	6,353
Liabilities
Accounts payable	363	300	399	296	218	566
Payable/accrued	–	–	–	–	–	–
Accrued expenses	989	909	783	776	913	912
Short-term debt	0	0	0	0	0	0
Current portion of long-term debt	488	61.7	82.0	85.7	1,272	702
Other current liabilities	1,261	1,145	1,015	931	855	729
Total current liabilities	3,101	2,416	2,278	2,089	3,257	2,910
Long-term debt	964	1,264	1,178	1,168	1,546	2,494
Minority interest	20.2	22.5	21.7	21.0	25.6	22.0
Other liabilities	299	284	454	368	315	634
Total liabilities	4,385	3,986	3,932	3,646	5,143	6,060
Shareholders' equity
Preferred stock	–	–	–	–	–	–
Common stock	401	392	383	374	398	418
Additional paid-in capital	1,154	1,128	1,102	1,077	1,147	1,203
Retained earnings (accumulated deficit)	−744	−739	−994	−1,014	−649	−1,327
Treasury stock	–	–	–	–	–	–
Other equity	0	0	0	0	0	0
Total equity	812	781	491	436	896	293
Total liabilities & shareholders' equity	5,196	4,767	4,423	4,082	6,039	6,353

Cash flow statement in millions of USD, fiscal years

Cash flow statement, Babcock International Group PLC, fiscal years, most recent first
	2026	2025	2024	2023	2022	2021
Operating activities
Net income	279	322	212	−41.1	221	−2,345
Depreciation, depletion & amortization	193	154	149	253	440	727
Deferred taxes	–	–	–	–	–	–
Non-cash items	110	152	78.0	291	−131	1,918
Changes in working capital	−49.4	−229	−41.9	−181	−521	283
Cash from operations	532	399	397	322	8.9	583
Investing activities
Capital expenditures	−212	−166	−180	−154	−267	−262
Other investing cash flows	90.7	22.6	52.8	257	712	229
Cash from investing	−121	−143	−127	103	445	−33.6
Financing activities
Financing cash flow items	−2.6	−1.7	−2.3	−1.7	−1.4	72.8
Cash dividends paid	−45.9	−34.5	−10.7	–	–	0
Issuance (retirement) of debt, net	–	–	–	–	–	–
Other financing cash flows	−268	−83.6	−94.9	−820	−160	−1,753
Cash from financing	−317	−120	−108	−822	−161	−1,680
Foreign exchange effects	7.8	−14.7	−6.9	−7.0	3.8	4.3
Net change in cash	102	121	155	−403	296	−1,127
Free cash flow	320	233	217	168	−258	320

Disclaimer

The financial data presented in this report is delayed and obtained from sources QDD Research believes to be reliable, including stock exchanges, SEDAR, and EDGAR. However, no representation or warranty is made as to the accuracy, completeness, or timeliness of the information. QDD Research accepts no liability for any errors, omissions, or financial losses arising from the use of this data.

This report is generated using a fully systematic and quantitative approach. All factor scores and the overall quant rating (ranging from D to A+) are derived from algorithmic models and are based solely on objective financial metrics. These scores are intended for informational purposes only and should not be interpreted as investment advice or a recommendation to buy, sell, or hold any securities.

QDD Research is not a registered investment advisor or broker-dealer and does not provide personalized financial advice. The content is not tailored to the specific investment goals, financial situation, or risk profile of any individual investor. We strongly encourage readers to consult with a licensed broker or investment advisor before making any investment decisions based on the information contained in this report.

Live quote provided by TradingView. Report data updated Nov 3, 2026 after market close.