With an industry revenue of $760 billion - exceeding the previous record of $729 billion in 2014 - and operating profit of $81 billion, surpassing the previous record set in 2017, the aerospace and defense (A&D) sector scored record revenues and profits in 2018. We’ve also seen a very active M&A environment in 2018 where the industry recorded the third highest deal value in history, causing a number of changes in the top 100 list, as well as pending changes for 2019.
The performance of the top 100 A&D companies is a barometer for the health of the industry. It reflects disciplined management over the past decade as well as strong demand for the industry’s products and services. This report provides a review and analysis of how these A&D companies performed in the past year, and a look at the challenges and opportunities they will face in the years to come.
Both the commercial aerospace and defense sectors are expected to experience continued strong revenue and operating profit improvements in 2019 with the help of projected increases in aircraft deliveries, aircraft aftermarket and increase in defense spending.
We welcome the opportunity to discuss the insights from our report — as well as the goals and objectives your company has planned for the year ahead. With a full-spectrum of scenarios changing the possibilities for A&D companies, such as digital operations, growth strategies, deals, and talent, we provide the insight, perspective and solutions needed to make the path forward very clear.
Aerospace and Defense Leader, PwC US