Babcock International Group chief executive David Lockwood will retire by the end of the calendar year, with Harry Holt, the current CEO of its nuclear sector, appointed as his successor.
Mr Holt, who has been instrumental in the group’s transformation and growth, has overseen a 54% revenue increase in the nuclear sector between FY23 and FY25, achieving 9% margins.
He will join the board in June as deputy CEO before assuming the CEO role.
The company has reported strong trading for the nine months ending 31 December, with good organic revenue growth and underlying operating margin progression, reinforcing confidence in meeting the full-year margin target of 8%.
Significant strategic developments include being selected as the prime industrial partner for Indonesia’s £4 billion Maritime Partnership Programme and signing an agreement for two further Arrowhead 140 licences.
The company also expanded its partnership with HII to support the US Virginia Class nuclear submarine programme and launched the ARMOR Force initiative for autonomous maritime operations.
The group has returned £90m of its £200m share buyback programme and expects to complete it by the March year-end.
Chris Beauchamp, Chief Market Analysis at IG said: “2025 marked the year that Babcock’s share price rocketed to a new record high, recouping all the losses suffered over the previous 11 years.
“Today’s update confirms the solid momentum within the business, which looks set to continue given the renewed impetus on defence spending in Europe following the Greenland saga of the last two weeks.
“As European countries look to fill capability gaps, Babcock and other firms in the sector remained primed to benefit.”
source