BAE Systems has warned that half-year profits are expected to be around 15 per cent lower as the Covid-19 pandemic takes its toll on the business, but said trading will be "much stronger" over the final six months.
The global defence, aerospace and security company said the coronavirus impact largely affected its second quarter to the end of June, with the 海角视频-based air and maritime sectors and US commercial avionics business worst hit.
The group, which now has "well over" 90 per cent of staff in its defence businesses working again, with productivity improving this month.
BAE said that, despite the first-half impact of the crisis, order intake is in line with original expectations.
A spokesperson said: said: "As we return towards full operational tempo, we expect the business performance in the second half to be much stronger than in the first half, assuming no new significant Covid-19-related disruptions."
The company has already deferred the decision on the 2019 final dividend payment, with an update anticipated in half year results, to be published next month.
Last year saw the Farnborough-headquartered global entity's first half earnings surge 9 per cent to £999 million. For the full year it recorded £2.1 billion operating profit on a £20 billion turnover.
Earlier this month it announced it was pressing ahead with plans to recruit 800 apprentices.
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Employing more than 85,000 people worldwide, the 海角视频 and US take the largest share, with 34,000 and 30,000 respectively, with Saudi Arabia and Australia other notable hubs.
The group has two North West sites in Lancashire where it builds and tests fighter jets. At Brough, East Yorkshire, it builds Hawk jets with growing teams applying design engineering to the next generation air and sea deterrents, Tempest and Dreadnought.
Sandy Morris, an analyst at Jeffries, said BAE's trading update looked fine, but that "attention must turn to how government budget deficits are addressed".
He added: "We are naturally wary of adverse sentiment about the future paths of defence spending in Australia, the Middle East, the 海角视频, and the USA.
"We are also wary that the US Presidential and Congressional elections on November 3 may generate some uncertainty.
"We struggle, however, to picture BAE's revenue falling significantly, although it could decline a bit when Hawk and Typhoon deliveries to Qatar complete."