BAE Systems Reports Record Profits Amid Global Defense Spending Surge

The British defense sector giant, BAE Systems, announced record financial results for 2025, directly linked to the sharp increase in global demand for armaments. The company reported revenues of £30.66 billion and an operating profit of around £2.6 billion, representing a year-on-year increase of 12 percent. The corporation's order book swelled to an enormous £83.6 billion, ensuring operational stability for many years. Chief Executive Officer, Charles Woodburn, indicates that the world has entered a “new era” of defense spending, driven by Europe's rearmament following the full-scale Russian invasion of Ukraine. Since the Cold War, European defense budgets have systematically declined, a trend that changed dramatically after 2014 and then after 2022, forcing governments to urgently replenish ammunition stocks and modernize their equipment fleets. Despite excellent financial health, the company faces internal problems. Workers at plants in Lancashire continue strike action, demanding higher wages in the face of inflation. The Unite trade union described the corporation's profits as “obscene” in the context of rejecting staff pay demands. Simultaneously, Charles Woodburn is pressuring the British government, demanding the publication of the delayed military spending program, which is essential for planning long-term investments in new technologies, such as the sixth-generation fighter jet. 2023: 25.3, 2024: 27.9, 2025: 30.66 On the international stage, BAE Systems is strengthening cooperation with countries on NATO's eastern flank. Estonia has declared its desire to join the supply chain for the CV90 combat vehicle procurement program. Defense Minister Hanno Pevkur confirmed during a conference in Munich that Estonian companies are ready to become subcontractors for spare parts and components for these vehicles, strengthening European strategic autonomy. £83.6 billion — is the current record order book of the corporation „Our results reflect the new geopolitical reality, in which democratic states must rebuild their defense potential.” — Charles Woodburn Highlights the profits of the arms sector at the expense of social needs and ongoing strikes by workers in Lancashire. | Focuses on the stability of the national defense industry and the necessity of rearming in the face of the threat from the East.