Capturing Performance Improvement Opportunities

Drivers of Civil LTSA balance change Deferred revenue reflects difference between invoiced EFH receipts and P&L revenues traded Invoiced EFH receipts Reflects invoiced EFH receipts on long-term contracts across entire Civil LTSA-covered fleet P&L revenue Driven by cost (e.g. shop visits) across large engine, business aviation and regional fleets Recognised by contract, as costs incurred, at relevant contract margins 2023 Opening balance (LTSA net creditor) £7,372m ROLLS R ROYCE + P&L LTSA Invoiced EFH revenue (pre-catch-ups) receipts £2,337m £1,587m LTSA contract catch-ups £23m FX & other £130m II LTSA revenue post catch-ups £1,610m 2023 HY Closing balance (LTSA net creditor) £8,229m Page 55 © 2023 Rolls-Royce

View entire presentation