Rolls-Royce faces more Trent 1000 engine troubles but says full-year guidance remains unchanged despite extra costs

Rebecca Smith
Rolls-Royce has reported troubles with its Trent 1000 engines
Rolls-Royce has reported troubles with its Trent 1000 engines (Source: Getty)

Rolls-Royce said today tests will be carried out on more Trent 1000 engines after a "durability issue" was reported, and that the assessment will drum up further costs for the company but is keeping its guidance for the year unchanged.

Earlier this year, the engineering giant provided an update on an issue affecting a crop of Trent 1000 engines known as Package C engines, but today it said a similar problem has been identified on "a small number" of Package B engines.

As a result, it has agreed with Boeing and regulators to undertake a one-off inspection of its Trent 1000 Package B fleet - made up of 166 engines - to assess the trouble.

Shares dipped more than one per cent in early trading.

Read more: Rolls-Royce gears up to cut white collar jobs

Rolls-Royce said that the additional inspection for Package B engines "will incur some additional cost", but added that "mitigating actions" it continues to take across the group means it is still confident that its guidance for the year remains unchanged.

In April, Rolls-Royce said more rigorous engine inspection would get underway after ongoing issues with the Trent 1000 engine used for Boeing's 787s. ​The engines have needed unscheduled maintenance due to parts wearing out more quickly than anticipated.

At the time, Rolls-Royce boss Warren East apologised to customers for the disruption expected from the inspections, saying the company's team of technical experts and service engineers was "working around the clock".

The engine troubles come amid reports that Rolls-Royce is gearing up to axe 4,000 jobs as part of efforts to cut costs and ramp up profits.

The Sunday Times had reported that middle managers and back-office staff were set to face the chop, and Rolls-Royce has said it will not be commenting "on current media speculation".

The company said it was working on a move to "a considerably simplified staff structure" with details to be provided at an event for financial analysts and investors on Friday.

Read more: Rolls-Royce facing more engine troubles as it warns of further disruption

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