Babcock CEO to retire at end of year; To be replaced by nuclear unit boss

(Sharecast News) - UK defence firm Babcock International said CEO David Lockwood would retire at the end of 2026 after almost five years in the job and be replaced by Harry Holt, currently head of the company's nuclear division. Former army officer Holt has been on the senior management team since November 2023. Prior to that he spent seven years at Rolls Royce in a number of roles, including president of its nuclear division.

In a separate trading statement, Babcock said its performance through the third quarter had seen a continuation of the strong performance reported at the half year, with the group delivering good organic revenue growth and underlying operating margin progression.

"With the vast majority of forecast revenue for the year now contracted, we are confident in delivering on ... expectations for FY26 trading, including meeting the FY26 margin target of 8%," the company said on Friday.

It added that delivery of its plans to jointly produce Arrowhead frigates under Indonesia's £4bn maritime partnership programme would provide upside to current expectations.

"This initiative will see the UK and Indonesia jointly develop maritime capabilities for Indonesia's navy and fishing fleets, strengthening food security in the process. On 20th January 2026, we signed a letter of intent covering the aims of the whole MPP and an agreement for the sale of two further Arrowhead 140 licences to be delivered in the next few months," Babcock said.

Reporting by Frank Prenesti for Sharecast.com