“There are a lot of green shoots in this organisation which provides you with confidence that resilience is there and that’s another reason why we have confidence in the company to do a share buy back,” CEO Ian King said.
King added that BAE is slashing costs and increasing overseas sales because of the “constrained” environment in the U.S. and Britain.
Reuters reports that BAE’s overseas sales rose from $7.3 billion to $17 billion over four years.
The U.K.’s largest defense contractor is also reportedly pursuing business in the Middle East and India and is currently negotiating pricing with Saudi Arabia concerning a Typhoon aircraft contract.
King added that BAE expects a maximum of $1.5 billion in reduced revenue this year if sequestration pushes through.
He also said that BAE has not resumed talks with EADS to move forward with the collapsed merger plan last year.