BAE Systems CEO Ian King believes that the U.S. defense industry is making a recovery in 2015 and forecasts a shift in government defense spending toward stability then a “modest” increase in the coming years, Reuters reported Thursday.
Sarah Young writes the company sees a return to earnings growth this year due to a potential increase in demand for aircraft and naval equipment from both domestic and international customers.
“Defense and security is high on governments’ priorities at the moment,” he said during a conference call, according to Reuters.
“We have a lot of bidding activity … [and] a lot of support activity going on.”
King pointed to an increase in orders for F-35 and Eurofighter Typhoon fighter jets amid military activity in the Middle East, the report said.