By Anthony O. Goriainoff

BAE Systems PLC said on Monday that its opportunities pipeline was strong and backed its guidance for the year.

The London-listed defense company said that it has mitigated and managed supply chain pressures and had thus far avoided any material impacts on its performance.

It added that its portfolio was well positioned to benefit from increased spending in defense in Asia Pacific through its Australia business, and that the recent AUKUS announcement was strategically significant for the company.

AUKUS refers to the trilateral security pact between the U.S., Australia and the U.K.

In July the company said it expected group sales to grow in the 3% to 5% range over 2021, based on a strong pound-to-dollar exchange rate. The company reported sales of 20.86 billion pounds ($28.15 billion)in 2020. The company said it expects underlying earnings before interest and taxes--a metric which strips out exceptional and other one-off items--to grow in the 6% to 8% range. For 2020 BAE reported underlying Ebit of GBP2.04 billion.

"Demand for our capabilities remains high and we have a strong pipeline of opportunities across our broad geographic portfolio," Chief Executive Charles Woodburn said.

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

(END) Dow Jones Newswires

11-08-21 0237ET