Rolls-Royce has "continued to cruise" following its latest trading update, Hargreaves Lansdown has said, after the engineering firm reaffirmed its guidance for the full year.

The company said that demand in its civil aerospace division remains strong, with "significant large engine order" in the second half of the year.

It added that compared to 2019 levels, its large engine flying hours increased by 109% in the 10 months to 31 October.

Furthermore, demand for its defence division remained robust, while its power systems recorded continued strong order intake and revenue growth.

Rolls-Royce said it remains committed to driving efficiency and simplification across the firm, and as part of its group business services strategy, has opened a global capability and innovation centre in India to support global corporate functions.

Chief executive at Rolls-Royce, Tufan Erginbilgic, said: "Strong performance across the group, driven by our actions and strategic initiatives, was in line with our expectations. This builds further confidence in our full year 2025 guidance of underlying operating profit of between £3.1bn and £3.2bn and free cash flow of between £3bn and £3.1bn despite continued supply chain challenges.

"We are continuing to progress our transformation programme, delivering profitable growth, and further strengthening our balance sheet."

Alongside its expectations for the full year, Rolls-Royce said that it is making good progress in its £1bn share buyback scheme, having completed £900m at the end of October.

Equity analyst at Hargreaves Lansdown, Aarin Chiekrie, concluded: "Rolls-Royce continues to cruise above the clouds, with its third-quarter update showing little sign of turbulence. The group produces aeroplane engines for larger, long-haul planes.

"Margins are also improving thanks to contract renegotiation, operational efficiencies, and part upgrades, which are improving the time its engines spend on wing. All of this is helping Rolls-Royce convert the increased flying hours and revenue into profits.

"With high barriers to entry and few credible challengers, Rolls-Royce’s market position is strong. The balance sheet is improving, free cash flow remains healthy, and the £1bn buyback is nearly complete. All full-year guidance has been reiterated, but with a growing track record of overdelivering, don’t be surprised to see numbers to the upside at full-year results."

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