BAE Systems said its Eurofighter Typhoon production schedule is fully booked until work begins on the sixth-generation stealth aircraft being developed under the Global Combat Air Programme (GCAP).
BAE Chief Executive Charles Woodburn told analysts during a post-earnings call that the company now has confirmed manufacturing commitments leading up to the start of final assembly for GCAP aircraft, calling it a significant milestone.
Spain and Italy placed new Eurofighter orders in late 2024, followed by Germany in October, and Turkey joined the customer list that same month. Deliveries are expected to continue into the mid-2030s. The GCAP initiative involving the U.K., Italy, and Japan aims to field the next-generation fighter by 2035.
In June 2025, the Eurofighter consortium—Airbus, BAE, and Leonardo—announced plans to boost annual production from 14 aircraft to 20 by mid-2028, with a longer-term goal of reaching 30 jets per year. Woodburn said the company is progressing toward higher production rates and could further increase output if additional orders are secured.
BAE manufactures the front fuselage and vertical stabilizer, Airbus produces the center fuselage and right wing, Leonardo builds the left wing, and BAE and Leonardo jointly supply the rear fuselage. Woodburn noted continued opportunities for both new aircraft sales and support contracts, including potential European orders, and highlighted the enhanced capabilities provided by MBDA missile systems.
The Eurofighter can carry MBDA’s Meteor beyond-visual-range missile and the Storm Shadow cruise missile. Turkey’s purchase package includes the Meteor, which previously raised concerns in Greece in early 2025.
Woodburn said the GCAP program is advancing well and expressed strong satisfaction with the partnership. When asked about the possibility of Airbus joining GCAP if the rival Future Combat Air System project collapses, he declined to speculate, stating that any expansion decisions rest with the U.K., Italy, and Japan.
Europe is becoming a key growth region for BAE, with 2025 sales there up 28% compared with 8% company-wide growth. The U.S. remains BAE’s largest market, followed by the U.K. Europe represented 32% of BAE’s order backlog at the end of December and 11% of 2025 revenue, with Woodburn expecting substantial expansion over the next five years.
BAE anticipates benefiting from increased European defense spending through subsidiaries such as Sweden’s Hägglunds, its involvement in Eurofighter and MBDA, and partnerships with firms like Poland’s PGZ, which can access EU defense financing. Woodburn said Europe is expected to be a major driver of future orders, supported by both U.K. exports and the company’s growing European footprint.
