Goodwin Considers Divesting Part of Defence Division Supplying UK, US Naval Programmes

Goodwin, the Stoke-on-Trent based engineering group, is contemplating the sale of its defence sector business. The company confirmed that its board is assessing options for the division, which plays a significant role in providing components for both UK and US naval programmes, including critical frigate and submarine construction projects.

The defence division reported a substantial increase in revenue, reaching £76.5 million during the last financial year. This figure represents a notable portion of the group's total revenue, which stood at £180 million for the same period.

Goodwin's involvement in military contracts extends beyond its direct supply chain. The firm also holds an interest in a joint venture with French arms giant Nexter, named Nexter Goodwin Limited. This venture specialises in producing large-calibre ammunition cases for military applications, further entrenching the company within the global defence industrial complex.

The strategic review follows the retirement of Bernard Goodwin, who served as chairman for 43 years, and the subsequent appointment of his daughter, Sally Goodwin, as his successor. The potential divestment highlights a re-evaluation of the company's long-term operational and financial priorities, particularly concerning its defence-related assets.