Rheinmetall reports significant growth over Q3
Highly mobile on the chassis of the Leopard 2, the pioneer troops use the Kodiak to create barriers. (Photo: Rheinmetall)
Rheinmetall reports a significant increase in earnings and margin over fiscal 2021, but predict semiconductor shortages may impact sales.
With an operating margin of 7.7%, Rheinmetall AG has reported that profitability has significantly increased over the first 3 quarters of 2021.
Armin Papperger, CEO, Rheinmetall AG, commented: ‘ We have now expanded our very high order backlog to more than €14 billion with major new orders’.
This growth has been fuelled by major contracts for the company.
They received contracts to modernise Challenger main battle tanks for the UK and deliver Kodiak armoured engineering vehicles and upgrade the Puma infantry fighting vehicles for the German Bundeswehr.
However, Rheinmetall predicts slower sales growth in its forecast for fiscal 2021 compared to its previous expectations. This has been caused by shortages of semiconductors and other materials.
The amended forecast predicts slightly lower sales growth of around 6%, €3.8 billion, for fiscal 2021, measured against the pro forma sales of €5,406 million in 2020, and an operating margin of around 10%.
The original forecast anticipated sales growth between 7% and 9%.
Related Equipment in Defence Insight
More from Defence Notes
-
![What role could holographic and 3D capabilities play in the warfare of tomorrow]()
What role could holographic and 3D capabilities play in the warfare of tomorrow
Holographic and 3D technologies have been lauded by some for their ability to provide technical and operational advantages for military training and planning. But is the hype truly justified?
-
![Unfolding the Golden Dome for America: Seven things you should know about the programme]()
Unfolding the Golden Dome for America: Seven things you should know about the programme
Shephard talked to multiple experts about the most pressing concerns and considerations regarding the air defence system advocated by President Trump.
-
![Industry welcomes UK Strategic Defence Review, but pressure remains on future defence investment plans]()
Industry welcomes UK Strategic Defence Review, but pressure remains on future defence investment plans
While industry reception to the SDR has been positive, questions still remain from analyst and trade associations about what this could mean for future investment and the future UK Defence Industrial Strategy.
-
![UK Strategic Defence Review puts emphasis on autonomy, airpower and munitions]()
UK Strategic Defence Review puts emphasis on autonomy, airpower and munitions
The UK’s Strategic Defence Review (SDR) was launched as one of the first acts of the UK’s new Labour Government in June last year. The review has recommended a major big-picture reform of the country’s forces.
-
![Foreshadowing of UK defence review suggests it is light on programme details]()
Foreshadowing of UK defence review suggests it is light on programme details
The UK’s Strategic Defence Review (SDR) was designed to answer two questions: What is needed to fix UK defence and make it fit for the 2040s, and what do you get for a fixed financial profile? The SDR outlines that work still needs to be done on specifics.
