Armaments group Rheinmetall hurries from record to record

Armaments group Rheinmetall hurries from record to record

Armor
Rheinmetall on record course – and with a view of another billion








Sales and profits at Rheinmetall have increased in the first half of the year. Only in the business for the auto industry is not going smoothly. It should be sold by the end of the year.

Rhine metal Is successful on his way to becoming a global armamental bustle, “says CEO Armin Papperger.” Our order books are full and will continue to fill in in the future. “The turnover of the Düsseldorf group increased by 24 percent to 4.7 billion euros in the half year, the business around ammunition reached a record sales of 1.3 billion euros. Rheinmetall wants to inaugurate the largest ammunition factory in Europe shortly in Lower Saxony. The operational result rose by 18 percent to 475 million euros in the group.



Due to the difficult civilian business and the expenses for the start of production at the location Weeze The operational result margin at the group level decreased slightly to 10.0 percent compared to the same period last year. In the order books, orders with a record status of 63 billion euros added up. In the second half of the year Rhine metal Then with the Bundeswehr orders with billions of billions. After the Bundestag election in February and the following government formation, “the award of order in Germany will only start much late in the second half of the year.” In the fourth quarter, there will probably be “a strong order input”, according to a company presentation on the business figures.

New takeovers and collaborations

The Russian attack on Ukraine has brought the turn for the western armaments industry. The industry is urgently needed to strengthen the armed forces. Industry gains additional dynamics through higher arms expenditure of the NATO countries. Rhine metal rely on alliances with other armaments companies in order to be able to master the boom. Together with the Italian Leonardo, the Düsseldorfers want to build Panzer in a joint venture. They also negotiate with Leonardo exclusively on the takeover of the business with IVECO military trucks. Leonardo had recently announced the purchase of Iveco military business. Also cooperates Rheinmetall with the US giant Lockheed Martin and builds aircraft parts with him in Weeze in North Rhine-Westphalia.


The only crisis division in Rheinmetall-Reich is the civilian area Power Systems that supplies the automotive industry. Here the operational result broke up by 58 percent to 24 million euros compared to the same period last year. CEO Cardapperger Has made the division for sale, discussions with interested parties run. He is now striving for a decision by the end of the year, it said in the presentation.

Rheinmetall shares have already gave up slightly in the past few days and, after the half-year figures were announced, started with more than four percent loss to the trading day. In the past twelve months, however, the papers’ course has increased by around 250 percent. According to Börsians, some investors had had even higher expectations regarding the half -year balance sheet.

FD / Reuters

Source: Stern

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