HENSOLDT AG further expanded its leading position in the defence electronics market in the first nine months of 2021, particularly due to the strong order intake of 2.821 billion Euros (previous year: 2.003 billion Euros).
This increases the total order backlog by 59 percent to 5.363 billion Euros (previous year: 3.379 billion Euros). Revenue climbed at a double-digit growth rate (19 percent) to 850 million Euros. The main drivers behind the development are the radars for the Eurofighter as well as PEGASUS in the Sensors and land and high-precision technology systems in the Optronics segment.
CEO of HENSOLDT AG, Thomas Müller said, “We are very proud of our performance over the past nine months. Our order books clearly reflect that we have set the right strategic priorities within our high-tech portfolio: as technology partner and integrated sensor solutions house HENSOLDT is an integral part of many national and international procurement programs. At the same time, we already have a broad pipeline of cutting-edge technologies and product solutions in place, targeting the emerging fields of cyber security and analytics. Together with an even stronger global presence, we have built a strong foundation for our future success in a steadily growing market.”
CFO of HENSOLDT AG, Axel Salzmann said, “We are very pleased that we have once again exceeded expectations. In the past nine months, numerous follow-up orders from previously won landmark projects have materialised. At the same time, we are consistently ensuring that our growth does not come at the expense of efficiency. On the contrary, we were even able to improve our profitability. Consequently, we can confirm the 2021 full year guidance in all KPIs.”
Continued strong development in both segments
In the first nine months of 2021 HENSOLDT won numerous orders from a national and international project pipeline, including major orders for the development and production of reconnaissance technology for the PEGASUS programme as well as radar and self-protection systems for the Quadriga programme. In addition, orders in the third quarter included the delivery of long-range radars for the German F-124 frigates worth around EUR 180 million and optronic mast systems for German and Norwegian U212 submarines with a volume of EUR 50 million.
HENSOLDT is continuously expanding its cutting-edge technology portfolio to secure its growth in the long term. In September, for example, the company introduced the new generation of the AESA naval radar Quadome – a cyber-resilient, software defined and future-proof air and surface surveillance radar.
Double-digit revenue growth with sustained profitability
The continued high order intake is clearly reflected in the revenue development: with an increase of 19 percent to 850 million Euros (previous year: EUR 712 million), HENSOLDT generated significant growth in revenues compared to the previous year. Adjusted EBTIDA also developed positively and increased by 7 percent year-over-year to EUR 110 million (previous year: EUR 103 million), despite the costs incurred for the ramp-up of major projects.
Liquidity developed as expected with an adjusted free cash flow before interest and taxes of EUR -48.0 million (previous year: EUR 66 million). This development is mainly driven by investments in working capital.