By Pierre Bertrand
Rheinmetall AG on Thursday confirmed its 2022 forecasts after nine-month sales and operating profit rose as orders grew.
The German defense company said operating profit for the period rose to 323 million euros ($323 million) from EUR297 million the year prior on sales that increased by around 6.5% to EUR4.09 billion.
The company achieved an operating margin of 7.9%, it said, adding that the momentum in orders is expected to carry over into the end of the year.
“We also expect a particularly strong final quarter this year–especially in the military business, where we are benefiting now and in the next few months from substantial orders as a result of increased defense budgets,” Rheinmetall Chief Executive Officer Armin Papperger said. “With our civilian products, we are seeing growing numbers of orders for components and systems for drive electrification.”
The company confirmed its full-year targets, expecting organic sales growth of around 15%, improvement in its operating result and an operating margin of more than 11%.
Write to Pierre Bertrand at pierre.bertrand@wsj.com
This post was originally published on Market Watch
