Patria reports strong growth in first half of 2025, expands operations and partnerships

At the end of June 2025, Patria’s order stock totalled EUR 2.4 billion. While the period lacked large new vehicle orders, unlike in 2024, when a EUR 470 million order was placed by Sweden under the Common Armoured Vehicle System (CAVS) programme, demand remained strong.

Defence spending increases have driven heightened interest in Patria’s products and services. In response, the company has invested in production capacity and operational productivity to better serve growing demand.

On 1 June, 2025, Patria implemented a new operating model built around three key business areas. Additionally, the company hosted the opening ceremony for its new F-35 production facility at the Halli site in Jämsä, Finland on 13 June; the building will be completed in autumn 2025 as part of Finland’s F-35 fighter programme.

Millog and Nammo contributed positively to the Group’s performance in the first half of the year. Millog improved both net sales and EBIT, while Nammo made a clearly positive impact on EBIT.

During the second quarter, Denmark joined the CAVS programme on 1 April as the fifth nation, following Finland, Latvia, Sweden and Germany. In May, the company also joined a European industry consortium for the AI-WASP programme, which received EUR 45 million in EU support to develop AI-controlled multifunctional military systems.

Patria strengthened its international cooperation by announcing a strategic partnership on 31 May with Spain’s GDELS-Santa Bárbara Sistemas for the assembly and maintenance of ASCOD Infantry Fighting Vehicles (IFVs). The work will be conducted at Patria’s Valmiera facility in Latvia, with production starting in June 2026.

On 30 June, Patria signed an agreement to sell its 60% share in Milworks OU to Mootor Grupp, aligning with Patria’s strategy to centralise Baltic MRO operations in Valmiera. The sale, affecting 15 employees, is expected to close by 31 July 2025.

Looking ahead, Patria expects strong growth in net sales for 2025, particularly in the armoured vehicle segment. The company also sees positive developments across other business areas, supported by increasing defence budgets in NATO countries following the 2025 NATO Summit in The Hague.

However, Patria acknowledged that scaling up armoured vehicle production has taken longer than planned. Efforts will now focus on accelerating capacity growth and securing deliveries to meet demand.

The company noted that geopolitical tensions and economic uncertainty may still pose risks. Patria stated these factors “could potentially have significant direct and indirect impacts on the demand and Patria’s operations.”