Sales increased by 9% to €2.2 billion, with the adjusted EBIT margin improving to 6% and adjusted EBIT rising 53% to €131 million. Free cash flow doubled to €784 million and net profit increased to €108 million, compared with €88 million in the previous year.
Chief executive Oliver Burkhard said: “The key figures underline TKMS’s strengthened market position and performance and form a solid basis for further growth.” He added: “We have a record order backlog, and our sales and profitability have also grown significantly.”
Burkhard also stated: “By investing in the expansion of our production capacity in Wismar and in important future technologies, we are further consolidating our leading role in the European defense sector.” He said: “Thanks to our long-term business model and robust order backlog, TKMS is resilient against economic and political change. We therefore continue to see great potential for future business.”
During the fiscal year, TKMS secured major orders including four submarines for the German Navy under the German-Norwegian 212CD programme, a modernisation contract for six Type 212A submarines and an export order for two additional Type 218SG submarines. In surface vessels, the contract for the research icebreaker Polarstern added significantly to the order book.
Operational progress included the successful sea trials of the first Tamandaré-class frigate in Itajaí, Brazil, and the start of modernisation work at the Wismar shipyard. TKMS plans to invest more than €200 million in Wismar, where up to 1,500 new jobs are expected to be created at full capacity.
Ongoing sales campaigns saw TKMS selected in August as one of two remaining bidders for Canada’s submarine procurement programme and invited in India to begin negotiations for six submarines with a local partner. The TKMS-led joint venture offering the MEKO A-400 design remains the sole bidder for Germany’s future F127 air defence frigate, while the MEKO A-200 is being offered as an alternative to the F126.
Chief financial officer Paul Glaser said: “The figures show clearly: TKMS is well on track to further increase its profitability and achieve its medium-term target of an adjusted EBIT margin of over 7%.” He added: “Our strategic realignment and the completion of less profitable legacy orders are the main contributors to this.”
