9M 2021: HENSOLDT AG significantly expands order backlog and generates double-digit revenue growth
- Order backlog at record high of EUR 5.4 billion, up 59% compared to the same period last year
- Revenue of EUR 850m 19% above previous years' period
- Adjusted EBITDA increased by 7% to EUR 110 million
- 2021 full year guidance specified and confirmed in all KPIs
Taufkirchen, 10 November 2021 - HENSOLDT AG ("HENSOLDT") 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 EUR 2.821 billion (previous year: EUR 2.003 billion). This increases the total order backlog by 59% to EUR 5.363 billion (previous year: EUR 3.379 billion). Revenue climbed at a double-digit growth rate (19%) to EUR 850 million. 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.
Thomas Müller, CEO of HENSOLDT AG, 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."
Axel Salzmann, CFO of HENSOLDT AG, 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% to EUR 850 million (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% 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.
Outlook for 2021 specified and confirmed in all KPIs
As a result of the strong performance in the first nine months of 2021, HENSOLDT can specify and confirm its 2021 full year guidance in all key performance indicators: HENSOLDT expects currency- and portfolio-adjusted revenues of around EUR 1.5 billion (previously: between EUR 1.4 billion and EUR 1.6 billion) and an adjusted EBITDA margin of over 18% (previously: around 18%; before low value-added business volume related to the ramp-up of major projects). In addition, the company targets to reduce its net financial leverage ratio to below 2x at the end of this year (previously: 2.25x).
The results for the first nine months of 2021 are available on the Investor Relations website of HENSOLDT AG. The preliminary results for the full year 2021 are expected to be published on 23 February 2022.
HENSOLDT is a German champion in the defence industry with a leading market position in Europe and global reach. Headquartered in Taufkirchen near Munich/Germany, the company develops sensor solutions for defence and security applications. As a technology leader, HENSOLDT also continuously expands its Cyber portfolio and develops new products to combat a wide range of threats based on innovative approaches to data management, robotics and cybersecurity. With more than 5,600 employees, HENSOLDT generated revenue of EUR 1.2 billion in 2020. HENSOLDT is listed on the Frankfurt Stock Exchange and member of the SDAX index.
HENSOLDT press contact
Joachim Schranzhofer Phone: +49 (0)89 51518 1823
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