German automotive and arms manufacturer Rheinmetall has reported consolidated sales of €1.266bn for the first quarter of 2022.
The figure remained stable compared to the €1.268bn recorded in the same period a year ago.
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The company’s operating result increased by €8m from €84m in Q1 2021, to €92m in Q1 2022, driven by increased sales in the weapon and ammunition division.
The operating margin also improved to 7.3% from the previous year’s level of 6.7%.
In the first three months of 2022, Rheinmetall’s consolidated operating result after taxes totalled €61m. The figure was €58m in the same quarter a year ago.
Quarterly earnings per share from continuing operations also improved year-over-year, from €1.05 to €1.08.
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By GlobalDataRheinmetall CEO Armin Papperger said: “Rheinmetall is continuing its successful course. Along with consistently high sales, we even managed to further boost our performance in the first quarter.
“In the current security policy situation, we now consider ourselves well-positioned to make valuable contributions to strengthening defence capabilities in numerous countries. Political leaders have sent clear signals.
“Now, these have to be turned into concrete measures. We at Rheinmetall are ready for this responsibility for freedom and security; that is our mission through our security technologies business.”
The company’s vehicle systems division reported sales of €400m in the first quarter of 2022, down by 2.2% from the previous year.
The weapon and ammunition division recorded a 17% increase in quarterly sales to €258m while the electronic solutions division’s sales remained flat at €168m in the same period.
Rheinmetall’s Sensors and Actuators division sales fell to €347m in Q1 2022, from €372m in Q1 2021.
The materials and trade division sales, however, increased by 19% to €190m.
Rheinmetall also confirmed its annual forecast from March 2022. The company expects its annual sales to grow organically by 15% to 20% from the previous year’s level of €5.66bn.
In the fiscal year 2021, the company registered a 4.7% growth in consolidated sales.
