The Taufkirchen-based arms company HENSOLDT has recorded a remarkable increase in order intake in the first quarter of 2024. According to CFO Christian Ladurner, the order backlog has risen to a record level, providing the company with a solid projection of future business performance. "We are benefiting from optimized operational processes and efficient cost management, which further enhances our profitability," Ladurner explained. Compared to the same quarter of the previous year, the order intake increased by an impressive 91.8 percent to 665 million euros.

HENSOLDT, which is listed on both the MDAX and TecDAX, was able to increase its profitability despite a slight decline in sales from 338 million euros in the previous year's quarter to now 329 million euros. The adjusted EBITDA increased from 30 million to 33 million euros, raising the adjusted EBITDA margin from 9.0 to 10.2 percent. A positive project mix and improved cost management made a significant contribution to this development.

The company places special emphasis on the integration of the recently acquired ESG Elektroniksystem- und Logistik GmbH. The acquisition is expected to contribute not only to an increase in revenue but also to realize annual cost synergies of 19 million euros. "Starting from the second quarter, we anticipate positive effects from this successful takeover, which is an important driver for our revenue and order development," added Ladurner.

The company confirmed its forecast for the fiscal year 2024, in which, including the effects of the ESG acquisition, it expects group revenues of 2.3 billion euros – a significant increase compared to 1.85 billion euros in the previous year. The adjusted EBITDA margin is expected to be between 18 and 19 percent, including ESG.

The investments in working capital are also reflected in an improvement of the adjusted free cash flow, which improved from minus 137 million euros in the previous year to now minus 81 million euros, mainly driven by higher incoming payments from customer contracts.

Therefore, HENSOLDT not only stands strong due to its impressive order intake but also through strategic acquisitions and efficient cost control. These factors are meant to help the group expand its leading position in the defense and security technology sector and to effectively respond to current and future market challenges.