Rheinmetall AGOrder intake surged 476% and backlog hit record 80.4B euros, indicating strong demand for defense products.

Rheinmetall reported second-quarter sales of 3.289 billion euros, up nearly 70% year-over-year, while order intake surged 476% to 11.371 billion euros, pushing the backlog to a record 80.4 billion euros. The operating result more than doubled to 562 million euros, yielding a margin of 17.1%, though operational free cash flow was deeply negative at minus 1.331 billion euros due to inventory build-up. The company revised its full-year 2026 sales guidance to between 13.7 billion and 14.2 billion euros, with an operating margin target of around 19%, while reducing capital expenditure guidance to about 8% to 9% of sales. Management confirmed that the 12.4-billion-euro Arminius Boxer vehicle contract is expected to be signed by year-end, potentially bringing a down payment of over 3 billion euros, and addressed the unexpected cancellation of the F-126 frigate program, which trimmed the sales outlook by 300 million euros.
Rheinmetall AGOrder intake surged 476% and backlog hit record 80.4B euros, indicating strong demand for defense products.