The defense contractor TKMS has raised its revenue forecast after the first three months of the 2025/26 fiscal year. The Thyssenkrupp subsidiary announced on Wednesday that revenues are expected to increase by two to five percent compared to the previous year. Previously, TKMS had anticipated growth of one to two percent for the current fiscal year. In the first quarter, revenue stood at 545 million euros, compared to 550 million euros a year earlier. The company posted a stable adjusted earnings before interest and taxes (Ebit) of 26 million euros. The Ebit margin improved to 4.8 percent from 4.7 percent. It is expected to rise above six percent in the current year.

"TKMS remains on a successful course," said CEO Oliver Burkhard. The order backlog has reached a new record high of 18.7 billion euros. The submarine builder is benefiting from the globally increased demand for weapons and ammunition. Thyssenkrupp took the company public in October but still retains the majority stake. Both companies are now listed in the MDax.

TKMS is hoping for further multi-billion euro submarine contracts. The company has been selected as one of only two remaining bidders in Canada in the race for up to twelve submarines. In India, TKMS and its local partner have entered final negotiations for an order for six submarines.

(Reporting by Tom Käckenhoff, edited by Sabine Wollrab. For inquiries, please contact our editorial team at berlin.newsroom@thomsonreuters.com (for politics and economy) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).