💥 Rheinmetall on the rise: 36% revenue growth and expectations of a boom in military orders! 🚀

Europe's defense sector is experiencing historic growth, and one of the biggest winners is German weapons manufacturer Rheinmetall $RHM.DE. The company announced a huge 36% sales growth in 2024 and predicts further 25-30% growth in 2025, mainly due to a massive influx of military orders.

Following the announcement, the stock rose more than 9% to a new ATH of €1,277 per share.

📊 Key numbers:
Total revenue 2024: EUR 9.75 billion (+36% YoY) (~ CZK 247 billion)

Operating profit: EUR 1.48 billion (+61% YoY) (~37 billion CZK)

Military division's share of revenues: 80%

Order backlog: EUR 55 billion - a record level

Expected growth in defence orders in 2025: +35 to 40%

What helps further growth
Increased military spending in Europe - Following Russia's invasion of Ukraine, European countries are rethinking their defence strategy, and investing in military modernisation.

Strong demand for defence equipment -Rheinmetall is a key supplier of defence systems to the USA, Australia and the whole of Europe.

Expansion of production capacity - The company invested EUR 8 billion in new plants and acquisitions.

🌍 Geopolitics as a growth engine
Rheinmetall has openly stated that it is the most important European partner for the defence of Ukraine, which ensures a steady flow of contracts. In addition, Donald Trump's push to increase NATO military spending is forcing European countries to rapidly increase their defense budgets, opening up further growth opportunities for the company.

📢 Rheinmetall CEO Armin Papperger:
"With a 50% growth in sales in the defense sector, Rheinmetall is becoming a global leader in the defense industry. We have significantly increased our capacity and will continue to do so."

Rheinmetall shares are up more than 100% since the beginning of the year!

The order backlog indicates long-term growth, making the Rheinmetall an attractive title.

Is Rheinmetall still an attractive investment or is the growth over? What is your opinion of the company? Is the outlook interesting enough for you to consider investing in this title?