FRANKFURT, Feb 11 (Reuters) - German submarine maker TKMS hit a new high in its order backlog and raised its sales outlook, it said on Wednesday, with a boost from rising demand for warships at a time
TKMS Achieves Record $22 Billion Order Backlog and Boosts Sales Forecast
TKMS's Sales Outlook and Market Position
FRANKFURT, Feb 11 (Reuters) - TKMS hit a fresh $22 billion high in order backlog and raised its sales outlook, the German submarine maker said on Wednesday, citing a boost in demand for warships at a time of rising geopolitical tensions.
Sales are now expected to rise by 2% to 5% in 2026, from a previous range of minus 1% to up to 2%, said the company, which was spun off from Thyssenkrupp last year.
This compares with an average forecast of 2.9% in an LSEG poll of banks and brokerages.
Geopolitical Factors Driving Demand
"In view of current geopolitical developments, our customers continue to show a high demand for advanced maritime capabilities," CEO Oliver Burkhard said.
"As the only fully integrated maritime systems supplier in Europe, we are ideally positioned to meet the needs in all dimensions of our industry."
Investor Interest in Defense Sector
Like many of its peers, TKMS has been riding a surge in investor demand for shares in arms and weapon-makers, triggered by the war in Ukraine as well as U.S. pressure on Europe to step up its defense capabilities.
($1 = 0.8391 euros)
(Reporting by Christoph Steitz in Frankfurt; Editing by Matthew Lewis and Ludwig Burger)
