The Italian aerospace, defense, and security giant Leonardo has capped off a stellar 2025 fiscal year, setting the stage for continued momentum. The company’s shares recently reached a new 52-week peak of €64.44, reflecting a substantial gain of nearly 20% over the past month. This impressive market performance is underpinned by concrete operational and financial achievements, including record orders and a significantly strengthened balance sheet.
Strategic Acquisition Fuels Digital Ambitions
Looking to secure its future growth, Leonardo is actively expanding its technological footprint. In a strategic move announced this Wednesday, the company entered into a definitive agreement to acquire the British cybersecurity firm Becrypt. This acquisition is designed to bolster Leonardo’s position within the crucial “Five Eyes” intelligence alliance and enhance its portfolio of proprietary security solutions. Subject to regulatory approvals, the transaction is anticipated to close in the second quarter of 2026.
Record Orders and Financial Fortitude
A key driver of investor confidence has been the remarkable inflow of new business. In 2025, order intake surged by 15% to an all-time high of €23.8 billion. This robust demand translated directly into the bottom line, with operating income climbing 18% to reach €1.75 billion. Significant contributions came from the defense electronics, security, and helicopter and aircraft divisions.
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Financially, the company has made remarkable strides in reducing its debt burden. Leonardo’s net debt was slashed by 44% to just €1 billion. This deleveraging was facilitated by a powerful 21% increase in operating cash flow, providing the firm with greater financial flexibility and resilience.
Shareholder Rewards and an Upbeat Outlook
Shareholders are set to receive a direct benefit from this strong performance. The board has proposed a dividend of €0.63 per share, representing a substantial 21% increase over the previous payout.
Management’s forward guidance further reinforces the optimistic narrative. For the current 2026 fiscal year, Leonardo is targeting revenues of approximately €21 billion and new orders worth around €25 billion. Furthermore, as part of its long-term strategic plan, the company aims to achieve annual revenues exceeding €30 billion by the end of the decade.
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