Steyr Motors: Upward trend in the armaments sector ensures record sales!

Steyr Motors: Upward trend in the armaments sector ensures record sales!

What's going on in the world of Steyr Motors? The Austrian engine manufacturer could soon play an even bigger role in the defense sector. The company based in Steyr has recently published impressive quarters. According to a report by Börse Express in the first quarter of 2025 rose by 26.4% to 11.5 million euros. The defense area even increased by 35% and now accounts for 59% of total sales.

The prospects for 2025 are promising: the company expects at least 40% of the sales of at least 40% and an EBIT margin of over 20%. A recently concluded US framework contract could also cause momentum internationally. The share price was last 51.00 euros-a 52-week high.

growth plans and strategic orientation

Steyr Motors looks optimistic about the future. In addition to strong organic growth, the company plans to consolidate its market position through strategic acquisitions. CEO Julian Cassutti emphasizes the active search for takeover destinations in order to expand both geographically and in the product on the product, as in a report by Steyr Motors can be read.

In addition, the need for tailor-made engines for defense and civil applications has also grown at an international level. High demand is particularly expected from the Mena region and Asian space. New sales channels in China and the new customer tribe in Taiwan, Vietnam, India and Indonesia contribute to stability and expansion. In addition, one plans to complete at least one successful purchase in 2025.

market developments in the defense sector

But what are the background of the current upswing? The armaments sector worldwide is under pressure. According to Mordor Intelligence show many large companies in this area to form fatigue due to political uncertainties and tense budget situations. Nevertheless, the market for defense expenditure remains strong, also due to the continuing conflict between Russia and Ukraine, which brings an increasing basic demand for advanced defense weapons and ammunition.

The European Union plans to provide a defense investment budget of USD 1.30 billion to support naval projects, which further increases pressure on companies like Steyr Motors. The modernization of the defense forces in Europe provides additional options. Steyr Motors has positioned itself well and benefits from this dynamic.