German Warship Maker TKMS Hits Record $24.2 Billion Order Backlog as Europe's Defence Spending Surges

Since listing on the stock market in October, TKMS, the German warship builder majority-owned by engineering group Thyssenkrupp, has benefited from a sharp rise in European defence spending as countries cut military dependence on the United States. The company attributed the surge in demand to Russia's war against Ukraine and the ongoing military conflict between Israel, the U.S., and Iran. TKMS's order backlog climbed to 20.6 billion euros ($24.2 billion) at the end of March, up from 18.7 billion euros at the end of December. Its submarine and sonar divisions drove first-half results above expectations, with adjusted operating profit rising 13.2% to 60 million euros against an expected 59 million, and sales climbing 10.2% to 1.17 billion euros against an expected 1.10 billion euros.