Hensoldt (HAG) Q3 2026 earnings summary

Executive summary

• 9M order intake rose 76.7% to €3,564m, book-to-bill was 1.9x, and backlog reached a record €10,367m.

• Revenue grew 21.3% to €1,863m and adjusted EBITDA rose 33.0% to €281m; FY26 revenue and adjusted EBITDA margin expectations were raised.

Financial highlights

• 9M gross profit was €366m vs. €278m; EBIT was €126m vs. €48m, and group profit was €39m vs. a €33m loss.

• Adjusted EBIT rose to €177m from €122m; adjusted net income was €79m vs. €27m.

• Q3 revenue was €696m vs. €591m; adjusted EBITDA was €143m vs. €104m, with margin at 20.6% vs. 17.6%.

• Q3 adjusted free cash flow was positive €32m; 9M adjusted free cash flow was -€104m vs. -€119m in the prior-year period.

• Cash and cash equivalents were €593m at 30 September 2026 vs. €933m at 31 December 2025.

Outlook and guidance

• FY26 revenue guidance increased from ~€2.75bn to ~€2.8bn; adjusted EBITDA margin guidance is ~19%.

• FY26 order intake guidance is €4,125m–€5,500m, with management expecting the upper end; book-to-bill is expected toward the upper end of the 1.5x–2.0x range.

• PEGASUS orders are expected to materialize in early 2027; upper-end order intake expectations exclude those orders.

• FY26 adjusted FCF conversion guidance is 50% of adjusted EBITDA; net leverage is 1.5x and dividend payout is 30%–40% of adjusted net income.

• Capacity expansion is on track to increase radar, Optronics and service output from 2027.