Rheinmetall AG announced plans to concentrate its activities on the military business and initiate the sale process for its civil division. The transformation of certain civil plants into defense and security applications, which is already underway, will continue unaffected.
Since April 2025, the Executive Board has been in discussions with potential buyers for the Power Systems division. Following binding offers received, the Management Board decided in December 2025 to negotiate with two bidders, with the aim of signing a contract in the first quarter of 2026. The sale will include Power Systems as well as related non-operating entities.
The civil division activities to be sold have been classified as discontinued operations under IFRS 5. In this context, Rheinmetall will recognize a non-cash impairment loss of 350 million euros. This impairment is allocated to discontinued operations and will not affect the liquidity or earnings of the Group's continuing operations.
From the fourth quarter of 2025 onwards, Rheinmetall's key performance indicators will be reported exclusively for continuing operations. For the 2025 financial year, the Group expects sales growth of between 30% and 35% compared to pro forma 2024 sales of 7.712 billion euros. The operating margin is forecast between 18.5% and 19.0%, up from 18.0% in 2024. Operating free cash flow from continuing operations is also expected to exceed the previously assumed cash conversion rate of 40%.
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June 19, 2026 16:46 ET Major central banks continued to dominate the economic news flow this week too, led by the Federal Reserve, as they announced their latest policy decisions. The Federal Reserve policy session was in focus as it was the first to be led by the new chief Kevin Warsh. In Europe, central banks of the U.K. and Switzerland announced their rate decisions. In Asia, the Bank of Japan drew attention for its policy moves, while data out of China threw some light on the state of the economy.