Shareholders approve financial statements, dividend payout and new board as defence and aerospace group posts strong earnings growth.
Leonardo’s NH-90 helicopter. (File Photo).
Leonardo financial result for 2025; Italian aerospace and defence group Leonardo S.p.A. has reported strong financial results for 2025, driven by rising global demand for defence and security technologies, while shareholders also approved a new board of directors and a higher dividend payout.
At the company’s ordinary shareholders’ meeting in Rome, investors approved Leonardo’s 2025 financial statements, endorsed the proposed dividend distribution and confirmed the appointment of a new 12-member board for the 2026–2028 term.
The company reported significant growth across orders, revenues, profitability and cash generation, reflecting continued expansion in core defence and aerospace businesses amid heightened global security spending.
Leonardo said new orders rose to €23.8 billion in 2025, up 14.5% on a like-for-like basis compared with the previous year. The increase was supported by strong performance across multiple divisions, including a major aeronautics contract involving integrated logistics support and training for Kuwait’s Eurofighter aircraft fleet.
The company’s order backlog exceeded €46 billion by the end of 2025, providing production coverage equivalent to roughly 2.4 years of activity.
Revenues and Profitability Show Strong Growth
Leonardo’s revenues climbed to €19.5 billion, representing growth of 10.9% compared with the prior year on a comparable basis.
The company said all major business sectors recorded double-digit expansion, with particularly strong contributions from Defence Electronics & Security, helicopters and aeronautics.
The group’s EBITA — a key measure of operating profitability — rose 18.2% to €1.75 billion, surpassing company expectations.
Operating margins also improved, with return on sales rising from 8.4% to 9.0%.
Leonardo attributed the gains primarily to higher production volumes and improved profitability in key defence operations, despite adverse exchange-rate effects impacting its US subsidiary, Leonardo DRS.
The company also reported growth in its Cyber & Security Solutions division and improvements in the space sector, where service-related activities continued expanding.
Adjusted net profit increased 18.6% to €1.02 billion, benefiting from stronger operating performance and lower financial costs linked to reduced debt levels.
The reported net result reached €1.33 billion, supported by capital gains from the sale of the Underwater Armaments & Systems business to Fincantieri and the partial disposal of shares in Avio S.p.A..
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Cash Generation and Debt Position Improve
Leonardo also strengthened its cash flow position during the year.
Free operating cash flow increased 22.4% to just over €1 billion, reflecting stronger business performance and tighter working-capital management.
The company’s net debt fell sharply by 44.2% to €1 billion at the end of 2025, compared with €1.8 billion a year earlier.
The improvement was driven by higher cash generation and proceeds from asset disposals, although partially offset by dividend payments, acquisitions and lease agreements.
During the year, Leonardo acquired a 24.55% stake in Finnish cybersecurity company SSH Communications Security Corporation and completed the acquisition of Swedish cybersecurity specialist Axiomatics AB, signalling the group’s growing focus on cyber and digital security capabilities.
Shareholders Approve Dividend Increase
Shareholders approved a proposed dividend of €0.63 per share for the 2025 financial year.
The dividend will be paid on June 24, 2026, with the coupon detachment date set for June 22 and the record date for June 23.
The payout reflects Leonardo’s improved earnings and stronger financial position as European defence companies continue benefiting from elevated military expenditure and strategic security investments.
Lorenzo Mariani, Leonardo CEO.
New Board Appointed for 2026–2028
The shareholders’ meeting also approved the appointment of Leonardo’s new board of directors for the 2026–2028 term.
Francesco Macrì was appointed chairman of the board with overwhelming shareholder support.
The newly appointed board includes:
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Francesco Macrì
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Lorenzo Mariani
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Trifone Altieri
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Roberto Diacetti
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Enrica Giorgetti
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Elena Grifoni
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Dominique Levy
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Cristina Manara
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Francesco Soro
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Maurizio Tucci
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Elena Vasco
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Rosalba Veltri
Institutional shareholders, largely international investors, represented approximately 51.36% of the share capital present at the meeting, underlining continued global investor interest in Europe’s expanding defence and aerospace sector.
European Defence Industry Continues Expansion
Leonardo’s strong 2025 performance reflects broader trends across Europe’s defence industry, where companies are benefiting from sustained increases in military spending following geopolitical tensions, the war in Ukraine and growing demand for advanced security technologies.
The company’s expanding order pipeline and improved profitability position it among Europe’s leading defence manufacturers at a time when governments across NATO are accelerating investments in aerospace, cyber security, defence electronics and military modernisation.
Analysts say Leonardo’s combination of defence electronics, helicopters, aeronautics, cyber capabilities and space technologies places the group in a favourable position as European nations continue strengthening strategic autonomy and defence-industrial capacity.
