As the German defense industry giant Rheinmetall plans to build a 155 mm artillery ammunition factory in Lithuania, BNS presents the main facts about the German concern founded at the end of the 19th century, which would become one of the largest investors in the history of the country and the largest investor in the defense industry.
jav-investiciju-fundai-ir-bankai-societe-generale">Shareholders include US investment funds and banks, Societe Generale
Rheinmetall AG is located in the German city of Dusseldorf and is the main company of the Rheinmetall group. Last year, the group consisted of 218 companies in Germany and abroad.
At the end of last year, 66 percent Rheinmetall's shares were owned by institutional investors, 37 percent of which – in North America, 21 percent. – in Europe, 8 percent. – in the rest of the world.
22,6 percent the company's shares are owned by private shareholders, 11,1 percent. – other investors, 0,3 percent. - the company itself.
Among the largest shareholders of Rheinmetall are global investment managers: 10,97 percent. owned by Societe Generale, the oldest bank in France, 5,56 percent. - US investment company BlackRock, 5,17 percent. - Bank of America investment bank.
After 4,99 percent shares are owned by the US investment management company "Wellington Management Group", the US financial services company "Capital Group Companies" and one of the largest US investment funds, FMR LLC (Fidelity Investments), 4,69 percent. - US bank Goldman Sachs, 3,83 percent. - Swiss bank UBS.
Last March, Rheinmetall was included in the prestigious German stock index DAX, which includes 40 of the country's leading companies.
Rheinmetall expands capacity in Europe, PAR, Australia
Rheinmetall has factories in 12 countries around the world: in addition to Germany, Austria, Switzerland, Romania, Canada, UK, USA, PAR, Australia, Spain, Italy and Hungary.
In Hungary, in Zalaegerszeg, the newest plant of the concern was opened last August, where the Lynx infantry fighting vehicles for the country's forces are manufactured. Two more new factories of the concern are being built in Hungary - an ammunition factory is being built in the town of Varpalota, and the construction of a factory of electronic components for transport started in Szeged at the end of March.
In February, the construction of an ammunition factory also began in the northern German city of Unterlius, in the Rheinmetall industrial complex. It is planned that production will start in 2025 NATO standard 155 mm caliber shells, and the production volume should reach 200 thousand. of shells per year.
The management of Rheinmetall announced in March that it plans to build at least four factories and in Ukraine – they would produce ammunition, military vehicles, gunpowder and anti-aircraft weapons.
In addition, Rheinmetall plans to increase capacity in Germany, Spain, PAR, Italy, Australia and Romania. In early April, the concern announced that it would soon open a maintenance center for military equipment used in Ukraine's fight against Russian forces in Romania.
This year, they expect to increase their income by 39 percent. up to 10 billion euros
The consolidated sales of the Rheinmetall group grew by 12 percent last year. to 7,18 billion euros (2022 billion euros in 6,41), of which 76 percent received outside Germany. Despite the fact that 7,4-7,6 billion was expected. EUR revenue, the group still calls the result a record.
This year, the concern expects a record 10 billion. EUR sales - 39 percent. bigger than last year.
Most of the income last year was received in European countries (excluding Germany) - 47,4 percent. (3,4 billion euros), in Germany - 24 percent. (1,72 billion euros), in Asia and the Middle East - 11,4 percent. (817 million euros), in North, Central and South America - 8,3 percent. (594 million euros) in other regions - 8,9 percent. (642 million euros).
Rheinmeall announces that it has significantly increased sales of transport systems, weapons and ammunition last year, which was also influenced by the increased demand due to the war in Ukraine. In addition, the concern acquired the Spanish defense industry company Expal Systems in August last year.
"As a result, the production capacity was significantly expanded, especially for artillery, mortars, and medium-caliber ammunition. "Rheinmetall has further expanded its position as an important supplier of the NATO armed forces," the company announces.
Last year, compared to 2022, Rheinmetall's sales to Ukraine jumped 18 times to 594 million. euros.
Rheinmetall also wants to produce up to 2025 units in all European factories by 700. artillery shells - this year this number will reach 400-500 thousand, and before the Russian invasion of Ukraine in 2022 - 70 thousand.
The group's profit before interest and taxes (EBIT) reached 968 million last year. euros, or 29,6 percent. more than in 2022.
The value of shares jumped more than 5 times in two years
Russia's invasion of Ukraine in February 2022, increased defense spending by European countries and the increased importance of the defense industry increased the market value of Rheinmetall shares. On February 2022, 25, the company's shares rose by 5,4 percent. to 101,2 euros, and on March 28 of the same year, for the first time in history, their value exceeded 200 euros.
On the German electronic platform "Xetra", the value of the concern's shares reached 531,8 euros on Wednesday.
Rheimnetall has been managed by Armin Papperger since 2013. In addition to him, Peter Sebastian Krause and Dagmar Steinert, the company's financial manager, also work on the board of Rheinmetall.
Author Giedrius Gaidamavičius
