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MTU Aero Engines forecasts continued profitable growth in 2025

Download: Printable PDF Date: 01 Dec 2024 06:51 (UTC) category:
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MTU Aero Engines forecasts continued profitable growth in 2025  - Maintenance / Trainings publisher
Dana Ermolenko
Aircraft: Airplanes

MTU Aero Engines AG expects further growth and improved earnings for 2025. Revenue between €8.3 and €8.5 billion is expected in 2025. Adjusted EBIT should increase in the low-to-mid teens percentage range. Adjusted net income is expected to rise in line with adjusted EBIT. MTU anticipates free cash flow in the low triple-digit million euro range in 2025. MTU plans to propose a dividend of €2.20 per share to the Annual General Meeting on May 8, 2025, ten percent higher than in the previous year. This means the dividend proposal is once again a balance between the financial impact of the Geared Turbofan fleet management plan and MTU’s strong growth prospects.

Peter Kameritsch, CFO of MTU Aero Engines commented: “As planned, free cash flow will continue to be affected by the Geared Turbofan fleet management plan next year. We are therefore keeping our strict cash management unchanged. This also has an effect on our dividend proposal for the 2024 fiscal year.” 

Growth in all business areas

MTU expects the strongest growth in the commercial series business, with an organic increase in the mid-teens percentage range in 2025. Organic growth in revenue from commercial maintenance should be in the low-to-mid teens percentage range in 2025, with Geared Turbofan MRO accounting for around 40%. Organic revenue growth in the spare parts business will likely be in the low teens percentage range in 2025. MTU anticipates that the military business will grow revenue in the mid-to-high single-digit percentage range. 

MTU CEO Lars Wagner stated: “We will maintain MTU’s record performance in 2025. The company has excellent future prospects that will be reflected in growth across all business areas. There are strong growth drivers in all business segments that we want to use to positive effect for MTU’s development. This forecast is based on a US dollar/euro exchange rate of 1.10.”

Earnings forecast for 2024 confirmed

MTU increased its earnings forecast for 2024 when it presented the quarterly figures on October 24: Adjusted EBIT in 2024 is expected to exceed the one billion mark for the first time. Adjusted net income is likely to increase in line with adjusted EBIT. MTU predicts revenue of between €7.3 and €7.5 billion. All business areas should contribute to revenue growth. Free cash flow is expected to be in the low triple-digit million euro range for 2024.





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