Leonardo SpA (FMN) Q2 2026 Earnings Report
DE:FMN Q2 2026 EPS Results
- Actual EPS
- EUR 0.21
- Consensus EPS
- EUR 0.24
- Beat/Miss
- Missed by -EUR 0.02
- One Year Ago EPS
- EUR 0.11
DE:FMN Q2 2026 Revenue Results
- Actual Revenue
- EUR 10.41B
- Expected Revenue
- EUR 5.58B
- Beat/Miss
- Beat by +EUR 4.84B
- YoY Revenue Growth
- +19.78%
Earnings Announcement Details
- Quarter
- Q2 2026
- Date
- 07/31/2026
- Time
- TBA
- Conference Call
- Friday, July 31, 2026
Leonardo SpA's next earnings date is estimated for November 4, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
The call presented a materially improved financial and commercial picture: strong order intake (+40% y/y), revenue growth (+10% y/y), higher profitability (ROS to 7.6%, Q2 EBITA +30%), upgraded full‑year guidance (orders, EBITA, FOCF) and active M&A/portfolio expansion (Iveco IDV, Raft). At the same time, management was candid about near‑term cash impacts (NH90 settlement, higher taxes), integration and non‑recurring costs, an elevated net debt post‑acquisition, lingering losses in Aerostructures and regulatory/timing risks around large strategic transactions. Overall, positives (commercial momentum, margin improvement, guidance upgrades) outweigh the negatives, though execution and integration risks remain important to monitor.
Leonardo upgraded its 2026 guidance: orders raised to €28.2bn (from prior €26/25bn targets), revenues confirmed at €22.1bn, EBITA increased to €2.21bn (implying a double‑digit EBITA margin target for 2026), free operating cash flow guidance lifted to €1.37bn and net debt pro forma targeted to fall to €2.2bn. This outlook incorporates the 9‑month consolidation of Iveco Defence Vehicles (IDV) (IDV 9‑month revenue target ~€1.1bn, orders ~€1.2bn; H1 IDV revenues ~€0.4bn, H1 IDV orders ~€0.6–0.7bn, IDV backlog ~€6bn), and follows a strong H1 (orders ~€16bn; backlog ~€59bn; book‑to‑bill 1.6; EBITA H1 ~€0.73bn; ROS 7.6%, +110bps; adjusted net income +74%; FOCF up ~40–45% YoY), which underpins the upgraded guidance.
- Strong Order MomentumOrders up ~40% year‑over‑year in H1 2026 (H1 orders ~EUR 16bn); total backlog ~EUR 59bn (including Iveco). Book‑to‑bill improved to 1.6 (vs 1.3 in 2025). Guidance for full‑year orders upgraded from ~EUR 26bn to EUR 28.2bn.
- Revenue GrowthRevenues increased ~10% year‑on‑year in H1 2026 and are in line with the full‑year guidance of EUR 22.1bn (guidance for revenues maintained despite upgrades elsewhere).
- Improved Profitability and EBITA UpgradeReturn on sales (ROS) improved to 7.6% (c.+110 basis points vs prior period). Q2 EBITA ~EUR 0.73bn (approximately +30% y/y). Full‑year EBITA guidance raised to EUR 2.21bn (anticipating double‑digit EBITA earlier than initially planned).
- Adjusted Net Income and Cash Generation ProgressAdjusted net income increased ~74% year‑on‑year. Free operating cash flow improved materially (management cited +40% to +45% improvement y/y) and full‑year FOCF guidance upgraded to EUR 1.37bn.
- Strategic M&A and Portfolio ExpansionCompleted acquisition of Iveco Defence Vehicles (IDV) consolidated from April 1; DRS announced planned acquisition of Raft (~EUR 400m) to close in Q4 2026. IDV contributed ~EUR 6bn backlog and ~EUR 0.6–0.7bn orders in the period and ~EUR 0.4bn revenues in Q2.
- Division‑Level OutperformanceDefence Electronics, Helicopters and Aeronautics delivered strong performance: Defence Electronics EBITA up ~20%; Electronics Europe revenue +15%; DRS organic growth +8% in dollars; Aerostructures revenues +44% (driven by B787 rates); Cyber revenue growth highlighted (+34% in one comment). Helicopter deliveries increased from 72 to 81 units (mix shifted to larger helicopters).
- Balance Sheet and Leverage Targets IntactNet debt rose to ~EUR 3.2bn after the Iveco acquisition but management highlighted that excluding MBDA cash the adjusted net debt is ~EUR 1bn and is aligned with the three‑year leverage targets; updated guidance expects net debt to reduce to ~EUR 2.2bn by year‑end.
- Execution and Commercial Wins on Key ProgramsNotable contract wins and milestones in H1 included NMH order for the U.K. MOD (helicopters), M‑346 orders (Austria and Italian Acrobatic Team), SAMP/T ballistic missile defence and other key export wins; GCAP collaboration progress (additional observer Canada) and progress on Michelangelo air‑defence demos.
DE:FMN Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Nov 04, 2026 | 2026 (Q3) | 0.25- | 0.16 | ― | ― |
| Jul 31, 2026 | 2026 (Q2) | 0.240.21 | 0.11 | 95.12% (+0.10) | |
| May 06, 2026 | 2026 (Q1) | 0.100.15 | 0.33 | -55.28% (-0.18) | |
| Feb 25, 2026 | 2025 (Q4) | 0.420.43 | 0.41 | 4.35% (+0.02) | |
| Nov 05, 2025 | 2025 (Q3) | 0.140.16 | 0.12 | 29.29% (+0.04) | |
| Jul 30, 2025 | 2025 (Q2) | 0.120.11 | 0.07 | 66.22% (+0.04) | |
| May 08, 2025 | 2025 (Q1) | 0.080.33 | 0.37 | -11.72% (-0.04) | |
| Feb 20, 2025 | 2024 (Q4) | 0.310.41 | 0.36 | 12.47% (+0.05) | |
| Nov 07, 2024 | 2024 (Q3) | -0.030.12 | 0.07 | 86.67% (+0.06) | |
| Jul 30, 2024 | 2024 (Q2) | 0.140.07 | 0.14 | -51.63% (-0.07) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.