CSG (CSG) Q3 2025 earnings summary

Executive summary

• Revenues surged to €4,485.3m, driven by strong demand in all major product lines, especially medium and large calibre ammunition, and the integration of The Kinetic Group.

• Signed contract for new M/L facility in the U.S. to boost local production and ammunition supply for the U.S. market.

• Strategic partnership with Rába in Hungary and completed new EXCALIBUR ARMY facility, expanding land systems manufacturing.

• Acquired majority stake in ZVI Vsetín and minority stake in Alzchem Group AG, strengthening ammunition production and market position.

• Major acquisitions, segment restructuring, and capital structure optimization supported growth and operational efficiency.

Financial highlights

• 9M 2025 revenues reached €4.5bn, up 30% YoY; LTM combined revenues at €6.2bn, up 20% from FY 2024.

• Adjusted Operating EBIT at €1.1bn (+27% YoY); Adjusted Operating EBITDA at €1.2bn (+31% YoY).

• Net profit from continuing operations rose 22.5% to €511.5m, with total profit up 24.6% to €513.3m.

• Total backlog and pipeline at €32bn as of Sep 2025.

• Net leverage at 2.1x; cash conversion at 26%.

Outlook and guidance

• FY 2025E revenue expected to exceed €6.4bn; FY 2026E projected at €7.4–7.6bn.

• Mid-term organic revenue CAGR in the mid-teens; EBIT margin expected to rise to 26–28%.

• CapEx intensity to normalize at 4–5% mid-term; NWC as % of revenue to fall below 20%.

• Backlog increased to €14bn, with a pipeline of €18.5bn, reflecting robust future demand.

• Net leverage targeted below 2x.