MTU Aero Engines (MTX) Q4 2025 earnings summary

Executive summary

• Achieved record financial results in 2025, with adjusted revenue of EUR 8.7 billion, EBIT of EUR 1.35 billion, and net income at all-time highs, surpassing guidance on all key metrics.

• Strong performance in Commercial OEM and MRO segments drove growth, supported by robust airline demand and traffic increases.

• Strategic focus on technology advancement, emission-free flying, and global expansion, including new facilities in Fort Worth, Texas, and China.

• GTF fleet management plan remains on track, supporting operational reliability.

• Order book reached $29.5 billion, effectively selling out capacity for the next three years.

Financial highlights

• Revenue grew 16% year-over-year to EUR 8.7 billion; adjusted EBIT increased 29% to EUR 1.35 billion, with margin at 15.5%.

• Adjusted net income rose 27% to EUR 968 million; adjusted EPS up 27% to EUR 17.79.

• Free cash flow reached EUR 378 million, more than doubling year-over-year.

• Dividend increased by 64% to EUR 3.60 per share, with a payout ratio of 20%.

• Order backlog reached EUR 29.5 billion, up 3% year-over-year.

Outlook and guidance

• 2026 revenue expected between EUR 9.2 billion and EUR 9.7 billion, with adjusted EBIT of EUR 1.35–1.45 billion.

• Cash conversion rate projected to improve to 45%-55% in 2026.

• GTF MRO revenue share expected at 40%-45% in 2026.

• All business areas expected to grow, supporting midterm revenue target of EUR 13–14 billion and EBIT margin of 14.5–15.5% by 2030.

• Commercial OE and MRO revenues expected to grow mid to high teens in USD.