TKMS (TKMS) German Select VII Conference summary

Business Overview and Market Position

• Leading supplier of conventional submarines, providing 70% of NATO's fleet and serving over 50 user countries with more than 325 vessels delivered globally.

• Three main segments: Submarines, Surface Vessels (frigates), and Atlas Elektronik (sonar, combat systems, underwater drones), with an integrated "system-of-systems" offering.

• Over 185 years of experience, 9,000–9,100 employees, and €2.2 billion in annual sales, split 50% submarines, 25% surface vessels, 25% Atlas Elektronik.

• Defense budgets and industry markets are growing globally, with expected 8% market growth and the attainable maritime defense market set to nearly double by 2033.

• Expansion of production capacity at Wismar shipyard, supported by over €200mn in CAPEX, mainly covered by customer contributions.

Product Portfolio and Innovation

• Submarine segment includes export-focused 209, advanced 214, and most advanced 212CD class, with Stargazer unmanned submarine in development.

• Surface vessels range from large MEKO A-400 air defense frigates to smaller A-100 ships, with contracts in Germany, Egypt, and Brazil, leveraging modular MEKO® designs and international partnerships.

• Atlas Elektronik segment offers sonar, combat systems, underwater drones, mine hunting systems, and torpedoes, with highest growth and margins, and robust growth in naval software and electronics.

• Autonomous systems portfolio includes uncrewed surface and underwater vehicles, with advanced business models such as surveillance-as-a-service.

• Unmanned vehicles like SeaCat and unmanned speedboats are already deployed, with others under development.

Order Backlog and Pipeline

• Current order backlog exceeds €20 billion, nearly 10x annual revenues, driven by submarine and icebreaker contracts, with €18.7bn as of December 2025.

• Major pipeline projects include final negotiations for six submarines with India (sole bidder), up to 12 submarines for Canada (one competitor), and eight F127 frigates for Germany (sole bidder).

• Potential pipeline could double backlog to €40 billion if all campaigns succeed.

• Key sales campaigns underway in all segments, targeting major international contracts through 2030.