IR News details

• Revenue between €8.3 and €8.5 billion expected in 2025
• Adjusted EBIT should increase in the low-to-mid teens percentage range
• Free cash flow in low triple-digit million euro range anticipated in 2025
• Expected dividend proposal of €2.20 per share for 2024

Munich, November 29, 2024 | 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. “As planned, free cash flow will continue to be affected by the Geared Turbofan fleet management plan next year,” says Peter Kameritsch, CFO of MTU Aero Engines AG. “We are therefore keeping our strict cash management unchanged. This also has an effect on our dividend proposal for the 2024 fiscal year.” 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.

Growth in all business areas

“We will maintain MTU’s record performance in 2025,” says MTU CEO Lars Wagner. “The company has excellent future prospects that will be reflected in growth across 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. “There are strong growth drivers in all business segments that we want to use to positive effect for MTU’s development,” says Wagner. 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.

Cautionary note regarding forward-looking statements  

Certain of the statements contained herein may be statements of future expectations and other forward-looking statements that are based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Actual results, performance or events may differ materially from those in such statements due to, without limitation, competition from other countries in MTU Aero Engines’ industry and MTU Aero Engines’ ability to retain or increase its market share, the cyclicality of the airline industry, risks relating to MTU Aero Engines’ participation in consortia and risk and revenue sharing agreements for new aero engine programs, risks associated with the capital markets, currency exchange rate fluctuations, regulations affecting MTU Aero Engines’ business and MTU Aero Engines’ ability to respond to changes in the regulatory environment, and other factors. Many of these factors may be more likely to occur, or more pronounced, as a result of terrorist activities and their consequences. MTU Aero Engines assumes no obligation to update any forward-looking statement.