BERLIN, June 10 (Reuters) – The CEO of Germany’s largest defence contractor Rheinmetall (RHMG.DE) mentioned he anticipated an extra increase to the corporate’s inventory market worth because of the Ukraine struggle and elevated defence spending in Europe.
“Our working revenue in 2025 must be about 1.5 billion euros ($1.6 billion), perhaps even 1.7 billion euros. For a good valuation, multiply that with an element of 11 or 12. That provides you an order of magnitude,” CEO Armin Papperger informed German newspaper writer RND in an interview printed on Satursday.
“A valuation of 17 billion euros is reasonable for Rheinmetall over the medium time period,” he added.
Rheinmetall’s present inventory valuation is about 10.5 billion euros, on 2022 working revenue of 754 million euros.
The inventory market worth of the corporate, a maker of tanks, ammunition and different struggle tools, has tripled since December 2021 and it joined Germany’s blue-chip DAX (.GDAXI) index earlier this yr.
($1 = 0.9305 euros)
Reporting by Christian Kraemer, Holger Hansen, Writing by Sabine Siebold
Enhancing by Kirsti Knolle and Madeline Chambers
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