MTU Aero Engines AG has forecast continued growth and improved earnings for 2025, expecting revenues between €8.3 and €8.5 billion. Adjusted EBIT is projected to rise in the low-to-mid teens percentage range, with adjusted net income expected to grow in line with EBIT. Free cash flow is anticipated to remain in the low triple-digit million-euro range, influenced by the ongoing Geared Turbofan fleet management plan.
“We will maintain strict cash management as planned, which will also impact our dividend proposal for 2024,” said Peter Kameritsch, CFO of MTU Aero Engines AG. A dividend of €2.20 per share—10% higher than the previous year—will be proposed at the Annual General Meeting on 8 May 2025. This reflects a balance between the financial demands of the fleet management plan and MTU's robust growth outlook.
MTU expects significant growth in all areas in 2025. The commercial series business is forecast to see the highest increase, with organic growth in the mid-teens percentage range. Revenue from commercial maintenance is projected to grow in the low-to-mid teens, with Geared Turbofan MRO contributing around 40%. Organic revenue growth in the spare parts sector is expected to reach the low-teens percentage range, while the military business is anticipated to grow by mid-to-high single digits.
“We aim to capitalise on strong growth drivers across all business segments to further MTU's success,” stated CEO Lars Wagner. The forecast assumes a US dollar/euro exchange rate of 1.10.
MTU has also reaffirmed its increased earnings expectations for 2024, anticipating adjusted EBIT to surpass €1 billion for the first time, with adjusted net income rising in tandem. Revenue is forecast between €7.3 and €7.5 billion, with contributions from all business areas. Free cash flow is expected to remain in the low triple-digit million-euro range for the year. (€1.00 = US$1.05 at time of publication).
