CSG posts stronger-than-expected half-year revenue on ammunition boom
CSG beat half-year revenue forecasts at €3.3 billion, lifted by ammunition demand and land systems growth; backlog hit €46 billion.
Czech defence manufacturer CSG has beaten market expectations for the first half of the year, reporting revenue of €3.3 billion against a consensus forecast of €3.14 billion. The company credited sustained demand for ammunition and a production ramp-up in its land systems division for the outperformance.
Its core Defence Systems segment, which covers ammunition and armoured vehicles, expanded by 27% year on year. Operating profit reached €784 million, also edging past the €764 million analysts had projected.
CSG noted that demand for ammunition remains robust, particularly as Ukraine shifts towards longer-range 155mm artillery rounds — a segment with limited European manufacturing capacity. At the same time, governments across Europe are prioritising both stockpile replenishment and the expansion of domestic production lines.
The company's order backlog and pipeline grew to €46 billion, up from €44 billion in March, signalling sustained forward demand. CSG reaffirmed its full-year financial targets without providing further detail.