Leonardo lifts growth targets in shift to digital defence
Leonardo is shifting focus to digital defence with a new five-year plan. The group expects to double core profits and reach 142 billion euros in orders by 2030.
Italy's leading defense and aerospace group, Leonardo S.p.A., has announced a strategic pivot toward digital defense, significantly increasing its investment in artificial intelligence, cybersecurity, and high-performance computing over the next five years. This shift marks a transition from traditional defense models to an integrated security approach driven by advanced technology.
Under the direction of CEO Roberto Cingolani, the company is moving away from a hardware-centric focus. Cingolani has characterized this evolution as a move from "bullets to bytes," emphasizing the development of interconnected platforms and digital solutions.
"The group now benefits from a competitive advantage that few others possess, enabling us to develop products and solutions capable of addressing further threats," Cingolani said in a statement.
A key pillar of the new industrial plan is the Michelangelo Dome, a multi-layered air defense system. Leonardo expects this technology to unlock business opportunities estimated at 21 billion euros over the coming decade.
The company's financial targets through 2030 reflect this growth trajectory. Leonardo forecasts cumulative orders of 142 billion euros by the end of the decade, representing a compound average annual growth of 6.1%. Revenues are projected to rise by an average of 9% per year between 2026 and 2030, reaching a total of 126 billion euros. Core profits are expected to double from 2025 levels, hitting 3.59 billion euros by the end of the plan.
In the short term, the group continues to demonstrate strong performance. For the current year, Leonardo projects orders of approximately 25 billion euros, up from 23.8 billion euros in 2025. Revenues are expected to reach 21 billion euros, compared to 19.5 billion euros last year. Earnings before interest, taxes, and amortization are forecast to grow to 2.03 billion euros by year-end. Additionally, the company has proposed a dividend of 0.63 euros per share based on its recent performance.
