Leonardo Revenue Growth Targets $32.5 Billion by 2029
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Leonardo Aims for $32.5 Billion Revenue Growth by 2029

**Leonardo is set to significantly boost its revenue, aiming for $32.5 billion by the year 2029.** The company plans to achieve this ambitious target by leveraging new joint ventures, organic growth initiatives, and the rising defense expenditures across Europe, particularly in the wake of heightened tensions arising from the Russia-Ukraine conflict. Currently, Leonardo’s revenue stands at €17.8 billion ($19.3 billion), and the goal is to elevate this figure to €30 billion ($32.5 billion).

According to insights from Defense News, Leonardo’s new industrial strategy for the period from 2025 to 2029 is grounded in performance projections from the year 2024. The company anticipates a remarkable 20.9% surge in orders, forecasting a total value of €20.9 billion ($22.7 billion). During a presentation to analysts, CEO Roberto Cingolani highlighted that the European Union’s plans for increased defense spending would potentially boost Leonardo’s order volume by an additional €2-3 billion ($2.2-3.3 billion) from Italy alone, along with similar contributions expected from other European clients.

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Strategic Partnerships and New Ventures

Leonardo’s projections also include a total order increment of €6 billion ($6.5 billion). Cingolani indicated that this boost in orders necessitates a substantial expansion of production capacity. One of the significant aspects of Leonardo’s plans includes a new joint venture with Germany’s Rheinmetall, aimed at producing advanced tanks and armored combat vehicles for the Italian Army between 2025 and 2029. This partnership is expected to generate approximately €1 billion ($1.1 billion) in revenue for the firm.

In alignment with the GCAP (Sixth Generation Fighter Program), Leonardo, along with the UK and Japan, is set to invest €40 billion ($43.4 billion) by 2035. This investment will facilitate the delivery of 300 aircraft post-2035. Additionally, Cingolani revealed that a partnership has been established for Leonardo’s aerospace structures unit, which had faced challenges. While details about the partner in the Boeing 787 production unit remain undisclosed, speculation suggests involvement from Saudi officials following a recent site visit.

Collaboration with Baykar and Satellite Launch Plans

Leonardo has previously expressed support for enhancing Saudi Arabia’s aerospace technology capabilities and fostering participation in the GCAP initiative. Furthermore, a recent joint venture with Baykar was detailed, wherein Leonardo will equip Baykar’s platforms with advanced sensors and electronic systems, including the Britestorm jammer and Gabbiano radar. This collaboration is expected to generate a total revenue of €600 million ($650.3 million) by the year 2029.

As part of its new industrial plan, Leonardo aims to launch a total of 38 new satellites, which will include 18 military satellites, during the period of 2027 to 2028. Notably, six of these military satellites will be equipped with infrared sensors. The Italian Ministry of Defense has already allocated €580 million ($628.6 million) towards the estimated €900 million ($975.4 million) budget for this initiative.

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