- Alstom’s first-half adjusted EBIT stood at €515 million, up 18% year-over-year, exceeding the estimate of €504.7 million.
- Negative free cash flow was reported at €138 million.
- Sales amounted to €8.78 billion, a 3.9% increase year-over-year, slightly beating the forecast of €8.77 billion.
- Rolling Stock sales were €4.53 billion, a 1.5% increase year-over-year but below the estimate of €4.58 billion.
- Services sales reached €2.20 billion, exceeding expectations with an 11% rise, compared to the estimated €2.14 billion.
- Systems sales came in at €800 million, up 6.5% year-over-year but short of the €808.2 million estimate.
- Signalling sales were €1.25 billion, a 0.3% increase year-over-year, slightly below the estimated €1.27 billion.
- The company received orders worth €10.95 billion, a 30% increase year-over-year, surpassing the forecast of €10.74 billion.
- Rolling Stock orders decreased by 16% year-over-year to €4.42 billion, missing the estimate of €5.09 billion.
- Services orders surged 92% year-over-year to €4.11 billion, far exceeding the estimate of €3.29 billion.
- Systems orders fell significantly by 71% year-over-year to €443 million, below the expected €599.3 million.
- Signalling orders increased substantially to €1.98 billion, compared to €939 million the previous year, and beat the estimate of €1.8 billion.
- The backlog was reported at €94.37 billion, slightly above the estimated €94.17 billion.
- The 2025 forecast includes maintaining a book to bill ratio above 1%, with an estimated 1.1%.
- The company expects an adjusted EBIT margin of about 6.5%, aligning with the estimate of 6.47%.
- Free cash flow for 2025 is projected to range between €300 million and €500 million, compared to the estimate of €362.3 million.
- Alstom anticipates organic sales growth of around 5% for the fiscal year.
- The CEO stated that demand driven by green mobility policies remains strong and resilient to geopolitical tensions.
- Focus is on managing the project portfolio amid supply chain challenges and driving cost efficiencies.
- Mid to long-term ambitions remain unchanged.
“`
A look at Alstom Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts examining the Smartkarma Smart Scores for Alstom have identified a positive long-term outlook for the company. With strong scores in Value and Growth factors, Alstom is perceived to be well-positioned for potential growth and value appreciation. The company’s focus on developing and marketing integrated transportation systems, including high-speed trains and digital mobility solutions, aligns with the current market trends and demands.
Additionally, Alstom’s Momentum score of 5 suggests a high level of market momentum, indicating potential upward movement in the near future. While the company scored lower in the Dividend and Resilience categories, the overall outlook remains favorable, indicating a promising future for investors considering Alstom for their portfolios.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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