MILAN — Today Italian state-controlled defense giant Leonardo reported a 31 percent surge in new orders during the first quarter of 2026, reaching €9 billion ($10.6 billion) compared to the same period last year, with the aeronautics division leading in profitability.
The financial results were presented by Roberto Cingolani, whose three-year mandate as company CEO ends on Wednesday. The outgoing defense boss highlighted that revenues reached €4.5 billion in the first three months of the year — a 7 percent increase over 2025 — with a total backlog reaching €57 billion.
The core profit generator currently for Leonardo is aircraft, which accounts for €10.9 billion of the overall backlog. A company data sheet listed a major contract announced last year from the Austrian Air Force for the purchase of 12 M-346 jet trainers, with first deliveries planned for 2028, and additional Eurofighter orders from Germany and Italy as the drivers.
When listing the guidelines for Leonardo’s operations, Cingolani stressed the importance of alliances at the European level to help fight continental fragmentation, as “no one can make it on its own.”
The Italian manufacturer has increasingly pursued new partnerships, including the establishment of a new joint venture, LBA Systems, with Turkish drone-maker Baykar to develop and produce unmanned aerial systems.
Cingolani teased that LBA will launch new drone models in a few weeks. In addition, Iveco Group’s Defense Business (IDV) — acquired by Leonardo in March for €1.6 billion— will soon unveil new land drone concepts, he said.
In April, Baykar’s CEO Haluk Bayraktar told Breaking Defense that a formal Italian acquisition for an undisclosed number of Turkish TB3 combat drones was projected for the third quarter of this year.
As part of his departing address, Cingolani further reaffirmed the company’s prevailing position of being open to expanding the Global Combat Air Programme (GCAP) next-generation fighter consortium to other partners so long as they can bring “technical contributions,” but he ultimately noted that such a decision will remain political.
