Alstom's Impressive Performance in the First Quarter of FY 2025/26
Alstom has marked a remarkable beginning to the fiscal year 2025/26 with significant achievements in orders and sales. The company's order intake for the first quarter reached an impressive €4.1 billion, showcasing a robust pipeline fueled by diverse projects across various regions.
Record-Breaking Orders and Sales Growth
During the period, Alstom's sales amounted to €4.5 billion, reflecting a 2.8% increase compared to the previous year. When viewed on an organic basis, this growth jumps to a commendable 7.2%. The company also faced some challenges, including a 2.7% headwind from foreign exchange rates due to the euro's strength against other significant currencies. Additionally, the sale of its North American conventional signaling business contributed to a 1.5% reduction in sales due to scope changes.
Key Financial Highlights
As of June 30, 2025, Alstom's backlog stood at an impressive €92.3 billion, ensuring visibility for upcoming sales and reaffirming the company's strong market position. The notable increase in orders is attributed to Alstom's successful products across its portfolio, especially in Maintenance Services, Signaling, and Systems, which collectively made up 42% of the total orders recorded this quarter.
Regional and Project Contributions
Alstom's performance was particularly strong in Europe, which accounted for 85% of the overall order intake during this quarter. Significant orders include a €1.7 billion contract from SNCF Voyageurs for more RER NG trainsets in France, supporting increased commuter capacity. In Bulgaria, Alstom secured a €720 million contract for the supply of Coradia Stream electric trains, showcasing its commitment to sustainable transport solutions.
Sales Breakdown by Product Category
Sales from the Rolling Stock sector totaled €2.4 billion, spurred by ongoing projects in Germany and strong activity in France, the U.S., and Italy. Services reported stable sales at €1.07 billion, while Signaling stood at €603 million, with an organic growth of 9%, indicating strength in execution across various regions despite previous scope reductions. Alstom's Systems sales surged by 25%, driven by the ramping up of turnkey projects in Brazil and the Philippines.
Outlook and Future Projections
The FY 2025/26 outlook for Alstom remains positive, with the company affirming its sales organic growth guidance of between 3% to 5%. The Group expects to generate a book-to-bill ratio exceeding 1.0x, indicating a healthy balance of incoming orders to sales. With anticipated free cash flow generation between €200 to €400 million, Alstom is poised for continued growth. This year, the company aims to address U.S. tariff implications while maintaining stable production levels compared to the previous fiscal year.
Medium-Term Ambitions
Alstom's commitment to its medium-term aspirational targets reaffirms its long-term strategic vision as outlined in previous announcements. The company aims to enhance its offerings in sustainable transport solutions that resonate with customer needs while promoting low-carbon practices in mobility.
Key Deliveries and Project Milestones
The first quarter also witnessed significant project milestones across Alstom's operational regions. In France, the metro train for the Grand Paris Express Line 18 has been delivered. Furthermore, the successful deployment of Alstom's innovative solutions is driven by ongoing projects in cities like Kanpur and Indore, enhancing urban mobility in these areas.
Conference Call Announcement
To share more insights into the first-quarter performance, Alstom invites analysts to a conference call, where key executives will discuss outcomes in further detail. This communication will strengthen stakeholder engagement and clarity around the Group's ongoing strategies.
Contacts for Media and Investor Relations
For further queries, media representatives and investors can contact Alstom's dedicated team. Press inquiries can be directed to Philippe Molitor, while investor relations can reach Cyril Guerin for any financial-related questions.
Frequently Asked Questions
What were Alstom's orders and sales figures for the first quarter?
Alstom reported €4.1 billion in orders and €4.5 billion in sales for the first quarter of FY 2025/26.
How does Alstom's organic sales growth look?
The company's organic sales growth is recorded at 7.2%, indicating a strong performance despite economic challenges.
What is Alstom's sales outlook for FY 2025/26?
Alstom expects organic sales growth between 3% to 5% and confirms a book-to-bill ratio higher than 1.0x.
What key contracts were awarded in this quarter?
Notable contracts include a €1.7 billion agreement with SNCF Voyageurs for additional RER NG trainsets and a €720 million project in Bulgaria.
Who can be contacted for more information?
Media inquiries should be directed to Philippe Molitor, while investor relations can be reached through Cyril Guerin.
