“We have to ask ourselves how to increase our delivery capacity,” Chief Executive Roberto Cingolani told analysts during a conference call laying out the company’s new five-year industrial plan.

Cingolani’s comments came after European Union countries agreed last week to boost defence spending, vowing to “re-arm Europe” against the perceived threat from Russia and the risk that the United States might not stand by its NATO allies under President Donald Trump.

“We have to protect ourselves more than before, especially if the relationship with our NATO allies changes” and if Washington takes fewer steps “to protect Europe”, he said.

Were Italy to boost its military spending by one percentage point from its current 1.52 percent of GDP, Leonardo’s revenue would rise by between two billion to three billion euros, he said.

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Defence budgets in Europe have risen following Russia’s 2022 all-out invasion of Ukraine, and are set to increase further as the EU responds to Trump’s demands that allies pay more for their security.

Leonardo said its net profit rose 67 percent to 1.16 billion euros in 2024. Revenues rose 16.2 percent to 17.9 billion euros, with growth in nearly every segment.

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Orders last year were 16.8 percent higher than in 2023, helped by its Electronics for Defence and Security (EDS) division, and its helicopters unit.

Since 2023 when he took over the helm of the group, which is 30 percent owned by the Italian state, Cingolani has worked to build alliances with other European defence groups to compete with US and Chinese rivals.

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