Kitron Secures Major Order for Naval Strike Missile Electronics, Bolstering Defense Portfolio

Kitron, a leading Scandinavian electronics manufacturing services company, has received a significant order from Kongsberg Defence & Aerospace (KONGSBERG) for electronics for the Naval Strike Missile (NSM). The order, valued at over NOK 500 million (approximately $47 million), will see deliveries running from 2025 through 2026, with production taking place at Kitron’s facility in Arendal, Norway. This new order further strengthens Kitron's position in the defense and missile systems market and aligns with the company's long-term growth expectations.

Kitron's VP Nordics & North America region, Hans Petter Thomassen, expressed his pleasure at the announcement, stating that it confirms Kitron's previous communication about increased demand in the Defence and Aerospace sectors, particularly affecting their Norwegian operations. The NSM, an anti-ship and land-attack missile, has been in service with the Royal Norwegian Navy since 2012 and has also been procured by the militaries of Poland, Germany, the US, and the UK. The missile is capable of striking targets over 200 kilometers (124 miles) away and features greater maneuverability and sea-skimming capabilities, making it a highly sought-after weapon system.



The new order from KONGSBERG is a continuation of Kitron's long-term collaboration with the company, which has been strengthening over time. Kitron's ongoing investment in a new production facility in Arendal is well aligned with this increase in orders, ensuring secure and efficient deliveries for this critically important system. The order also aligns with Kitron's long-term growth expectations outlined in their Capital Markets Presentation on December 10, 2024, further solidifying Kitron's position in the defense and missile systems market.

Kitron's President and CEO, Peter Nilsson, commented on the new order, stating that it aligns with the company's medium-term financial goals, including 10 percent organic revenue growth over a business cycle, with M&A adding upside, and a 9 percent operating margin (EBIT). The order is expected to contribute to Kitron's revenue growth and capacity utilization, supporting the company's strategic planning for the coming years.



In conclusion, Kitron's receipt of a major order for Naval Strike Missile electronics from Kongsberg Defence & Aerospace is a testament to the company's strong position in the defense and missile systems market. The order, valued at over NOK 500 million, will contribute to Kitron's revenue growth and capacity utilization, supporting the company's long-term growth expectations. As the defense sector continues to grow, Kitron is well-positioned to capitalize on this trend and maintain its competitive edge in the market.