Rheinmetall and Wacker Chemie Post Strong FY25 Results, Unveil 2026 Outlook

The German industrial landscape is currently defined by a stark divergence between traditional manufacturing and the rapidly expanding defense sector. This contrast is vividly illustrated in the latest earnings reports from Rheinmetall AG and Wacker Chemie AG, both of which have unveiled their full-year 2025 results and introduced guidance for fiscal year 2026. Rheinmetall, the Düsseldorf-based defense contractor, has emerged as a primary beneficiary of the structural shift in European security policy, reporting a GAAP earnings per share (EPS) of €22.73 on revenue of €9.94 billion. This performance places the company on the cusp of the €10 billion revenue milestone, a psychological and financial threshold that underscores its transformation into a global defense powerhouse.

The driver behind Rheinmetall’s record-breaking year is the sustained demand for land systems, ammunition, and digitalization solutions across NATO member states. As European nations scramble to replenish stockpiles and modernize their armed forces, Rheinmetall has secured a massive backlog that provides high visibility into its 2026 outlook. The company’s ability to scale production—particularly in 155mm artillery shells and armored vehicles—has allowed it to capture a significant share of the increased German defense budget and international orders. For investors, the €22.73 EPS figure represents not just a cyclical peak, but a new baseline for a company that was once heavily reliant on the lower-margin automotive components business.

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This contrast is vividly illustrated in the latest earnings reports from Rheinmetall AG and Wacker Chemie AG, both of which have unveiled their full-year 2025 results and introduced guidance for fiscal year 2026.

In contrast, Wacker Chemie AG’s results reflect a more complex industrial environment. Reporting a GAAP EPS of €16.53 and revenue of €5.49 billion, the Munich-based chemical giant has navigated a period of volatile energy prices and shifting demand in the global semiconductor and solar markets. While the chemical sector at large has faced headwinds due to high input costs in Germany, Wacker’s strategic focus on high-purity polysilicon has provided a crucial buffer. The company’s revenue of €5.49 billion suggests that while it remains smaller in scale than the defense-heavy Rheinmetall, its role in the green energy transition and the electronics supply chain remains indispensable.