Defense News Top 100 2015 Rating
The American edition of Defense News has made another rating of the largest manufacturers of weapons and military equipment. The updated Top 100 2015 rankings review key performance indicators for defense enterprises in 2014. In addition, the compilers of the rating drew attention to the 2013 performance of the year and compared them with last year’s firm achievements. Consider the main features of the fresh rating.
Ups and downs
Several defense industry companies from a number of countries last year showed good revenue growth, which allowed them to climb a few lines or for the first time to reach the hundred largest manufacturers.
The largest increase in revenue in the field of military products showed the American company AECOM. Over the 2014 year, she earned a total of 19,641 billion dollars, of which 4,433 billion (22,6%) accounted for military orders. In 2013, AECOM shipped military products to 1,712 billion. Thus, the annual growth of military revenues amounted to 158,8%. This allowed the company for the first time to get into the Top 100 from Defense News and immediately take a place 18.
90-percent growth in revenue from military products showed a Japanese company Kawasaki Heavy Industries. Last year, she earned 17,094 billion dollars, of which 11,2% or 1,909 billion was received for fulfilling military orders. In 2013, the company's military revenues were 1,004 billion. Significant revenue growth allowed the Japanese firm to rise to 20 positions - from 66 locations to 46.
The third place in terms of revenue growth last year was taken by the American company Engility. With total revenues of 2,5 billion, she earned 1,53 billion on military orders (61,2% of all revenues). In 2013, Engility's military revenues amounted to 846 million dollars. As a result, the increase at 80,9% allowed the company to get into the hundred largest manufacturers of military products and gain a foothold in the 54 place.
On the 31 place in the latest Top 100 ranking is the Russian Tactical Missiles Corporation, which showed an increase in revenues from military products by 48,6%. In total, the corporation earned 2,96 billion dollars last year, with 95% of revenues or 2,812 billion spent on military orders. For comparison, in 2013, the corporation’s military revenues amounted to 1,892 billion.
The top five in terms of revenue growth closes the Brazilian company Embraer. Its military revenues grew by 32,5%, from 1,1 to 1,459 billion dollars. At the same time, in the 2014 year, Brazilian aircraft manufacturers earned a total of 6,357 billion, due to which only 23% of revenues fell on military orders. This growth has allowed the company to rise from 60 to 55.
Last year there were also noticeable drops in income. So, in the case of the American company ManTech, there was a drop in 52,6% - from 2,2 to 1,046 billion dollars. At the same time, military revenues accounted for 59% of total 1,774 billion. As a result, the company has dropped from 43 locations to 64.
Another US company, DynCorp, ended last year with revenues falling by 49,1%. In 2013, she earned 3,1 billion for military orders, and 2014 billion in 1,579. The reason for the fears of the leadership may be the fact that military orders accounted for 70,1% of total revenues of 2,252 billion dollars. Because of this, the company lost its 38 position and dropped to 51.
A slightly smaller drop in revenue as a percentage occurred at the Finnish company Patria. In 2013 and 2014, she earned 1,028 billion and 555,8 million dollars, respectively. The fall was 45,9%. It is noteworthy that almost all revenues (90,4%) Patria receives precisely from military orders. So, last year, the company received only 614,5 million. As a result, the Finnish manufacturer of armored vehicles lost 30 positions, falling from 64 seats to 94.
For the American company Hewlett-Packard, the reduction of military orders is not sensitive, since they account for only 2% of total revenues at the level of 111,5 billion dollars. Last year, the company earned 2,240 billion on military products against 4,07 billion 2013 dollars. The fall was 44,9%, with the result that the company moved from 22 to 40.
The top five “leaders” in terms of revenue cuts are closed by the American company Oshkosh, which has dropped from 27 to 48. Of the 6,808 billion dollars earned last year, the supply of military products accounted for 1,725 billion (25,3%). In 2013, the company managed to earn 3,05 billion on military supplies. Thus, revenues fell by 43,4%.
Top Ten
As often happens in such ratings, the first ten in the Top 100 from Defense News this time almost did not change. Several companies have changed their position in the final table, and only one (the French Thales) fell outside the top ten, giving way to competitors.
In the first place again the American company Lockheed Martin. Last year, she earned a total of 45,6 billion dollars. The total cost of military contracts was 40,128 billion or 88% of all revenues. In 2013, the company earned billions of dollars in military supplies to 40,494. Thus, in 2014, Lockheed Martin’s military revenues fell by 0,9%. Nevertheless, the existing gap in the indicators allowed the company to maintain its leadership in the rating.
The second place was taken by another company from the USA - Boeing. Last year, aircraft manufacturers from this company earned 90,762 billion dollars. Supplies of military products provided 32% of revenues or 29 billions. The military revenues of the year before last accounted for 32 billion dollars, so in 2014 there was a drop of 9,4%. In the end, however, Boeing retained second place.
On the third line is the British concern BAE Systems, which earned billion dollars on 25,449 military contracts - 92,8% of total revenues (27,411 billion). At the same time, in 2013, the concern supplied military products to customers with a total value of 28,014 billion dollars. Thus, for the year, revenues fell by 9,2%.
The fourth place in the ranking is again taken by the American company Raytheon with military revenues at the level of 22,228 billion dollars. This organization almost does not produce civilian products, which is why military contracts accounted for 97,4% of all revenues of 22,826 billion. In 2013, Raytheon's military revenues amounted to 22,047 billion dollars. This means that last year the company's revenues increased by 0,8%. It is noteworthy that Raytheon has become one of the few leaders in the ranking, whose military revenues increased rather than fell last year.
In fifth place is the first change in the rating. For a year, the American company General Dynamics, which was previously on the sixth line, climbed it. In 2014, she earned 30,852 billion dollars, of which 18,561 billion (60,2%) fell on military contracts. Over the year, the company's military revenues decreased by 1,5% - in 2013 they amounted to 18,836 billion.
From fifth to sixth, Northrop Grumman from the United States dropped. This has contributed to the reduction of military income by 5,6% from 19,5 to 18,4 billion dollars. At the same time, military contracts accounted for 76,7% of total revenues - 23,979 billion dollars.
On the seventh line again the European concern Airbus Group, operating in several countries. In 2014, he earned billions of dollars in military supplies of 14,609, which is 11,7% less than 16,546 billion 2013 of the year. A rather large reduction in military revenues has almost no effect on the activities of the concern, since it receives the bulk of its profits from the supply of civilian equipment. In 2014, the Airbus Group earned a total of 80,686 billion dollars, of which only 18,1% fell to military equipment.
The eighth place in the ranking for the second year in a row is taken by the American company United Technologies. Remaining at a fairly high position, she was allowed 9,5-percent growth in military revenues from 11,894 to 13,02 billion dollars. In total, the company earned 65,1 billion dollars last year, and military contracts accounted for 20% of all revenues.
The Italian company Finmeccanica with military revenues 10,561 billion rose to ninth from tenth. It is noteworthy that this company managed to rise by one place even if revenues were reduced by 3,1% - in 2013, its military revenues amounted to 10,896 billion. Military contracts secured 54,2% of the company's total revenue in 19,486 billion dollars.
The top ten are closing the American company L-3 Communications. Last year, she earned billions of dollars in military supplies of 9,808, which is 5,1% less than the 10,336 billion received in the 2013 year. In total, the company received 2014 billion dollars in 12,124, with military contracts having 80,9% of this amount.
Russian enterprises
In Defense News News's new Top 100 rating, seven Russian defense enterprises have been hit. Unfortunately, they did not manage to get into the top ten of manufacturers of armaments and equipment, however one of the Russian organizations managed to get close to it. It is possible that next year the Russian defense industry will be represented in the top ten.
The best performance among Russian enterprises was shown by the Almaz-Antey Air Defense Concern. Last year, the organization showed 10,6-percent revenue growth from 8,326 to 9,209 billion dollars. Because of this, the concern has risen from 12 seats to 11. It is noteworthy that "Almaz-Antey" is one of the few participants in the rating, which produces only military equipment.
Immediately on the 14 place ranked United Aircraft Building Corporation. The drafters of the rating note that in determining the indicators of this organization they were determined on the basis of the reporting of the companies included in its composition. Last year, USC sold equipment worth 7,805 billion dollars. Military orders for 6,244 billion were fulfilled - 80% of total revenues. In 2013, USC military revenues amounted to 5,831 billion dollars. Thus, in 2014, the growth of this indicator was 7,1%.
From 25 to 23, the Russian Helicopters corporation has risen. Last year, the organization supplied customers with products worth 4,5 billion dollars. Military equipment accounted for 88% of all revenues or 3,96 billion dollars. For comparison, in 2013, the corporation earned billions of dollars in sales of 3,406 military helicopters, i.e. growth was 16,3%.
For the first time, the Russian corporation Tactical Missile Armament entered the Top 100 rating and immediately took the place of 31. As already mentioned, last year this organization’s revenues from military orders (95% of all revenues) increased by 48,6%, from 1,892 to 2,812 billion dollars.
26 ranked United Engine Corporation, previously located on the 34 line. Like other Russian companies, the UEC last year showed an increase in military revenues. In her case, this figure was 25,6%: 2,674 revenues increased to 3,323 billion dollars. Military contracts accounted for 61,5% of total corporation revenues in 5,405 billion.
For the first time, the corporation Uralvagonzavod got into the rating of the publication. Last year, the leading Russian manufacturer of armored vehicles earned billion dollars from the supply of 1,545 combat vehicles - by 1% more than the corresponding figure of 2013 (1,529 billion). Military orders provided 51,6% of the organization’s total revenues, which amounted to 2,992 billion.
The last of the Russian organizations included in the Top 100 2015 is the Radiotechnical Institute. Academician Mints, who sold military products last year with a total value of 947,2 million dollars. Over the past year, sales of similar products increased by 15,7% (819 million in 2013). In total, the institute last year earned 1,877 billion dollars, of which 50,5% was earned for fulfilling military contracts.
General trends
It is not difficult to notice that the international market of armaments and military equipment in recent years is going through not the best of times. Despite the increasing complexity of the international situation, the real expenditures of countries for military products are gradually decreasing. As a result, revenues of defense enterprises are falling.
The current cuts in military budgets are most clearly seen in the example of the top ten rankings. Only two out of ten companies increased their revenues last year, but only United Technologies, which is located on the 9,5 site, can boast of a good growth (8%). Raytheon's 4 space also increased its military revenues, but only by 0,8%, which cannot be a demonstration of a serious rise or fall. In the case of the other market leaders, there is a reduction in revenues from 0,9% (Lockheed Martin) to 11,7% (Airbus Group).
Against the background of their foreign colleagues and competitors, Russian enterprises demonstrate a rather high growth of indicators. The signing of a mass of new contracts for the supply of weapons and equipment has made it possible in one way or another to increase military revenues. For example, last year Uralvagonzavod Corporation earned only 1% more than 2013, and Tactical Missile Arms Corporation increased its revenues by 48,6%, which allowed it to enter the top five in terms of growth.
The growth in revenues of Russian defense enterprises is associated with several major factors. The Russian Ministry of Defense continues to actively purchase new weapons and equipment intended for the modernization of the armed forces. Also, the Russian defense industry has a fairly large portfolio of export orders. As a result, even under the conditions of sanctions by some foreign countries, Russian industry not only maintains acceptable indicators, but also increases them.
Defense News analysts say that maintaining the growth even against the background of sanctions is primarily promoted by the composition of the countries-buyers of Russian products. The main importers of Russian weapons are China, India, Algeria, Venezuela and other countries that have not joined the sanctions initiated by the United States and the European Union. Moreover, the states that joined the sanctions for the most part have never been major buyers of Russian military products.
The decline in the international market for weapons and military equipment has been observed over the past few years. There are different opinions about the timing of market recovery and the beginning of the next growth, but for now they remain at the level of assumptions. At the same time, the Defense News Top 100 rating allows you to carefully examine the situation on the market and examine the situation of individual major arms manufacturers, as well as determine their successes and failures.
Based on:
http://people.defensenews.com/top-100/
Ups and downs
Several defense industry companies from a number of countries last year showed good revenue growth, which allowed them to climb a few lines or for the first time to reach the hundred largest manufacturers.
The largest increase in revenue in the field of military products showed the American company AECOM. Over the 2014 year, she earned a total of 19,641 billion dollars, of which 4,433 billion (22,6%) accounted for military orders. In 2013, AECOM shipped military products to 1,712 billion. Thus, the annual growth of military revenues amounted to 158,8%. This allowed the company for the first time to get into the Top 100 from Defense News and immediately take a place 18.
90-percent growth in revenue from military products showed a Japanese company Kawasaki Heavy Industries. Last year, she earned 17,094 billion dollars, of which 11,2% or 1,909 billion was received for fulfilling military orders. In 2013, the company's military revenues were 1,004 billion. Significant revenue growth allowed the Japanese firm to rise to 20 positions - from 66 locations to 46.
The third place in terms of revenue growth last year was taken by the American company Engility. With total revenues of 2,5 billion, she earned 1,53 billion on military orders (61,2% of all revenues). In 2013, Engility's military revenues amounted to 846 million dollars. As a result, the increase at 80,9% allowed the company to get into the hundred largest manufacturers of military products and gain a foothold in the 54 place.
On the 31 place in the latest Top 100 ranking is the Russian Tactical Missiles Corporation, which showed an increase in revenues from military products by 48,6%. In total, the corporation earned 2,96 billion dollars last year, with 95% of revenues or 2,812 billion spent on military orders. For comparison, in 2013, the corporation’s military revenues amounted to 1,892 billion.
The top five in terms of revenue growth closes the Brazilian company Embraer. Its military revenues grew by 32,5%, from 1,1 to 1,459 billion dollars. At the same time, in the 2014 year, Brazilian aircraft manufacturers earned a total of 6,357 billion, due to which only 23% of revenues fell on military orders. This growth has allowed the company to rise from 60 to 55.
Last year there were also noticeable drops in income. So, in the case of the American company ManTech, there was a drop in 52,6% - from 2,2 to 1,046 billion dollars. At the same time, military revenues accounted for 59% of total 1,774 billion. As a result, the company has dropped from 43 locations to 64.
Another US company, DynCorp, ended last year with revenues falling by 49,1%. In 2013, she earned 3,1 billion for military orders, and 2014 billion in 1,579. The reason for the fears of the leadership may be the fact that military orders accounted for 70,1% of total revenues of 2,252 billion dollars. Because of this, the company lost its 38 position and dropped to 51.
A slightly smaller drop in revenue as a percentage occurred at the Finnish company Patria. In 2013 and 2014, she earned 1,028 billion and 555,8 million dollars, respectively. The fall was 45,9%. It is noteworthy that almost all revenues (90,4%) Patria receives precisely from military orders. So, last year, the company received only 614,5 million. As a result, the Finnish manufacturer of armored vehicles lost 30 positions, falling from 64 seats to 94.
For the American company Hewlett-Packard, the reduction of military orders is not sensitive, since they account for only 2% of total revenues at the level of 111,5 billion dollars. Last year, the company earned 2,240 billion on military products against 4,07 billion 2013 dollars. The fall was 44,9%, with the result that the company moved from 22 to 40.
The top five “leaders” in terms of revenue cuts are closed by the American company Oshkosh, which has dropped from 27 to 48. Of the 6,808 billion dollars earned last year, the supply of military products accounted for 1,725 billion (25,3%). In 2013, the company managed to earn 3,05 billion on military supplies. Thus, revenues fell by 43,4%.
Top Ten
As often happens in such ratings, the first ten in the Top 100 from Defense News this time almost did not change. Several companies have changed their position in the final table, and only one (the French Thales) fell outside the top ten, giving way to competitors.
In the first place again the American company Lockheed Martin. Last year, she earned a total of 45,6 billion dollars. The total cost of military contracts was 40,128 billion or 88% of all revenues. In 2013, the company earned billions of dollars in military supplies to 40,494. Thus, in 2014, Lockheed Martin’s military revenues fell by 0,9%. Nevertheless, the existing gap in the indicators allowed the company to maintain its leadership in the rating.
The second place was taken by another company from the USA - Boeing. Last year, aircraft manufacturers from this company earned 90,762 billion dollars. Supplies of military products provided 32% of revenues or 29 billions. The military revenues of the year before last accounted for 32 billion dollars, so in 2014 there was a drop of 9,4%. In the end, however, Boeing retained second place.
On the third line is the British concern BAE Systems, which earned billion dollars on 25,449 military contracts - 92,8% of total revenues (27,411 billion). At the same time, in 2013, the concern supplied military products to customers with a total value of 28,014 billion dollars. Thus, for the year, revenues fell by 9,2%.
The fourth place in the ranking is again taken by the American company Raytheon with military revenues at the level of 22,228 billion dollars. This organization almost does not produce civilian products, which is why military contracts accounted for 97,4% of all revenues of 22,826 billion. In 2013, Raytheon's military revenues amounted to 22,047 billion dollars. This means that last year the company's revenues increased by 0,8%. It is noteworthy that Raytheon has become one of the few leaders in the ranking, whose military revenues increased rather than fell last year.
In fifth place is the first change in the rating. For a year, the American company General Dynamics, which was previously on the sixth line, climbed it. In 2014, she earned 30,852 billion dollars, of which 18,561 billion (60,2%) fell on military contracts. Over the year, the company's military revenues decreased by 1,5% - in 2013 they amounted to 18,836 billion.
From fifth to sixth, Northrop Grumman from the United States dropped. This has contributed to the reduction of military income by 5,6% from 19,5 to 18,4 billion dollars. At the same time, military contracts accounted for 76,7% of total revenues - 23,979 billion dollars.
On the seventh line again the European concern Airbus Group, operating in several countries. In 2014, he earned billions of dollars in military supplies of 14,609, which is 11,7% less than 16,546 billion 2013 of the year. A rather large reduction in military revenues has almost no effect on the activities of the concern, since it receives the bulk of its profits from the supply of civilian equipment. In 2014, the Airbus Group earned a total of 80,686 billion dollars, of which only 18,1% fell to military equipment.
The eighth place in the ranking for the second year in a row is taken by the American company United Technologies. Remaining at a fairly high position, she was allowed 9,5-percent growth in military revenues from 11,894 to 13,02 billion dollars. In total, the company earned 65,1 billion dollars last year, and military contracts accounted for 20% of all revenues.
The Italian company Finmeccanica with military revenues 10,561 billion rose to ninth from tenth. It is noteworthy that this company managed to rise by one place even if revenues were reduced by 3,1% - in 2013, its military revenues amounted to 10,896 billion. Military contracts secured 54,2% of the company's total revenue in 19,486 billion dollars.
The top ten are closing the American company L-3 Communications. Last year, she earned billions of dollars in military supplies of 9,808, which is 5,1% less than the 10,336 billion received in the 2013 year. In total, the company received 2014 billion dollars in 12,124, with military contracts having 80,9% of this amount.
Russian enterprises
In Defense News News's new Top 100 rating, seven Russian defense enterprises have been hit. Unfortunately, they did not manage to get into the top ten of manufacturers of armaments and equipment, however one of the Russian organizations managed to get close to it. It is possible that next year the Russian defense industry will be represented in the top ten.
The best performance among Russian enterprises was shown by the Almaz-Antey Air Defense Concern. Last year, the organization showed 10,6-percent revenue growth from 8,326 to 9,209 billion dollars. Because of this, the concern has risen from 12 seats to 11. It is noteworthy that "Almaz-Antey" is one of the few participants in the rating, which produces only military equipment.
Immediately on the 14 place ranked United Aircraft Building Corporation. The drafters of the rating note that in determining the indicators of this organization they were determined on the basis of the reporting of the companies included in its composition. Last year, USC sold equipment worth 7,805 billion dollars. Military orders for 6,244 billion were fulfilled - 80% of total revenues. In 2013, USC military revenues amounted to 5,831 billion dollars. Thus, in 2014, the growth of this indicator was 7,1%.
From 25 to 23, the Russian Helicopters corporation has risen. Last year, the organization supplied customers with products worth 4,5 billion dollars. Military equipment accounted for 88% of all revenues or 3,96 billion dollars. For comparison, in 2013, the corporation earned billions of dollars in sales of 3,406 military helicopters, i.e. growth was 16,3%.
For the first time, the Russian corporation Tactical Missile Armament entered the Top 100 rating and immediately took the place of 31. As already mentioned, last year this organization’s revenues from military orders (95% of all revenues) increased by 48,6%, from 1,892 to 2,812 billion dollars.
26 ranked United Engine Corporation, previously located on the 34 line. Like other Russian companies, the UEC last year showed an increase in military revenues. In her case, this figure was 25,6%: 2,674 revenues increased to 3,323 billion dollars. Military contracts accounted for 61,5% of total corporation revenues in 5,405 billion.
For the first time, the corporation Uralvagonzavod got into the rating of the publication. Last year, the leading Russian manufacturer of armored vehicles earned billion dollars from the supply of 1,545 combat vehicles - by 1% more than the corresponding figure of 2013 (1,529 billion). Military orders provided 51,6% of the organization’s total revenues, which amounted to 2,992 billion.
The last of the Russian organizations included in the Top 100 2015 is the Radiotechnical Institute. Academician Mints, who sold military products last year with a total value of 947,2 million dollars. Over the past year, sales of similar products increased by 15,7% (819 million in 2013). In total, the institute last year earned 1,877 billion dollars, of which 50,5% was earned for fulfilling military contracts.
General trends
It is not difficult to notice that the international market of armaments and military equipment in recent years is going through not the best of times. Despite the increasing complexity of the international situation, the real expenditures of countries for military products are gradually decreasing. As a result, revenues of defense enterprises are falling.
The current cuts in military budgets are most clearly seen in the example of the top ten rankings. Only two out of ten companies increased their revenues last year, but only United Technologies, which is located on the 9,5 site, can boast of a good growth (8%). Raytheon's 4 space also increased its military revenues, but only by 0,8%, which cannot be a demonstration of a serious rise or fall. In the case of the other market leaders, there is a reduction in revenues from 0,9% (Lockheed Martin) to 11,7% (Airbus Group).
Against the background of their foreign colleagues and competitors, Russian enterprises demonstrate a rather high growth of indicators. The signing of a mass of new contracts for the supply of weapons and equipment has made it possible in one way or another to increase military revenues. For example, last year Uralvagonzavod Corporation earned only 1% more than 2013, and Tactical Missile Arms Corporation increased its revenues by 48,6%, which allowed it to enter the top five in terms of growth.
The growth in revenues of Russian defense enterprises is associated with several major factors. The Russian Ministry of Defense continues to actively purchase new weapons and equipment intended for the modernization of the armed forces. Also, the Russian defense industry has a fairly large portfolio of export orders. As a result, even under the conditions of sanctions by some foreign countries, Russian industry not only maintains acceptable indicators, but also increases them.
Defense News analysts say that maintaining the growth even against the background of sanctions is primarily promoted by the composition of the countries-buyers of Russian products. The main importers of Russian weapons are China, India, Algeria, Venezuela and other countries that have not joined the sanctions initiated by the United States and the European Union. Moreover, the states that joined the sanctions for the most part have never been major buyers of Russian military products.
The decline in the international market for weapons and military equipment has been observed over the past few years. There are different opinions about the timing of market recovery and the beginning of the next growth, but for now they remain at the level of assumptions. At the same time, the Defense News Top 100 rating allows you to carefully examine the situation on the market and examine the situation of individual major arms manufacturers, as well as determine their successes and failures.
Based on:
http://people.defensenews.com/top-100/
Information