Sweden’s Saab, the company that makes the Gripen fighter, said on Friday that it anticipates years of potential growth in the defence industry as nations re-arm in response to growing military threats.
As a result of Russia’s invasion of Ukraine, tensions between Moscow and the West have reached levels not seen since the Cold War’s height, and nations around Europe are rushing to increase their defence spending and seal deals with suppliers of military hardware.
CEO Micael Johansson said at a news conference, ‘Looking at the growth in Europe, my perspective is that it is a little bit slow in the beginning when it comes to expenditure.’ But until 2030, there is a chance for many years of growth in Europe and abroad.
By 08:33 GMT, Saab stock had increased 1.2% from its pre-Ukraine invasion level.
The company, which specialises in advanced armament, command and control systems, and aeronautics, reported operational earnings increased to 568 million Swedish crowns ($51.9 million) in the quarter from 500 million a year ago.
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