Alstom SA
XMUN:AOMD
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Alstom SA
XMUN:AOMD
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Alstom SA
Alstom SA makes railway equipment and systems. It designs and builds high-speed trains, regional trains, metros, trams, and locomotives, and it also sells rail signaling, control systems, and maintenance services. Its customers are mainly passenger rail operators, city transit agencies, freight rail companies, and governments that buy or upgrade rail networks. The company earns money by selling new trains and rail infrastructure projects, then by supporting those assets over time with spare parts, repairs, software updates, and long-term maintenance contracts. That mix matters because rail buyers often want one supplier to deliver the train or signaling system and keep it running safely for many years. Alstom also works on large, customized projects, so each sale can include engineering, installation, and after-sales service. What makes Alstom’s business different is that it sits at the center of rail systems rather than just making vehicles. A train only moves passengers if the trackside signals, onboard controls, power systems, and maintenance support all work together, and Alstom sells many of those pieces. That gives it a role as both a manufacturer and a long-term service partner in public transport and freight rail.
Alstom SA makes railway equipment and systems. It designs and builds high-speed trains, regional trains, metros, trams, and locomotives, and it also sells rail signaling, control systems, and maintenance services. Its customers are mainly passenger rail operators, city transit agencies, freight rail companies, and governments that buy or upgrade rail networks.
The company earns money by selling new trains and rail infrastructure projects, then by supporting those assets over time with spare parts, repairs, software updates, and long-term maintenance contracts. That mix matters because rail buyers often want one supplier to deliver the train or signaling system and keep it running safely for many years. Alstom also works on large, customized projects, so each sale can include engineering, installation, and after-sales service.
What makes Alstom’s business different is that it sits at the center of rail systems rather than just making vehicles. A train only moves passengers if the trackside signals, onboard controls, power systems, and maintenance support all work together, and Alstom sells many of those pieces. That gives it a role as both a manufacturer and a long-term service partner in public transport and freight rail.
Order Momentum: Alstom reported strong commercial momentum with EUR 10.5 billion in orders in H1, boosting the book-to-bill ratio to 1.2 and confirming robust demand across regions.
Sales Growth: Sales reached EUR 9.1 billion, up 7.9% organically, with growth seen in all product lines and regions.
Profitability: Adjusted EBIT rose 13% year-on-year to EUR 580 million, with EBIT margin improving to 6.4% from 5.9% a year ago.
Free Cash Flow: Free cash flow was negative EUR 740 million, in line with expected seasonal trends.
Margin & Backlog: Backlog gross margin improved to 18% (up 20bps), helped by quality order intake despite FX headwinds.
Guidance Update: Management raised full-year organic sales growth guidance to above 5% (from 3–5%) and reaffirmed EBIT margin and free cash flow targets.
Order Mix: Rolling Stock orders now more often include long-term service contracts, improving revenue visibility.
Competitive Landscape: Market in North America is consolidating, with Alstom leveraging its local footprint for key wins.
