Alstom reports record order intake but faces execution challenges in FY25/26

Alstom, a global leader in smart and sustainable mobility, reported its financial results for the fiscal year 2025/26, ending March 31, 2026. The company secured a record €27.6 billion in new orders, elevating its total order backlog to €104.4 billion. Group revenue grew by 3.7% to €19.17 billion.

Despite the strong commercial performance, the company experienced difficulties in executing certain rolling stock contracts. This led to a decrease in the adjusted operating margin to 6.1%, down 30 basis points from the previous year, although stable at constant exchange rates and perimeter. Adjusted operating income remained largely stable at €1.168 billion.

The company generated a free cash flow of €336 million, in line with forecasts, despite unfavorable impacts on contract-related working capital. Net income attributable to the group was €324 million, a significant increase from the prior fiscal year's €149 million.

For the fiscal year 2026/27, Alstom has outlined priority actions to strengthen execution, optimize its cost base, simplify processes, and accelerate procurement savings. The company projects an order-to-revenue ratio above 1, organic revenue growth of approximately 5%, and a positive free cash flow generation. Production is expected to be between 4,400 and 4,500 carriages, with an adjusted operating margin targeted at around 6.5%.