German arms maker Heckler & Koch sees record profits in first half

German weapons manufacturer Heckler & Koch on Monday posted record profits in the first half of the year, as the company continues to benefit from NATO states massively hiking their defense budgets in the wake of Russia's invasion of Ukraine, DPA reported.

Revenue for Heckler & Koch, which specializes in assault rifles, machine guns, pistols, submachine guns and grenade launchers, was €263.9 million ($306.2 million) in the first six months, up 47.1% compared to the same period last year.

The company was able to more than triple its profits, rising to €40.8 million from €11.8 million last year.

Besides the German military, Heckler & Koch's customers also include France, Norway and the Baltic States, which have been particularly keen on boosting their defense capabilities in light of their proximity to Russia.

Orders for Heckler & Koch stood at €260 million in the first half. While this was slightly lower compared to last year, a large-scale order by the German Bundeswehr boosted the books in July, expanding a previous order for 120,000 assault rifles to 250,000.

Heckler & Koch employs more than 1,400, mostly at its headquarters in southern Germany, but the company also aims to expand its small pistol assembly plant in the US.

Following investments totalling some €100 million between 2020 and 2025, Heckler & Koch aims to spend another €230 million on new machinery, modern infrastructure and efficient work processes by the end of 2028, the company said.