Saab Secures Major Defense Contracts Amid Market Challenges

STOCKHOLM, Sweden — Saab has announced significant contracts that could bolster its position in the global defense market. On November 18, 2025, the company secured a EUR 3.1 billion deal with Colombia for fighter jets, expanding its international presence in defense technology.

This deal is part of Saab’s strategy to lessen its dependence on political decisions and fluctuating budget cycles prevalent in its key markets. The company aims to invest in next-generation technologies to maintain stability amid uncertainty.

In addition to the Colombian deal, Saab recently received a joint order with Airbus Defence and Space for Arexis Electronic Warfare sensor suites valued at EUR 549 million. This contract highlights Saab’s competitive advantage in innovative defense technologies, particularly those that utilize modern digital and AI capabilities.

Despite these optimistic developments, Saab faces potential risks connected to future defense spending and market volatility. Shareholders are advised to consider these factors as they project the company’s future earnings. Saab anticipates revenues of SEK112.3 billion and earnings of SEK9.8 billion by 2028, fueled by a 17.1% annual growth rate.

Analyst estimates for Saab’s fair market value show a wide range, from SEK 261 to SEK 641, indicating diverse expectations among investors. While many are optimistic about the growth potential tied to increased defense budgets, the necessity for high investments in research and development remains a crucial aspect for Saab.

As the defense market evolves, companies like Saab must navigate the complexities of government contracts and shifting market demands. Stakeholders are encouraged to stay informed about further developments as this landscape progresses.