Vega C launcher and European solid propulsion
Avio
Avio is the Italian propulsion company that is prime for the Vega C small launcher and builds the P120C/P160C solid boosters for Ariane 6. FY2025 revenue was a record EUR 541.7 million (up 22.7%) with a EUR 2,166 million backlog, and from 2025 it takes over Vega commercialization from Arianespace to sell launch services directly. The ArianeGroup booster contract (over EUR 200M through 2029) and MBDA solid motors (Aster 30) push defense orders above EUR 250M a year, and a ~$500M solid-motor plant in Virginia opens the US market.
AVIO.MI Updated Jul 12, 2026 3 AI consumers· 2 recurring
Per the valuechain.wiki graph, Avio is directly linked to 3 companies (1 supply, 4 revenue, 1 investment relationships) and reaches 7 companies within two hops; the links are backed by 10 dated sources, 1 of them primary filings (as of 2026-07-12).
Financials & Segments
- Total revenue · FY2025 revenue €541.7M (+22.7%)
- Customer concentration · Concentrated in ESA/European institutions and ArianeGroup; backlog €2,166M
- Segments · Space/Launchers (Vega C, P120C/P160C) · Defense (solid rocket motors)
Revenue from
- ArianeGroup High confidence· Contract value €200M · ~2029 · Ariane 6 P120C/P160C stabilized production contract (Avio share)
Avio supplies P120C/P160C solid boosters for Ariane 6's stabilized production phase under a contract with ArianeGroup (over €200M for Avio, through 2029); ArianeGroup is a booster revenue customer for Avio.Confirms EN Avio Published Nov 17, 2025: Avio and ArianeGroup sign Ariane 6 stabilized production contract valued over 200M EUR - ESA · European agencies (Vega) High confidence
ESA and European governments are the primary customers for Vega C development/launch and institutional missions; Vega C production activity is a core driver of FY2025 revenue growth (+22.7%) and most of the €2,166M backlog is institutional. Contract-level value not disclosed.Confirms EN Avio S.p.A. Published Mar 12, 2026: FY 2025 Results — Record-high order backlog and revenues growth path to continue in 2026Mentions EN European Space Agency Published Jul 5, 2024: ESA Council decisions set the stage for more diverse European launch services - ArianeGroup High confidence
Ariane 6's P120C/P160C solid boosters are integrated by Europropulsion, the 50:50 ArianeGroup-Avio JV, with motors built at Avio's Colleferro plant. A Nov 2025 stabilised-production contract runs to 2029 (EUR 200M+ for Avio), which also supplies Vulcain oxygen turbopumps.Confirms EN Avio Published Nov 17, 2025: Avio and ArianeGroup sign Ariane 6 stabilized production contract valued over 200M EUR - MBDA Medium confidence· Contract value €35M · 4년 · Aster 30 solid motor and aero-surface production order
Defense solid rocket motor customer. Under a framework with MBDA, Avio signed a production order for solid-propellant motors and aerodynamic surfaces for the Aster 30 system (over €35M, four years); Avio also designed/qualified the CAMM-ER missile motor.Confirms IT Economia dello Spazio Published Jun 22, 2026: ASTER 30: Avio signs order with MBDA worth over 35 million - RTX Medium confidence
Development contract with RTX's Raytheon for defense solid rocket motors (Jul 2024) and an MoU to establish a new U.S. SRM facility (Nov 2025); Raytheon gets preferred access to the new capacity. - Arianespace Medium confidence
Historically the commercial launch-service provider for Vega/Vega C; following the Aug-2024 ESA decision, commercialization transfers to Avio from 2025 and Arianespace operates only through VV29 (Q4 2025), a diminishing/transitioning relationship. Value not disclosed.Confirms EN Space Intel Report Published Jul 11, 2025: Avio to take over Vega commercial sales from Arianespace in late 2025
Pays to
- ArianeGroup (nozzles) Medium confidence
In the jointly-developed P120C/P160C, Avio builds the carbon-fibre casing while ArianeGroup builds the composite nozzle; for the Vega C first-stage motor the ArianeGroup nozzle is a component cost input to Avio. Value not disclosed.Confirms EN ArianeGroup (press release) Published Jul 16, 2018: P120C solid rocket motor: Avio casing, ArianeGroup nozzle (Europropulsion JV) - Europropulsion (JV) Medium confidence
A 30+ year 50:50 JV equally owned by ArianeGroup and Avio that integrates and supplies P120C/P160C solid motors; Avio bears booster-integration costs through the JV structure. Value not disclosed.Confirms EN Avio Published Nov 17, 2025: Avio and ArianeGroup sign Ariane 6 stabilized production contract valued over 200M EUR
Investors
- Leonardo S.p.A. Medium confidence· Ownership stake 19.3% · Leonardo shareholding in Avio
Leonardo is Avio's largest shareholder with a 19.30% stake (reduced from the original 28.75% through the Oct–Nov 2025 capital increase).Confirms EN Leonardo Published Nov 11, 2025: Leonardo: subscription to Avio's capital increase completed
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Amazon | lead2 | +2.4 | -49.6 | +80.9 | +44.4 | +5.2 | +6.3 |
| Textron | lead2 | +59.9 | -8.2 | +13.7 | -4.8 | +14.1 | +4.3 |
| Airbus | lead2 | +34.8 | +3.9 | +30.5 | +15 | +18.3 | +3.9 |
| Boeing | lead2 | -6 | -5.4 | +36.8 | -32.1 | +22.7 | +2.4 |
| Leonardo S.p.A. | lead2 | +11.3 | +50.3 | +73.6 | +89.1 | +88.1 | -6.8 |
| RTX | lead1 | +23.3 | +20 | -14.4 | +40.8 | +61.4 | +7.6 |
| Avio | node | -9.9 | -4.7 | -17.1 | +98.4 | +117 | -10.8 |
| Airbus | benef2 | +34.8 | +3.9 | +30.5 | +15 | +18.3 | +3.9 |
YTD as of 2026-07-10 · source: Yahoo Finance
The Italian propulsion company that is prime for the Vega C small launcher and builds the P120C/P160C solid boosters for Ariane 6, and from 2025 sells launch services directly after taking Vega commercialization from Arianespace. Its record FY2025 revenue of EUR 541.7M (+22.7%) and EUR 2,166M backlog are driven by ESA institutional programs (Vega C production) and the ArianeGroup booster contract (EUR 200M+, through 2029), with a defense axis (EUR 250M+/yr) added via MBDA and RTX solid motors. In particular, the RTX US SRM-plant MoU and the ~$500M Virginia plant are triggers for expansion into defense beyond Europe. Upstream on the graph are the Europropulsion JV and ArianeGroup nozzles; downstream are ESA, ArianeGroup, MBDA and RTX — a dual growth structure spanning launchers and defense.
Analysis generated from returns as of 2026-07-10Analyst ratings
Consensus: Buy 1 · Hold 1 · Sell 0 · Avg. target €44 · Price €30.75 (07-10) · Upside +43%
| Broker | Rating | Target | Published | |
|---|---|---|---|---|
| Equita SIM | Hold | €46 | Jun 1, 2026 | Report ↗ |
| Intermonte | Outperform | €42 | Mar 13, 2026 | Report ↗ |
Targets kept rising on Vega launcher and defense momentum; after the rally Equita lifted its target to EUR 46 while cutting the rating to hold.
Analyses covering this node
- When budgets move, primes move: the European-Korean defense re-rating Jul 5, 2026
- The launch-tier paradox: even rocket companies are SpaceX customers Jul 4, 2026
- The prime tier runs on a budget clock: where the space re-rating stops Jul 4, 2026