Leonardo

History

Foundation

Società Finanziaria Meccanica, "Finmeccanica", was established in 1948 as the mechanical engineering subholding of the state-owned Istituto per la Ricostruzione Industriale (IRI). Finmeccanica has held for years some historic Italian enterprises, as Alfa Romeo (automobiles), Aeritalia (aerospace) and Ansaldo (engineering).

From the 1960s to the 1980s Italy's defence and aerospace industry was split into state-holding entities: EFIM owned the helicopters manufacturer Agusta, the defence company Oto Melara and the electronic enterprise Officine Galileo. STET (another IRI subsidiary) held Selenia, Elsag and SGS Thomson, all electronic enterprises with specialisations in security and defence. In 1989, an internal IRI reorganisation process brought STET electronic enterprises to Finmeccanica, and the Aeritalia-Selenia merger constituted its aerospace subsidiary Alenia.

1990s

In 1992, EFIM was wound up because of its troubled financial situation; and Agusta, Oto Melara, Officine Galileo and Breda passed to Finmeccanica, which became one of the main Italian industrial groups. Finmeccanica, which was previously fully state owned by IRI, became partly privatised in 1993, when it was listed on the Milan Borsa Italiana stock exchange.

In 1992, Finmeccanica's Agusta became a 32% partner in NHIndustries, the prime contractor for the NH90 helicopter, along with Eurocopter (62.5%) and Fokker (5.5%).

2000s

In July 2000 Finmeccanica and the British GKN agreed to merge their respective helicopter subsidiaries (Agusta and GKN-Westland Helicopters) to form AgustaWestland. In December 2001, the missile business of Alenia Marconi Systems (AMS), a joint Finmeccanica/BAE Systems company, was merged with other European missile manufacturers to form MBDA, which became the world's second largest missile manufacturer. In July 2003 Finmeccanica and BAE Systems announced their intention to set up three joint venture companies, to be collectively known as Eurosystems. These companies would have pooled the avionics, C4ISTAR and communications businesses of the two companies.

In March 2007, BAE Systems sold its 25% share to Finmeccanica for €400 million. In January 2013 the company merged with Finmeccanica's other defence electronics companies, SELEX Elsag and SELEX Sistemi Integrati, to become Selex ES. In May 2008 Finmeccanica announced its intention to purchase the U.S. defence contractor DRS Technologies for nearly $5.2 billion. In October 2008 the sale of DRS Technologies was finalised.

2010s

During 2011–2013, Finmeccanica emails were published by WikiLeaks and Finmeccanica was subject to judicial inquiries on several fronts and management changes.

According to Finmeccanica emails published in the Syria Files release by WikiLeaks on 5 July 2012, Finmeccanica increased its sale of mobile communications equipment to Syrian authorities during 2011, delivering 500 of these to the Damascus suburb Muadamia in May 2011, after the Syrian uprising had started, and sending engineers to Damascus in February 2012 to provide training in using the communications equipment in helicopter terminals, while the uprising continued. Finmeccanica stated that the equipment sales were legal, they occurred "before the outbreak of conflict inside Syria", and the equipment "was designed for use by emergency responders" for civilian use only.

On 12 February 2013, the chief executive, Giuseppe Orsi, was arrested on corruption charges. Prosecutors alleged that he paid bribes to ensure the sale of 12 helicopters to the Indian government, when he was head of the group's AgustaWestland unit. In 2019, he was fully acquitted of all charges by the Italian judiciary.

In July 2013, the Letta government appointed former police chief Giovanni De Gennaro as Chairman of Finmeccanica. In December 2013 Finmeccanica sold 39.55% of its share capital in Ansaldo Energia to Fondo Strategico Italiano.

In the first half of 2014, Finmeccanica's new chief executive officer and General Manager Mauro Moretti started a significant process of change for the Group, both in terms of strategic choices and organisational structure. The goal was to create a more cohesive and efficient group in which all processes (research, marketing and sales, engineering, procurement, strategies and governance) are centralised and integrated and can interact each other. This encompasses the 100% owned companies of the core aerospace and defence business (AgustaWestland, Alenia Aermacchi, Oto Melara, Selex ES and WASS) being transformed into seven new Finmeccanica divisions. The current holding company will then become an operating company based on seven major business areas, maintaining its parent company and corporate centre function for the Group companies excluded from the model (DRS Technologies, Telespazio, Thales Alenia Space, MBDA and ATR).

From Finmeccanica to Leonardo

A company rebranding operation led by Mauro Moretti began in March 2016, with a proposal to change the company name. From 1 January 2017 Finmeccanica officially became Leonardo, a name inspired by the Italian savant Leonardo da Vinci. In March 2017 the Italian Treasury proposed that the veteran banker Alessandro Profumo replace Mauro Moretti as CEO of Leonardo. In May 2017 the Board appointed Alessandro Profumo to the role.

2020s

On 10 May 2023 the Board of Directors appointed Roberto Cingolani to the position of chief executive officer and General Manager, Stefano Pontecorvo to the role of chairman, and Lorenzo Mariani to the role of Co-General Manager. In 2025 Turkish defence firm Baykar and Leonardo decided to cooperate in the field of unmanned aerial vehicles.

In December 2022, it was announced that the United Kingdom, Italy and Japan were launching a new trilateral collaboration in the form of the Global Combat Air Programme or GCAP, and that BAE Systems would be joining Leonardo and Mitsubishi Heavy Industries as the three prime industrial partners for the initiative. The GCAP would develop a new sixth-generation, AI- and stealth-enabled combat aircraft that would reduce dependency on US military aircraft technology.

In 2024, this was formalised as BAE Systems, Leonardo and the Japan Aircraft Industrial Enhancement Co (JAIEC), which is partly funded by Mitsubishi Heavy Industries agreed to establish a joint venture company, with each holding a 33.3 per cent share in the new group, giving them an equal degree of influence over the project. In June 2026, the UK government announced that as part of the Defence Investment Plan it would commit an additional £8.6 billion in funding to GCAP over a four year period. In July 2026, Leonardo CEO Lorenzo Mariani told reports that the aircraft could enter service two years ahead of its 2035 target date.

In June 2022, Leonardo's US subsidiary, Leonardo DRS, agreed to merge with the Israeli radar and avionics systems company RADA Electronic Industries. Following the merger, Leonardo DRS became publicly listed on both the NASDAQ and the Tel Aviv Stock Exchange, with RADA shareholders receiving a 19.5% stake in the combined business and Leonardo retaining the remainder.

Later that year, Leonardo DRS completed the divestment of its Global Enterprise Solutions business and its Advanced Acoustic Concepts joint venture to Thales subsidiary TDSI.

Concurrently, Leonardo S.p.A. finalized the acquisition of a 25.1% stake in the German defense electronics company Hensoldt, matching the shareholding held by the German federal government.

Organisation

Aeronautics

Leonardo designs, develops, produces, maintains and upgrades commercial, military and military training aircraft, as well as producing aerostructures. The company is part of a network of joint ventures and product partnerships, including such programmes as the Global Combat Air Programme (with BAE Systems and Mitsubishi Heavy Industries) to build a 6th generation fighter, Eurofighter (with BAE Systems and Airbus Group) to build the supersonic multi-role Typhoon, and the ATR (with Airbus Group) to build the family of turboprop regional aircraft of the same name.

Helicopters

Leonardo is active in the helicopter market, managing: development to production, pilot training and after sales support. Leonardo produces a range of helicopters for the commercial and defence markets, including all the main weight categories, from 1.8-tonne single-engined to 16-tonne three-engined helicopters.

The company launched its VIP helicopters and travel services under a related new name "Agusta" and unveiled the heliport called "Casa Agusta" at a formal ceremony at the Expo 2020 in Dubai.

Leonardo is developing a helicopter-like autonomous large drone for the Royal Navy named Proteus.

Defence electronics and security

Leonardo develops and integrates systems for the air and sea traffic management and the control and protection of land and sea borders; it also develops secure communications networks for the management of infrastructure and systems. The services include the design and management of IT infrastructure and data processing for intelligence and cyber security. Leonardo is active in the design, development and production of naval artillery, armoured vehicles and underwater systems. In the Defence Electronics & Security sector, Leonardo operates through its US subsidiary DRS Technologies and the joint venture MBDA (37.5% BAE Systems, 37.5% Airbus Group and 25% Leonardo) that produces missiles and missile systems.

Space

Areas of business

Leonardo is present worldwide in about 20 countries (42% in Italy and 58% abroad). Commercially, there are about 150 countries in the world that use products, systems and services supplied by Leonardo.

Its production activities and its main industrial and commercial bases are located in Italy, the United Kingdom, Poland and the United States. Leonardo has gained a significant presence in France and Germany, and is a partner for various international industrial collaborations.

The company is an ITER supplier.

In December 2021, Leonardo Electronics announced it would be building a semiconductor device fabrication facility in Oro Valley, Arizona with construction beginning in the first half of 2022.

Leonardo's ongoing supply of equipment for Israel's military has attracted controversy. In June 2025, Leonardo was identified in a UN expert's report on corporations aiding Israel that "may be embedded in an economy of genocide".

Subsidiaries

100% Leonardo Global Solutions

100% Leonardo International

100% Leonardo Logistics

100% Leonardo UK

72.3% Leonardo DRS

100% KOPTER Group

100% PZL-Świdnik

Joint ventures

67% Telespazio SpA

60% Larimart SpA

50% ATR

50% Leonardo Rheinmetall Military Vehicles (LRMV)

49% Orizzonte Sistemi Navali

33% Thales Alenia Space SAS

32% NHIndustries

31.33% ELT Group

30% GEM Elettronica

29.63% Avio SpA

25% MBDA

22.8% Hensoldt

21% Eurofighter GmbH

Future subsidiaries

Acquisition of IDV (Iveco Defence Vehicles) in 2025, for a value of €1.7 billion.

The products of IDV include:

Heavy vehicles:

Ariete C2 (in collaboration with Leonardo)

VBM Freccia

Centauro 2, an 8×8 fire support vehicle equipped with a Hitfact Mk2 turret with a 105 or 120 mm canon.

SuperAV Land, an 8×8 multi-role armoured vehicle.

Amphibious vehicles:

SuperAV, an 8×8 multi-role amphibious armoured vehicle.

Guarani, a 6×6 multi-role amphibious armoured vehicle.

Medium - light vehicles

MTV (multirole tactical vehicle), a 6×6 multi-role armoured vehicle.

LMV 2 (light multirole vehicle), a 4×4 multi-role armoured vehicle.

MUV (military utility vehicle), based on the Iveco Daily 4×4.

Defence trucks:

Modular military range, a family of tactical trucks, armoured and unarmoured, available in 4×4, 6×6, 8×8 and 10×10 configurations.

EuroCargo, a civilian vehicle family transformed by IDV.

Daily (homeland security / police).

Shareholder structure

As of March 2025, Leonardo's largest shareholder was the Italian Ministry of Economy and Finances with 30.20%.

Key budget items (2007–2022)

* Restated figures due to the adoption of IFRS 11, which resulted in the dissolution of the joint ventures' group.

**Restated figures as a result of the reclassification of the transport sector as a discontinued operation.

Sources:

Criticisms

In 2018, the British NGO Corruption Watch published a report entitled Anglo Italian Job, which analysed million-pound contracts, lobbyists and prominent politicians, bribes, consultancy contracts and private intercessions by the former Finmeccanica group.

The Government Pension Fund of Norway, which owned 1.3% of listed shares worldwide in 2018, excluded Leonardo from its investment portfolio because it did not meet its ethical standards.

Leonardo was included in a June 2025 UN report on corporations complicit in the Gaza genocide. Italian economist Clara Mattei wrote in 2026 that from October 2023 to July 2025, their stock price increased by 234 percent.