German arms manufacturer Rheinmetall is targeting even stronger growth in the coming years due to the war in Europe and rising defense budgets in Western countries.

According to the company's investor presentation, sales are expected to increase by an average of one fifth annually until 2026.

Sales revenue of 13 billion to 14 billion euros and an operating profit of over 15 percent are targeted in 2026, while Rheinmetall forecasts revenue of 7.4 billion to 7.6 billion euros for this year.

The company forecasts an operating profit on sales of around 2023 percent for 12.

The German arms manufacturer's full order books also support its growth targets.

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On the other hand, the war between Ukraine and Russia is encouraging governments in Europe to increase defense spending, which is also effective in increasing sales of German arms manufacturer Rheinmetall.

The company also supplies arms and ammunition to Ukraine. According to the presentation, NATO countries' defense budgets have increased as a result of the war in Ukraine.

Following the presentation, Rheinmetall shares rose 4 percent to 190 euros today.