Excalibur Army has grown into the largest defence industry company in the Czech Republic
EXCALIBUR ARMY spol. s r.o. (EA) earned a record CZK 18,704,927 thousand [EUR 779,145 thousand] in 2023. This is almost 40 percent increase compared to 2022, when it earned CZK 13,506,010 thousand [EUR 549,807 thousand[2]]. It achieved a profit before tax (EBT) of CZK 4,534,611 thousand [EUR 188,887 thousand], which represents a more than twofold increase compared to 2022, when the pre-tax profit was CZK 2,035,998 thousand [EUR 82,882 thousand]. Sales of goods were crucial for the company in 2023, reaching CZK 14,901,391 thousand [EUR 620,710 thousand] compared to CZK 11,027,869 thousand [EUR 448,926 thousand] in 2022. The Company generated these revenues mainly from the sale of weapons and ammunition. Revenues from the sale of own products and services for 2023 amounted to CZK 3,803,536 thousand [EUR 158,434 thousand], while in 2022 they reached CZK 2,478,141 thousand [EUR 100,881 thousand]. The company generated these revenues mainly from the sale of military equipment. Thanks to its successful business, EA is a major contributor to public budgets: In the Czech Republic, it will pay approximately CZK 869 million [approximately EUR 36 million] in income tax for 2023, and another CZK 103.5 million [EUR 4.3 million] was her contribution to the social security and health insurance systems.
Petr Kratochvíl, CEO of EA, commented on the results: "Our company has two pillars of business: trading in military equipment, which we acquire on the world market, and selling our own products and related services. In both pillars, we recorded strong year-on-year growth, which is due not only to the conflict in Ukraine, but also to growing defence investments in NATO countries and elsewhere in the world."
EA has finalized several major contracts in 2023. EA delivered to customers Pandur II 8x8 vehicles, DANA M2 howitzers and Viktor light anti-aircraft systems, products that are the result of EA's own development and design activities within EA and other companies of the CSG Group, to which EA belongs. During 2023, modernized T-72 tanks, infantry fighting vehicles and other categories of weapons and ammunition were delivered.
"For security reasons, we cannot disclose details about our orders and customers. It is true that more than two-thirds of our sales were made in NATO countries, other important territories for us are, of course, Ukraine and Indonesia," says Jiří Doležel, EA's Sales Director.
Projects and outlook for 2024
During 2024, EA will continue to supply its own products. A contract has been signed for further deliveries of Viktor systems, AM-70 bridge vehicles, TREVA-30 recovery vehicles and DITA 155 mm self-propelled howitzers will be shipped to customers. EA will continue to supply modernized T-72 tanks and infantry fighting vehicles. As far as domestic orders are concerned, EA will be involved in Czech subcontracts for the production of French Caesar howitzers, which the Ministry of Defence of the Czech Republic has ordered from Nexter Systems in the number of 62 pieces. This project will be implemented until 2026.
Another important project is the contracted assembly work for the Swedish company BAE Systems, which will supply CV90 armoured vehicles to the Czech Army. EA will perform this contract continuously until 2030.
"We expect that the currently signed contracts for the supply of products, goods and services will be reflected in the company's results in 2024 with a further significant increase in sales," says Sales Director Jiří Doležel.
Investment and recruitment
"The increased demand and the volume of signed contracts fully utilize our capacities, which we are trying to further increase in connection with the performance in contracts. We are expanding the company's production capacity in the existing premises in the production area in Přelouč. The construction of a new assembly hall and administrative facilities is in full swing in the Šternberk complex," says EA Executive Director Zdeněk Novobilský.
The new hall in Šternberk should be completed in December 2024 and put into operation at the beginning of 2025. Due to the construction and subsequent commissioning, an increase of up to 200 employees in production and administration is planned.
EA's total core employees increased from 524 as of December 31, 2022 to 604 as of December 31, 2023 during 2023.
Research and development
In 2023, the development of a ballistic protected cabin for the PATRIOT vehicle was underway in order to achieve ballistic and mine protection level 2 and 3 according to the STANAG 4569 NATO standard. The project is supported by the Technology Agency of the Czech Republic.
The final tests completed the development of the new generation TREVA-30 wheeled recovery vehicle. The vehicle is designed for recovery, towing, towing and crane handling of wheeled and tracked vehicles weighing up to 30 tons and can be used by both military and rescue forces. Preparations for the production of 15 of these vehicles for a foreign customer have begun.
In 2022, the development of the 155 mm DITA self-propelled gun howitzer on a modified Tatra chassis was completed. Mainly shooting tests and SW modifications (on-board control system and its connection to the fire control system) took place. Diagnostics of the main howitzer systems have been newly developed and tested. Production and operational documentation is prepared. Serial production of customer-specific vehicles began.
Last year, the development of a new type of wheeled armoured vehicle PATRIOT with a welded self-supporting cabin was also launched. It is a short "pick-up" version with an open rear compartment for various types of superstructures. The first concrete prototypes will be vehicles with 81 and 120 mm mortars and the TRITON firefighting vehicle in a new configuration for firefighters in Germany.
In 2023, the research and development sub-project of a self-propelled wheeled howitzer with the type designation MORANA with a 155 mm calibre gun with a barrel length of 52 calibers according to NATO standards, which was supported by a subsidy program of the Ministry of Industry and Trade of the Czech Republic, was successfully completed. The next development phase continues this year with testing and shooting tests. The howitzer is integrated on a newly developed special TATRA Force 8x8 chassis with a ballistic protected cabin. In addition to the main weapon of 155 mm calibre, the weapon superstructure also has an integrated weapon station with a 12.7 mm machine gun. The howitzer has new feeders and ammunition conveyors. The howitzer is operated by three people, and in addition to replenishing ammunition to the conveyors, all preparatory and firing activities take place from the cabin. In the left ballistic protected turret there is an emergency workplace for one crew member, which allows you to conduct fire or complete a firing task in emergency mode or in the event of a failure of part of the howitzer systems.
The development of the TRCV-30 wheeled rescue vehicle also continued. It is a vehicle designed specifically for rescue and crane handling with wheeled and tracked vehicles weighing up to 30 tons. It can be used for military and civilian applications. Compared to the TREVA 30 vehicle, it has significantly wider recovery capabilities in all directions and is not equipped with a fork. The prototype uses the proven TATRA 8x8 chassis with a new shorter two-door ballistic resistant PUMA cab (protection level 2 according to STANAG 4569), on which a special crane superstructure is integrated.
History of Excalibur Army
The company was founded in 1995 and initially focused on the trade in surplus military equipment. Since 2000, it has expanded its activities to include the sale of spare parts for military wheeled and tracked vehicles, the sale of weapons and ammunition and other military equipment.
In 2005, a plant was opened in Přelouč (on the premises of the former militry repair plant Přelouč), where large investments were made in repairs and reconstruction of the premises in the following two years. Subsequently, the company's management and part of the administration moved to Přelouč and a repair workshop and paint shop were put into operation.
The company began to repair, refurbish and modernize main battle tanks, infantry fighting vehicles and artillery systems - rocket launchers and howitzers. At the same time, it also supplied a number of spare parts, including engines. It has gradually established strategic cooperation with leading foreign manufacturers in the field of land-based defence systems and has begun to offer advanced defence systems of its own development and production.
In 2012, EA leased part of the state-owned company VOP Šternberk and in 2013 it bought the entire Šternberk production plant, with more than 60 years of tradition in the repair and production of military equipment and spare parts, by winning a tender in which it offered the highest price.
Today, it offers many types of military vehicles, weapon systems and ammunition, for which it provides complete service, including modernization.
In 2014, EXCALIBUR ARMY became part of the CZECHOSLOVAK GROUP holding. At the beginning of 2016, civilian divisions were excluded from the company into separate entities and EXCALIBUR ARMY has been fully focused on orders related to military equipment since that year.
The company's vision is to become a globally successful manufacturer and supplier of special ground equipment for security and rescue services, offering sales, service, reconstructions and modernizations of proven types of equipment, as well as new types of equipment that are the result of its own development.
- Excalibur Army has grown into the largest defence industry company in the Czech Republic.
- In 2023, the company's total revenues reached CZK 18.7 billion [EUR 779 million[1]], up almost 40 percent year-on-year.
- Revenues from the sale of goods amounted to CZK 14.9 billion [EUR 621 million], up 35 percent year-on-year. This was mainly the sale of weapons and ammunition.
- Revenues from the sale of products and services amounted to CZK 3.8 billion [EUR 158 million] and increased by 53 percent year-on-year. This was mainly the sale of military equipment.
- EBT (profit before tax) reached CZK 4.5 billion [EUR 188 million] and grew by 125 percent year-on-year.
- The company will pay approximately CZK 869 million [approximately EUR 36 million] in income tax to the Czech Republic, and has also contributed CZK 103.5 million [EUR 4.3 million] to public budgets on social security and health insurance.
- The vast majority of sales are export orders and a significant part of the profit is reinvested in expanding production and development.
- Most of the sales are made within NATO countries and, of course, in Ukraine, other important markets are countries in Asia and Africa.
- The company successfully implements a number of development projects of special ground equipment for armed forces and rescuers.
- In 2023, the development of the DITA howitzer, which is already in mass production, was successfully completed. The final development of the MORANA howitzer continues.
