Alstom cut its 2026/27 forecasts, with expected operating margin reduced from 6.5% to 1%, and delivery delays pushing some revenue into later years.
An analysis says investors should focus on Alstom’s free cash flow recovery rather than its order book when judging turnaround potential.
A commentary says Alstom shares fell sharply after two profit warnings, with the company still weighed down by delayed projects, cost overruns and integration issues after the Bombardier Transportation deal. It says another warning cannot be ruled out as the new CEO prepares a future strategy update in 2027.
Alstom said first-half revenue rose 3% to €9.3 billion and orders rose to €11.0 billion, but it cut its 2026/27 outlook. The company cited technical issues and testing requirements on the Coradia Max platform and revised margins on selected rolling stock projects.
Alstom says the new-generation TGV, known in France as TGV M, has entered commercial service. It is the first train based on Alstom's Avelia Horizon very high-speed platform and builds on the company's long history in high-speed rail.
Financial Times article on Alstom says the French rail company is facing a series of disruptions and knock-on problems. The provided text is only a partial excerpt.
Alstom says the new-generation TGV M, based on its Avelia Horizon platform, has entered commercial service in France on SNCF’s Paris–Marseille route. The train offers higher capacity, lower energy use and predictive maintenance features, and is the first operational reference for the platform.
Alstom cut its 2026/27 outlook after production delays and technical issues on the Coradia Max platform and other German projects. First-half adjusted EBIT margin was about -4%, free cash flow was negative EUR 1.25 billion, and full-year rail vehicle production guidance was reduced to about 4,000.
Eurostar appointed Christophe Fanichet, former CEO of SNCF Voyageurs, as its new CEO. He will oversee a EUR 2 billion fleet investment programme, including up to 50 Alstom double-decker high-speed trains under the Celestia programme, with first service expected in May 2031.
Sydney Metro Southwest has opened passenger services, completing Sydney’s 66 km metro line with 31 stations. Alstom supplied Metropolis trains, Urbalis CBTC signalling and maintenance services for the extension, and also maintains the fleet at Metro Trains Sydney’s Tallawong depot.
Alstom announced the first ETCS Level 2 passenger service in Romania, using a Traxx Passenger electric locomotive and ETCS Level 2 trackside infrastructure between Buftea and Brazi on the Bucharest–Budapest line. The service began after the locomotives entered passenger operation in September 2026.
Berlin-based Rail Unit received a Stadler EuroDual and an Alstom TRAXX MS3 in October 2026 as it expands from railway personnel services into its own freight operations in Germany. The locomotives were leased from European Loc Pool and Northrail, following the company’s railway undertaking licence and safety certification.
India’s Railway Board granted conditional clearance for a 16-car Vande Bharat Chair Car trainset built by RCF Kapurthala with Alstom propulsion, allowing operation up to 160 km/h subject to technical conditions. The Board raised issues on displays, protection, cabling, equipment mounting and traction motor rating.
UIC said it will participate in COP31 to promote rail’s role in climate action, focusing on carbon-credit methodologies and including rail in national adaptation planning. It also highlighted the MoveCredits Coalition and joint work with UITP and Alstom on rail and public transport climate finance and resilience.
ZSSK plans to invest €43.9 million in six battery-electric shunting locomotives for Bratislava and Žilina, with delivery planned by end-2030. Slovakia’s finance ministry recommends battery traction over diesel on lifecycle-cost grounds, ahead of ETCS-only operation on key corridors from 2031.
UIC describes rail-related climate work under COP action plans on freight modal shift, urban transport, and infrastructure resilience. It cites a new study on National Adaptation Plans showing rail is often mentioned but rarely backed by costs or funding, and says COP31 discussions will address green freight corridors and carbon markets.
Pune Metro Line 3, a 23.2-km PPP corridor linking Hinjawadi and Shivajinagar, opened on 3 November as the first metro project under India’s 2017 New Metro Rail Policy. Siemens supplied systems integration, CBTC, electrification and depot equipment; Alstom supplied 22 three-car trainsets.
A Scottish fatal accident inquiry found that an off-design drain, missing as-built records, and maintenance and weather-management gaps contributed to the 2020 Carmont derailment. The inquiry said building the drain to its approved design might realistically have prevented the crash. No new recommendations were made.
Hitachi Rail Spain and Hitachi Rail Turkey signed a contract to supply, install and commission signalling systems on Turkey’s Ankara-Istanbul line at T26 and Bilecik depot. The scope includes interlockings, the Traffic Control Centre, telecommunications expansion, and ETCS Level 1 and 2.
Holmatro says it has developed and supplied rerailing hydraulic systems for trains, metros and trams over the past decade, with deployments in countries including the Netherlands, Australia, the United States, Spain, China and Thailand. It highlights lighter aluminum components, remote control, and safety features for faster recovery after derailments.
Renfe named Siemens Mobility the winner of a tender for up to 40 high-speed trains in Spain, with a rendering shown of the Velaro Novo design.
Hitachi Rail signed a contract to supply railway signalling systems for the T26 tunnel and Bilecik depot on Turkey’s Ankara–Istanbul line.
Danish State Railways awarded ELL a EUR 26.35 million lease contract for up to 12 Siemens Vectron AC locomotives for regional and long-distance passenger services. The contract includes maintenance, spare parts and availability support, with initial entry into service expected from December 2026.
Siemens completed its acquisition of MERMEC’s signaling, electrification, telecommunication, diagnostics and analytics businesses. The acquired perimeter includes about 1,700 employees and €430 million in fiscal 2025 revenue, with signaling contributing about 60% of revenue. Siemens said the businesses serve customers in more than 70 countries.
Siemens Mobility and Lufthansa Technik Defense have proposed a medical evacuation train for more than 150 patients, including intensive-care cases. The concept uses Vectouro coaches and a Vectron X locomotive, with a dual-mode option under consideration, for cross-border use on Europe’s standard-gauge network.