Saab, the Swedish defense equipment manufacturer, reported Q1 results that exceeded analysts’ expectations, according to Reuters news agency.

The company, which competes with major players such as Lockheed Martin, Dassault, and BAE Systems, reported a doubling of order intake to 17.02 billion Swedish crowns ($1.66 billion).

Its order backlog increased to SEK 132.66 billion from SEK 128 billion.

Saab’s strong performance in the first quarter 2023 was partly due to a significant order worth SEK 8 billion ($767.54 million) from the government of a Western country awarded in Feb.2023. The order was for a multi-purpose shoulder-launched weapon called Carl-Gustaf and a short-range air defense system called RBS 70 NG.

The surge in demand for its products is attributed to geopolitical tensions caused by the war in Ukraine.

As previously reported, RBS-70 MANPADS was spotted in a photo of a soldier of the newly created 88th Mechanized Brigade of the Armed Forces of Ukraine.

Saab’s CEO, Micael Johansson, said that countries are increasing their stocks to improve their resilience, and this has translated into a strong order intake.

The company’s strong performance was driven by increased demand in the surveillance and dynamics businesses.

Saab’s operating profit for the quarter was SEK 928 million ($90.16 million), up from SEK 654 million a year earlier.

Despite the strong start to the year, the company expects that growth in the remaining quarters of 2023 will slow from the first quarter.