German engine manufacturer MTU Aero Engines (OTC:MTUAY) on Wednesday raised its guidance for 2025 based on a lower assumed exchange rate of the euro versus the U.S. dollar, as it topped market expectations for 2024 revenue.

Stronger U.S. dollar benefits the Airbus and Boeing (NYSE:BA) supplier as it books most of its orders in dollars.

MTU, which also makes the engine for the Eurofighter Typhoon, forecast revenue of between 8.7 billion and 8.9 billion euros ($9.10 billion and $9.31 billion) for 2025, up from a previous range of 8.3 billion to 8.5 billion euros.

It also expects its adjusted operating profit to grow in a mid-teens percentage range, compared with the earlier range of low to mid-teens.

The company said the outlook was now based on an exchange rate of 1.05 euros to 1 dollar, instead of the previously assumed rate of 1.10.

MTU reported an 18% rise in its annual adjusted revenue to 7.5 billion euros in 2024, beating analysts’ average forecast of 7.4 billion euros in a company-provided consensus.

It said all business areas should contribute to further revenue growth in 2025.

($1 = 0.9564 euros)