(Reuters) -Norway's Kongsberg said on Thursday its order intake and profits soared in the first quarter, driven by demand for its missiles and air defence systems at a time when European nations step up defence spending and continue to back Ukraine.

The group, whose defence equipment are used by militaries including the U.S. armed forces and many European countries, saw its quarterly order intake rise 63% from a year earlier to 20.74 billion Norwegian crowns ($2 billion), half of which was for the defence and aerospace unit.

The division, Kongsberg's second biggest making up around 40% of its revenue, had last year secured deliveries of critical equipment to Ukraine while also contributing to the completion of F-16 fighter jets and training of Ukrainian soldiers on its systems.

The unit's order intake more than doubled over 2024 amid a surge in demand for defence equipment in light of the war in Ukraine and the escalating conflict in the Middle East.

"In recent years, the demand for missile and air defence systems has contributed to a significant increase in the order backlog and has been an important driver for our capacity expansions," Kongsberg CEO Geir Håøy said in a statement.

Kongsberg's operating earnings before depreciation and amortisation (EBITDA) grew 81% to 3.29 billion Norwegian crowns in the first quarter of the year.

Håøy said growth was also driven by solutions for newbuilding and aftermarket services in the maritime industry and the delivery of subsea technology. Maritime is Kongsberg's biggest division that generated around a half of its revenue last year.

($1 = 10.3497 Norwegian crowns)

(Reporting by Marta Frąckowiak in Gdansk; Editing by Milla Nissi-Prussak)