Safran (SAF) investor relations material

Executive summary

• Achieved record financial performance in 2025, with revenue up 15% to €31.3 billion and recurring operating income up 26% to €5.2 billion, driven by strong aftermarket, LEAP engine ramp-up (1,802 units, +28% YoY), and robust defense growth.

• Margin improved by 150 basis points to 16.6%, exceeding initial 2025 outlook on all metrics.

• Integration of Collins Actuation and Flight Control business advanced; divestments of Safran Passenger Innovations and EZ Air underway.

• Free cash flow reached €3.9 billion, supporting increased investments and shareholder returns, including a proposed €3.35 dividend per share and ongoing share buyback program.

• Raised 2028 ambitions, targeting ~10% CAGR revenue growth, €7.0–7.5 billion recurring operating income, and ~€21 billion cumulative free cash flow for 2024–2028.

Financial highlights

• Revenue reached €31,329 million (+14.7% YoY); recurring operating income €5,197 million (+26.2%), operating margin 16.6%.

• Net income attributable to the parent was €3,174 million (+3.5% YoY); EPS at €7.60.

• Free cash flow was €3,921 million, up 23%, with a 75% EBIT-to-cash conversion ratio.

• Proposed dividend of €3.35 per share (+16% YoY), representing a 40% payout ratio.

• Net cash position at €1,738 million at year-end 2025; liquidity includes €6,789 million cash and €2,000 million undrawn credit.

Outlook and guidance

• 2026 outlook: revenue up low-to-mid-teens, recurring operating income €6.1–6.2 billion, free cash flow €4.4–4.6 billion (including ~€470 million French surtax impact).

• LEAP deliveries expected to rise another 15% in 2026, with a target of 2,600 engines by 2028.

• 2024–2028 revenue CAGR now expected at ~10%; 2028 EBIT guidance raised to €7.0–7.5 billion.

• CFM56 shop visits to plateau at 2,300–2,400 per year through 2028; aftermarket revenue assumptions revised upward.

• FX assumptions: EUR/USD hedge rate of 1.12 through 2028.