Latécoère (LAT) H1 2025 earnings summary

Executive summary

• Revenue grew by 6.4% year-over-year to €374.6M, driven by higher OEM demand, new contracts, and value creation initiatives launched in 2024.

• EBITDA improved significantly to €22.3M from a loss of €1.8M in H1 2024, reflecting operational leverage, cost control, and commercial initiatives.

• Net result improved to a loss of €6.8M versus a loss of €49.9M in H1 2024, despite ongoing inflation and supply chain challenges.

• The group finalized the sale of its MADES subsidiary to refocus on core aerostructures and interconnection activities.

• Continued investment in platform, workforce, and business model resilience to align with customer needs.

Financial highlights

• Revenue: €374.6M (+6.4% year-over-year); EBITDA: €22.3M (vs. -€1.8M); Net result: -€6.8M (vs. -€49.9M).

• Free cash flow from continuing operations: -€0.4M; Net debt: €182M; Cash and equivalents: €42.4M at June 2025.

• Financial net result: -€16.3M, impacted by interest on loans and FX losses.

• Net debt reduced to €182M from €201M at June 2024.

• Operating free cash flow improved from -€40.9M to -€0.4M.

Outlook and guidance

• Inflation and supply chain constraints expected to persist through 2025.

• Full-year growth in volumes and EBITDA anticipated, with operational improvements and cost savings offsetting inflation.

• Positive free cash flow expected, supported by efficiency gains and restructuring.

• Expects further improvements in profitability and cash flow in H2 2025, driven by volume growth and operational efficiency.

• Well positioned to capitalize on strong demand in civil, military, and space markets.