Safran (SAF) Q3 2025 TU earnings summary

Executive summary

• Q3 2025 adjusted revenue reached €7.9 billion, up 18.3% year-over-year, driven by record LEAP engine deliveries and robust aftermarket and services performance, with smooth integration of Collins Aerospace's actuation and flight control activities acquired in July.

• Nine-month 2025 adjusted revenue totaled €22.6 billion, up 14.9%-15% year-over-year, reflecting strong organic growth and 1,240 LEAP engine deliveries (+21%).

• Full-year 2025 guidance was raised across all metrics, factoring in tariff and currency risks, with recurring operating income and free cash flow both upgraded.

• Strategic industrial expansions included a new LEAP MRO facility and assembly line in Morocco, and new defense partnerships in Europe.

• The Collins Aerospace acquisition is expected to contribute ~€650 million in revenue with a mid-single-digit recurring operating margin before integration costs.

Financial highlights

• Q3 2025 adjusted revenue was €7,852 million (+18.3%), with organic growth of 18.5% and a negative currency impact offset by scope effects from the Collins acquisition.

• Nine-month 2025 adjusted revenue reached €22,621 million (+14.9%), with organic growth of 15%.

• Propulsion revenue rose 25.6% in Q3, with civil OE and aftermarket both showing strong growth; spare parts up 16%-16.1% and services up 24%-24.2%.

• Equipment & Defense revenue increased by 11.7%-18.9% in Q3, with both OE and aftermarket growing.

• Aircraft Interiors revenue was up 9.8%-10% in Q3, with OE sales up 11.7%-12% and services up 6.8%-7%.

Outlook and guidance

• Full-year 2025 revenue growth expected at 11%-13%, with recurring operating income of €5.1-€5.2 billion and free cash flow of €3.5-€3.7 billion.

• LEAP engine deliveries expected to rise by more than 20% versus 2024; maintenance services to grow in the low to mid-twenties percent range in USD.

• Collins Aerospace activities expected to contribute €650 million in revenue with a mid-single-digit recurring operating margin before integration costs.

• Tariff impact for 2025 included in guidance, expected to be a negative €100-€150 million on recurring operating income.

• Guidance reflects ongoing supply chain and certification risks.