Earnings Alerts

Safran SA (SAF) Earnings: Strong 1Q Adjusted Revenue Surpasses Expectations

  • Safran’s first-quarter adjusted revenue reached €7.26 billion, surpassing the estimate of €7 billion, marking a 17% year-over-year increase.
  • The Adjusted Propulsion revenue was €3.68 billion, up 19% from last year, and exceeded the forecast of €3.51 billion.
  • Adjusted Equipment & Defense revenue totaled €2.78 billion, a 14% increase year-over-year, slightly surpassing the estimate of €2.77 billion.
  • The Adjusted Aircraft Interiors revenue was €788 million, growing by 17% compared to last year, and slightly higher than the expected €782.4 million.
  • Organic adjusted revenue increased by 13.9%, which was above the estimated 13.3% growth.
  • LEAP engine deliveries were at 319, which is a 13% decrease from the previous year and below the estimated 365.5 units.
  • CFM56 engine deliveries remained consistent at 12 units, compared to 12 units delivered last year.
  • Safran reaffirmed its full-year forecast for 2025, projecting adjusted recurring operating income in the range of €4.8 billion to €4.9 billion, aligned with the €4.87 billion estimate.
  • Free cash flow is expected to be between €3 billion and €3.2 billion, near the estimated €3.17 billion.
  • Safran is maintaining its full-year 2025 outlook while actively working with customers to manage tariffs through strategies like adapting logistics, optimizing Free Trade Zones and Bonded Warehouses, and seeking duty drawbacks and USMCA exemptions.

A look at Safran SA Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth5
Resilience3
Momentum4
OVERALL SMART SCORE3.2

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Safran SA‘s long-term outlook appears to be promising. With a strong Growth score of 5, the company is positioned for expansion and development in the aerospace, defense, and security sectors. Additionally, a Momentum score of 4 suggests that Safran SA has positive market momentum, indicating potential for continued growth in the future.

While the Value and Dividend scores are more moderate at 2, Safran SA‘s overall Resilience score of 3 underscores the company’s ability to weather economic uncertainties and challenges. With a diversified portfolio that includes engines, systems, equipment, and security solutions, Safran SA is well-equipped to navigate the ever-evolving aerospace and defense industries.

### Safran SA is an international tier-1 supplier of systems and equipment in aerospace, defense, and security. The Company sells engines for airplanes, helicopters, launch vehicles and missiles, landing and braking systems, nacelles, onboard electrical systems, optronics, avionics, identity documents, biometric equipment, smartcards, explosives detection, & trace analysis systems. ###


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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