French aerospace manufacturer Safran has significantly raised its financial outlook for 2028, driven by exceptional performance in its civil engines aftermarket and robust demand from the defense sector. The company reported strong revenue growth, improved profitability, and record cash generation in its latest fiscal year, fueling optimism for future expansion.
Safran announced impressive financial results for 2025, with revenues climbing 14.7% year-over-year to €31.32 billion. This growth was primarily fueled by a strong rebound in civil aftermarket services, which saw a 17.6% increase in spare parts revenue. Higher LEAP engine deliveries and increased shop visits by third-party maintenance, repair, and overhaul (MRO) providers also contributed significantly. Services revenue for civil engines surged by 30%, largely due to the expansion of LEAP aftermarket activities under rate-per-flight-hour contracts.
The company’s recurring operating income saw a substantial rise of 26.2% to €5.19 billion, with operating margins improving to 16.6%. This expansion is attributed to strong operating leverage, productivity enhancements, and disciplined cost management. Despite some one-off items totaling €479 million in FY25, including a capital loss from the divestment of Safran Passenger Innovations and impairment charges, net income still grew by 3.5% to €3.17 billion, resulting in earnings per share of €7.60.
Buoyed by its strong performance, Safran has confidently revised its 2028 financial ambitions. The company now targets between €7 billion and €7.5 billion in recurring operating income, a notable increase from its previous €6 billion-€6.5 billion projection. Furthermore, Safran anticipates generating €21 billion in cumulative free cash flow between 2024 and 2028, up from the earlier forecast of €15 billion-€17 billion. This upward revision reflects sustained demand in key business segments and the company’s strategic execution.