Safran 2026 H1 Results Review: Civil Aero Engine Momentum Continues; LEAP Ramp-Up Drives Profitability to New Heights - [Changjiang Defense]

English summary

Event: Safran released 2026 H1 results, with 26H1 revenue of EUR 17.57B, +19% YoY; organic growth of 20.2% excluding FX and consolidation effects; recurring operating profit of EUR 3.24B, +29% YoY, operating margin improved to 18.4%; free cash flow of EUR 2.62B, +43% YoY. The company also raised its full-year guidance. Aero engine aftermarket continues to explode, becoming the core driver of performance growth. 2026H1 Propulsion revenue was EUR 9.18B, +21.7% YoY, with margin reaching 24.5%, +1.2pct YoY. Among this: civil engine spare parts revenue (USD terms) +27.9% YoY, mainly benefiting from deepening CFM56 maintenance cycles and expansion of LEAP engine maintenance scale; engine services revenue (USD terms) +40.4% YoY, mainly from growth in LEAP RPFH (rate per flight hour) contracts; ...