The Board of Directors of Dassault Aviation met last week, under the chairmanship of Mr. Éric Trappier, and approved the 2024 half year financial statement.

The Statutory Auditors have performed a limited review of these consolidated financial statements and have expressed an unqualified opinion.

At the end of the Board meeting, Éric Trappier said during a press conference: “The global context in this first half-year remains marked by the war in Ukraine and the state of war in the Middle East. In France, the President of the Republic, as head of the armed forces, wrote to defense manufacturers urging them to step up their efforts in the context of a war economy. In response to this call, I instructed Dassault Aviation employees to prioritize Rafale production, for both France and for Export.

The first half of 2024 saw:

• The entry into force of the third batch (18 Rafale) of the Indonesia contract in January. As a result, the Group’s backlog broke a new record, reaching EUR 41.2 billion on June 30, 2024 (306 aircraft - 159 Rafale Export, 64 Rafale France and 83 Falcon)
• The first Falcon 6X customer deliveries, after its entry into service in November 2023
• The delivery of 6 Rafale to France and 12 Falcon as the Group continues to suffer from supply chain problems
• Adjusted net sales amounted to EUR 2,538 million for the half-year, leading to adjusted net operating income of EUR 170 million and Group adjusted net income of EUR 442 million, i.e. a net margin of 17.4%

With 495 aircraft ordered since its launch, including 18 for Indonesia this half-year, the Rafale has confirmed its success. Users of our fighter aircraft appreciate its operational qualities as well as its continuous evolution in line with new standards currently under development and those to be introduced in the future. We are preparing for the future of the Rafale with the F5 standard accompanied by a combat drone, and remain committed to developing the F4 standard. The Group has reaffirmed its crucial role as an architect of complex systems.

In the military sector, during the first half of the year, we:

• Recorded order intake for the third batch (18 Rafale) of the Indonesia contract
• Delivered 6 Rafale to France, supported the French and export fleets and continued work to develop the F4 standard

In the civilian sector, during the first half of the year, we:

• Recorded 11 Falcon orders, compared with 12 in the 1st half of 2023, and delivered 12 Falcon, compared with 9 in the 1st half of 2023
• Delivered the first Falcon 6X to customers and continued the world tour
• Continued the development and manufacture of the first Falcon 10X. First deliveries are scheduled for 2027

Corporate Social Responsibility remains a major commitment of the Group, particularly for the decarbonization of its products and processes. The SAF (Sustainable Aviation Fuel) plan that we have put in place is ramping up by the intensification of the use of alternative fuels. In 2024, the Group maintained an attractive remuneration policy. The recruitment target is approximately 2,000 new employees (of which more than half has been achieved as of June 30th) with a focus on their integration and training.

Like other major players in the aerospace industry, the Group is suffering from a difficult supply chain. There are many shortages in our production lines due to supplier inefficiencies in some cases, especially in the aerostructure sector. These difficulties have given rise to risks affecting Falcon and Rafale deliveries, and also impact customer support. The Group is taking internal and external measures to mitigate these effects and to anticipate sub-contractor inefficiencies. Moreover, given the links forged with Indian companies as part of the “Make in India” initiative and the major business opportunities we have there in the future, India has emerged as an opportunity to expand our supply chain.”

“In a difficult context due to the supply chain, our 2024 objectives remain unchanged: Increased revenue compared to 2023, EUR 6 Bn range (of which 35 Falcon and 20 Rafale),” Eric Trappier concluded.

With over 10,000 military and civil aircraft (including 2,700 Falcons) delivered in more than 90 countries over the last century, Dassault Aviation has built up expertise recognized worldwide in the design, development, sale and support of all types of aircraft, ranging from the Rafale fighter, to the high-end Falcon family of business jets, military drones and space systems.

In 2023, Dassault Aviation reported revenues of €4.8 billion. The company has 13,500 employees.