Jet engine maker and aerospace supplier Safran on Friday revised up its 2022 revenue and free cash flow forecasts, as its quarterly revenue was bolstered by a strong dollar.
The company said it now projected full-year revenue of EUR 19 billion, compared to a prior forecast of EUR 18.2 billion to EUR 18.4 billion.
Safran also said it expected full-year free cash flow to exceed the EUR 2.4 billion which it had previously reported.
The French company stuck with a forecast of full-year civil aftermarket growth of 25% to 30%.
According to Safran’s Chief Executive Officer Olivier Andries, the improved guidance reflected currencies and “confidence in our ability to deliver.”
Yet, Safran warned there could be some dilution to operating margins due to a recent increase in the currency hedging book.
On a like-for-like basis, Safran’s third-quarter revenue went up 17.9% year-on-year to EUR 4.849 billion ($4.84 billion), driven by propulsion and interiors.
The company also said that it expected to finalize the acquisition of Thales’s electrical systems business in 2023.