Safran sees strong start to 2019
CEO Philippe Petitcolin says the company is following very closely the announcements regarding the Boeing 737 MAX in order to adapt production rates if necessary.
Safran reported adjusted sales of €5.8bn for the first quarter of 2019, a 36.9% improvement on the same period the previous year. Adjusted sales grew 12.6% organically, thanks to strong momentum in Propulsion, Equipment and Defence activities.
Q1 2019 civil aftermarket increased 10.2% in USD terms, driven notably by spare parts sales for second-generation CFM56 engines.
The company notes that organic performance is trending above full-year guidance. The impacts of the Boeing 737 MAX situation are being closely monitored — CFM has maintained the production rate for the LEAP-1B at this point and will undertake temporary adjustments if necessary.
Combined deliveries of CFM engines (LEAP and CFM56) increased by 15.9% to 577 units in Q1 2019 from 498 units in Q1 2018.
424 LEAP engines were delivered in Q1 2019 compared with 186 units in the year-ago period.