Safran Raises Outlook, Forecasts Residual Tariff Hit

By Adria Calatayud

Safran raised its full-year outlook after third-quarter revenue climbed on growth across all its businesses, but forecast that tariffs would lead to a residual hit on its bottom line.

The French aerospace-industry supplier said Friday that its new 2025 outlook includes the impact of tariffs, which the company had excluded up until now due to uncertainty about their effect.

Safran said it estimates a hit to its recurring operating profit--the group's preferred profit metric--of between 100 million and 150 million euros ($116.2 million-$174.3 million), mainly arising from trade flows between China and the U.S. or products not eligible for bilateral agreements.

However, the company said a solid performance in the year to date allowed it to raise guidance for all metrics. Safran forecast adjusted revenue to rise by between 11% and 13%, having previously forecast growth of 10% to 12%. Recurring operating profit is expected to range from 5.1 billion to 5.2 billion euros, up from 5 billion to 5.1 billion previously, it said.

For the third quarter, adjusted revenue jumped 19% organically to 7.85 billion euros, topping consensus expectations compiled by the company of 7.59 billion euros.

Write to Adria Calatayud at adria.calatayud@wsj.com

(END) Dow Jones Newswires

October 24, 2025 01:54 ET (05:54 GMT)