France's Thales Logs Surge in Defense Orders

By Mauro Orru

Thales reported higher orders for the first quarter, led by a booming defense business as wars in Ukraine and Iran prompt governments to strengthen their air defenses with new systems and radar technology.

The French aerospace-and-defense company reported first-quarter orders of 4.65 billion euros, equivalent to $5.48 billion. Orders rose 23% in reported terms and 27% organically, a closely watched rate that shows performance at constant scope and exchange rates. Analysts had forecast orders of nearly 4.85 billion euros, according to a market consensus provided by the company.

Thales's aerospace operations contributed 1.52 billion euros, growing 1% organically due to what the company said was a high comparison basis a year earlier when it booked a large order in training and simulation. Orders at the smaller cyber and digital business declined 1% organically to 857 million euros.

In contrast, Thales's defense business reported 75% organic growth in orders to 2.24 billion euros, accounting for the lion's share of all bookings. The company said it had bagged five orders valued at more than 100 million euros each in the quarter.

The group confirmed guidance for 2026, projecting organic sales growth between 6% and 7%, with an adjusted earnings before interest and taxes margin between 12.6% and 12.8%.

Write to Mauro Orru at mauro.orru@wsj.com

(END) Dow Jones Newswires

April 21, 2026 01:30 ET (05:30 GMT)