09/03/2023
Shares in Dassault Aviation SA (EPA:AM) soared by as much as 11% on Thursday, touching a record high, after the fighter plane maker posted better-than-expected annual net profit and revenue despite facing severe supply chain constraints.
The French company reported full-year adjusted net income of €830 million (€1 = $1.0567), up from €693.45M in 2021 and well above analysts estimates of €673.5M. Adjusted net sales of €6.93 billion were also higher than projections of €6.37B.
The business was boosted by a surge in order intake at its defense units, with countries like the United Arab Emirates, Greece, and Indonesia snapping up Dassault's key Rafale fighter jets in particular. Dassault called its 156 aircraft orders in 2022 "historic," adding that they were worth €21B.
But Dassault flagged that its suppliers were impacted by several crises, including the war in Ukraine, COVID-19 restrictions in Asia, and elevated inflation. Supply chains, especially in the aviation sector, were "severely affected" throughout the year and are still under "significant pressure" as a result, Dassault said.
