The increase reflects a planned rise in Rafale output from two aircraft a month in 2025 to four a month by 2029. Safran supplies the M88 engine that powers the fighter.
“As announced, Rafale production is ramping up from two aircraft per month in 2025 to four per month by 2029, resulting in M88 engine deliveries more than tripling in the first half,” Chief Financial Officer Pascal Bantegnie said.
The military-engine ramp-up helped lift first-half revenue in Safran’s propulsion division to €9.2 billion, an organic increase of 28%. The business also benefited from higher civil-engine activity and increased missile propulsion deliveries.
Safran’s management detailed the M88 performance during the company’s second-quarter earnings call. Bantegnie said military engines had made a positive contribution to the propulsion division’s results.
The division recorded recurring operating income of €2.3 billion, almost €500 million more than in the first half of 2025. Its operating margin reached a record 24.5%, up 1.2 percentage points from a year earlier.
Bantegnie said civil-engine aftermarket activity remained the main factor behind the margin performance. However, he also identified M88 deliveries as an important contributor.
“We benefited from a very good performance we enjoyed in the military engines, notably on the M88,” Bantegnie said. “As we said, we tripled the volume of engines we have delivered in H1 2026 compared to last year.”
Safran could receive an additional financial benefit from continuing discussions concerning 114 Rafale fighters for the Indian Air Force. Management said any advance payments received before the end of 2026 would come on top of the company’s existing guidance.
The group has not assumed such payments in its financial forecasts. Safran did not disclose their potential value or indicate when the negotiations might be completed.
“We have not factored in any advanced payments, which could come before year-end from the current contract into discussion with the Indian Air Force for 114 Rafales,” Bantegnie said. “This is not in our guidance, and this could come as an upside if we do receive any payments before year-end.”
Advance payments made only a limited contribution to Safran’s first-half cash performance, according to the CFO. He said the company’s €2.6 billion in free cash flow was not driven by customer advances.
The comments place the M88 programme among Safran’s main defence growth drivers in 2026. Further progress in the Indian discussions could add another large requirement to a production base already expanding to support higher Rafale output.
