Safran expects further growth after 2014 results beat expectations

February 25 (SeeNews) – French aerospace and defence group Safran (EPA:SAF) forecast a revenue and profit growth this year after reporting better-than-expected results for 2014 and an almost 5% yearly rise in adjusted net profit to EUR 1.248 billion (USD 1.417bn).

Full-year revenue went up an annual 6.9% to EUR 15.355 billion driven by a continued growth in all aerospace activities and good performance in the security and avionics sector.

Core operating profit totalled EUR 2.089 billion, up 17.4%. Operating margin climbed to 13.6% from 12.4%.

The group generated free cash flow (FCF) of EUR 740 million last year, 35% of the core operating profit. The available cash and cash equivalents totalled EUR 1.63 billion at year-end and the net debt stood at EUR 1.503 billion versus EUR 1.22 billion at the end of 2013.

Safran proposed a dividend of EUR 1.20 per share, a 7.1% increase on the dividend paid out for 2013.

The group forecast an upper-single-digit growth in revenue and a double-digit increase in core operating profit this year. It also expects the FCF generated throughout 2015 to account for 35%-45% of the full-year core operating profit.

(EUR 1 = USD 1.135)

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