Slide 1: 2024 Full-Year results
2024 Full-Year results 4th March 2025 www.thalesgroup.com
Slide 2: Full-Year 2024 highlights
Full-Year 2024 highlights > Results > Outstanding commercial momentum leading to record order intake > Sales growth above top of guidance range > Adjusted EBIT up double-digit vs. last year > Another year of excellent free operating cash-flow generation > All 2024 financial targets achieved or excee
Slide 3: 2024 key figures
2024 key figures Order intake and book-to-bill (€m) Sales (€m) Adjusted EBIT(b) (€m and %) +9% +11.7% +13.4% +6%(a) +8.3%(a) +5.7%(a) 1.26 1.23 11.6% 11.8% Adjusted net income(b) (€m) Free operating cash-flow(b) Dividend (€) from continued activities (€m) (c) +7.4% +8.8% +8.8% a. Organic: at constan
Slide 4: Continuous progress in CSR performance
Continuous progress in CSR performance Absolute Scopes 1 & 2 CO2 emissions Absolute Scope 3 CO2 Emissions Thales Climate Passport trainings % of managers completion* 278kt 10 065kt 2030 long term Target -15% 2030 long term 2024 Target CLIMATE Target -50% 50% -57.3% -56.8% -24.4% -24.7% 67.4% CHANGE
Slide 5: 2024 order intake
2024 order intake > Outstanding order intake level, notably Order intake by fueled by large orders contract unit value > 16 large(a) orders booked in Q4 2024 €m > 35 large(a) orders booked in 2024 (vs. 25 in 2023) Reported growth: +9.3% > 2024 book-to-bill of 1.23, and 1.28 Organic growth: +6.4% exc
Slide 6: 2024 sales growth
2024 sales growth > Scope and currency impact Drivers of sales change > Scope impacts resulting from: Reported growth: +11.7% ▪ Acquisitions of Imperva and Tesserent (CDI), Cobham €m AeroComms (Aero), Getsat & DRT (Defence): €749m Organic growth: +8.3% ▪ Divestment of Aeronautical Electrical Systems
Slide 7: 2023 to 2024 Adjusted EBIT bridge
2023 to 2024 Adjusted EBIT bridge €m +329 R&D Marketing Scope, & sales Equity G&A Restructuring currency and affiliates 2,419 pensions -64 -61 -32 -11 2,132 -33 Gross margin +159 Naval Group: 2 Scope: +162 Others: -35 Currency: 2 Pensions: -5 2023 2024 Adjusted EBIT Adjusted EBIT Note: The definitio
Slide 8: Aerospace: 2024 key figures
Aerospace: 2024 key figures Change €m 2024 2023 Total Organic Order intake 6,434 5,606 +15% +14% Sales 5,471 5,221 +4.8% +2.9% Adjusted EBIT 391 369 +6.0% -13.9% in % of sales 7.2% 7.1% > Order intake up double-digit vs. 2023 notably driven by several large orders booked in Q4 in Space > Avionics or
Slide 9: Defence: 2024 key figures
Defence: 2024 key figures Change €m 2024 2023 Total Organic Order intake 14,723 13,944 +6% +5% Sales 10,969 9,628 +13.9% +13.3% Adjusted EBIT 1,432 1,270 +12.7% +13.0% in % of sales 13.1% 13.2% © Dassault Aviation K. Tokunaga > New record-high order intake despite high comparison basis due to jumbo
Slide 10: Cyber & Digital: 2024 key figures
Cyber & Digital: 2024 key figures Change €m 2024 2023 Total Organic Sales 4,024 3,504 +14.8% +1.4% Adjusted EBIT 585 491 +19.2% -0.8% in % of sales 14.5% 14.0% > Significant scope impact mainly linked to the acquisition of Imperva > Sales organic growth up low-single digit, as expected, with contras
Slide 11: Summary adjusted P&L: from Adjusted EBIT to Adjusted net income
Summary adjusted P&L: from Adjusted EBIT to Adjusted net income €m 2024 2023 Adjusted EBIT 2,419 2,132 Cost of net financial debt and other financial results (131) (36) Finance costs on pensions and other employee benefits (49) (76) Income tax (427) (370) Effective tax rate 20.4% 20.1% Minorities 67
Slide 12: Cash conversion: from Adjusted EBIT to Free Operating Cash Flow
Cash conversion: from Adjusted EBIT to Free Operating Cash Flow 2024, €m 114% Financial interest Income tax Equity 182 affiliates Capex 26 -140 -185 -22 Other -138 Change items in WCR Depreciation & Restructuring, Amortization: +479 lease depreciations, Net operating pensions… investment: -617 Adjus
Slide 13: 2024 cash conversion outperforming expectations
Adjusted net income conversion 2024 cash conversion into Free operating cash-flow outperforming expectations 162% 185% 115% 107% 114% > 2024: solid cash conversion 2,515 2,527 98% performance, above 100% 2,026 2,027 2,142 > Strong order intake, especially in Defence 113% 1,900 1,880 1,768 markets 1,
Slide 14: Movement in net debt over 2024
Movement in net debt over 2024 €m Net debt Net debt at 31 Dec 23 at 31 Dec 24 Free operating cash-flow from Dividends discontinued +359 paid New leases +2,142 operations (IFRS16) Others -116 Acquisitions & disposals -708 -143 -388 -3,044 -4,190 Free operating Out of which: Out of which cash-flow fro
Slide 15: Adjusted EPS and dividend
Adjusted EPS and dividend Adjusted EPS and > Adjusted EPS has more than doubled dividend per share since 2020 40% € 40% 40% > Proposed 2024 dividend up 9% at 40% €3.70 per share(a) > Pay-out ratio confirmed at 40% 40% (a) xx% Pay-out ratio a. Subject to approval by the 16th May 2025 Annual General M
Slide 16: Strategy and outlook
2024 full-year results Strategy and outlook Full-Year results 2024 16
Slide 17: 2025 Key priorities
2025 Key priorities Continued ramp up to capture market 1 growth 2 Restoring Space profitability Sustained differentiation through 3 innovation Delivering strong value creation from 4 recent acquisitions Full-Year results 2024 17
Slide 18: 1. Continued ramp up to capture market growth
1. Continued ramp up to capture market growth EXPANDING PRODUCTION CAPACITY ATTRACTING & RECRUTING TOP TALENT Several on-going capacity expansions Strong brand awareness 1 million candidates in 2024 Rafale equipment Defence Radar Recruitment with a focus on high expertise roles x3 x3 c. 8,000 re
Slide 19: 2. Restoring Space profitability
2. Restoring Space profitability > Leveraging adaptation plan to drive profitability recovery Key measures: – ~ 1,300 positions impacted, of which 1,000 in France – Teams redeployment internally (engineering, industry) – Cost savings (structure, supply chain) Finalizing adaptation plan by early
Slide 20: 3. Sustained differentiation through innovation
3. Sustained differentiation through innovation THALES IS A WORLD-CLASS INNOVATOR… … ACCELERATING ON TRUSTWORTHY AI Critical mass in R&D cortAIx: Thales AI accelerator – 33,000 Thales employees – 800 AI experts by the end of 2025 and ~100 Phd students – €4.2Bn yearly investment (20% of sales) –
Slide 21: 4. Delivering strong value creation from recent acquisitions
4. Delivering strong value creation from recent acquisitions CONTINUING SUCCESSFUL VALUE CONSISTENT M&A STRATEGY GOING CREATION OF RECENT ACQUISITIONS FORWARD S Already delivering strong operational Selective and pragmatic M&A performance - Strengthening core businesses: strategic and cultural fi
Slide 22: 2025 financial objectives
2025 financial objectives 1 2 3 Order intake Sales Adjusted EBIT margin(b) Book-to-bill +5% to +6%(a) 12.2% to 12.4%(a) above 1 organic growth, corresponding to €21.7 to €21.9 billion a. Based on March 2025 scope and foreign exchange rates. Assuming no new major disruptions of macroeconomic and geop
Slide 23: Appendix
Appendix Full-Year results 2024 23
Slide 24: 2025 upcoming events
2025 upcoming events 24th April 16th May 22th May (before market) Annual Dividend Q1 2025 General payment(a) sales Meeting 23rd July 23rd October (before market) (before market) H1 2025 Q3 and 9m results 2025 sales a. Subject to approval by the 16th May 2025 Annual General Meeting. Ex-dividend date:
Slide 25: 2024 order intake by destination
2024 order intake by destination FY FY Change 9% 4% In € millions 2024 2023 Total Organic Near and Rest of the world Middle East France 6,229 6,132 +2% +1% United Kingdom 1,682 3,095 -46% -48% Rest of Europe 7,292 6,248 +17% +16% 24% 12% France Europe 15,203 15,476 -2% -3% Asia North America 2,796 2
Slide 26: 2024 sales by destination
2024 sales by destination FY FY Change 6% 5% In € millions 2024 2023 Total Organic Near and Rest of the world Middle East France 5,932 5,437 +9% +8% 10% United Kingdom 1,355 1,208 +12% +8% Asia Rest of Europe 5,155 4,578 +13% +11% Europe 12,442 11,223 +11% +9% 29% France North America 2,921 2,581 +1
Slide 27: Summary adjusted P&L: from sales to Adjusted EBIT
Summary adjusted P&L: from sales to Adjusted EBIT 2024 2023 Change €m % of sales €m % of sales Total Organic Sales 20,577 18,428 +11.7% +8.3% Gross margin 5,947 28.9% 5,156 28.0% +15.3% +6.3% Indirect costs (3,557) -17.3% (3,113) -16.9% -14.3% -5.1% o/w R&D expenses (1,274) -6.2% (1,108) -6.0% -15.0
Slide 28: 2024 Free operating cash-flow
2024 Free operating cash-flow €m 2024 2023 > Operating cash flow Operating cash flow before WCR changes, 3,175 2,704 improvement interest and tax > Driven by commercial dynamism Change in WCR and reserves + 26 173 for contingencies > Favorable phasing from Defence contracts payment terms Pension cas
Slide 29: Adjusted EBIT by operating segment
Adjusted EBIT by operating segment Change €m / % of sales 2024 2023 Total Organic Aerospace 391 7.2% 369 7.1% +6.0% -13.9% Defence 1,432 13.1% 1,270 13.2% +12.7% +13.0% Cyber & Digital 585 14.5% 491 14.0% +19.2% -.8% Adjusted EBIT - operating segments 2,408 11.8% 2,130 11.6% +13.1% +5.2% Other -83 -
Slide 30: Organic sales growth per quarter
Organic sales growth per quarter 2021 2022 2023 2024 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Aerospace Defence Cyber & Digital Total(a) a. Excluding Transport in all periods (Transport business classified as "discontinued operations" as of 01/01/2021 and disposed as of 31/05/2024). Full-Year
Slide 31: Q4 2024 order intake by operating segment
Q4 2024 order intake by operating segment Q4 Q4 Change €m 2024 2023 Total Organic Aerospace 2,796 2,204 +27% +23% Defence 5,773 7,540 -23% -25% Cyber & Digital 1,127 993 +13% +5% Other 44 25 Total 9,739 10,761 -10% -12% Full-Year results 2024 31
Slide 32: Q4 2024 sales by operating segment
Q4 2024 sales by operating segment Q4 Q4 Change €m 2024 2023 Total Organic Aerospace 1,632 1,587 +2.8% -2.4% Defence 3,730 2,977 +25.3% +23.9% Cyber & Digital 1,110 986 +12.5% +4.1% Other 37 24 Total 6,508 5,574 +16.7% +13.0% Full-Year results 2024 32
Slide 33: Definition of non-GAAP measures and other remarks
Definition of non-GAAP measures and other remarks > Adjusted Net Income: net income, less the following elements, net of > Rounding of amounts in euros the corresponding tax effects: (i) amortization of acquired assets (PPA), (ii) expenses recorded in the income from operations or in In the context