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Last updated : 27/07/2026 - 13h07
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Dassault Aviation: End of the SCAF Program, Focus on a French Alternative

Dassault Aviation outlined its strategic roadmap during a press conference, marked by the termination of the SCAF/NGF program in agreement with Germany and a shift towards digital initiatives and industrial modernization. The aircraft manufacturer also reported improved results for the first half of the year, particularly in terms of order books and commercial acquisitions.


Dassault Aviation: End of the SCAF Program, Focus on a French Alternative

End of SCAF and Search for a French-Only Alternative

The President of the Republic and the German Chancellor have mutually agreed to terminate the SCAF/NGF program. Dassault Aviation is currently in discussions with the government to launch an alternative, which could take the form of a French-only demonstrator or in cooperation for a future combat aircraft. Additionally, the manufacturer is contesting Airbus Defense & Space's unilateral decision to terminate its participation in the Eurodrone contract and intends to defend its rights, especially as France continues the development of the program.

Rafale in Production and Development, Falcon 10X Takes Flight

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In the Rafale program, Dassault Aviation delivered two aircraft in the first half of the year and has 43 remaining to be delivered to France. The government has requested a delay in the delivery of 20 Rafales, originally scheduled for 2031-2032, to 2033-2034. The development of the F4-3 standard continues, while risk reduction studies for the future F5 standard are progressing, associated with the Airborne Nuclear Component, with a service entry targeted between 2033 and 2035. Internationally, the manufacturer delivered ten Rafales in the first half of the year with 165 remaining to be delivered. The Falcon 10X's first flight occurred on June 19, 2026, marking the start of the flight test campaign, with service entry planned for 2029.

Industrial Modernization and Deployment of a Sovereign Internal AI

Dassault Aviation continues the modernization of its facilities, with the construction of a new building at DRAL (operational summer 2027, doubling the production area), transfer of flight control benches from Saint-Cloud to a new building in Mérignac, renovation of aeronautical pavements at Istres for the Falcon 10X, and deployment of 22,000 m² of self-consumed photovoltaic panels across four sites. In terms of digital and artificial intelligence, the aircraft manufacturer is harmonizing its data with the 3DExperience tool (Dassault Systèmes), deploying Apriso in its factories, and modernizing its collaborative tools. In the realm of AI, Dassault Aviation is implementing a secure deployment of a sovereign internal AI in its data centers, integrating generative AI functionalities for automation, knowledge access, translation, and software development. A Rafale F5 virtual assistant is under development to integrate autonomous functions onboard the F5, while predictive maintenance leverages military Big Data to optimize operational availability.



Sector Défense · Aéronautique / spatiale · Industrie Aérospatiale


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Context

Period
  • Period: 2025
Key reported figures
  • Revenue: 7 426 M€
  • Revenue growth: 19,0 %
  • Net income: 977 M€
  • Dividend per share: 4,78 €/action
  • Payout ratio: 35 %
Guidance from the release
  • Le Rafale a confirmé son succès en 2025, avec la livraison du 300 ème Rafale et la commande de 26 Rafale par la Marine indienne.
  • Dassault Aviation présente des résultats 2025 conformes à l’évolution attendue: chiffre d’affaires consolidé IFRS de 7 426 millions d’euros, résultat opérationnel consolidé IFRS de 639 millions d’euros, résultat net consolidé IFRS de 977 millions d’euros et marge nette consolidée IFRS de 13,2%. Trésorerie disponible à 9 415 millions d’euros. Carnet de commandes consolidé à 46 596 millions d’euros et ratio book-to-bill de 1,5x. Dividendes proposés de 4,78 euros par action (payout d’environ 35%). Pour 2026, le chiffre d’affaires est anticipé autour de 8,5 milliards d’euros avec 40 Falcon et 28 Rafale prévus.
Risks mentioned
  • Incertitudes liées aux contextes militaires, géopolitiques et budgétaires, couplés aux droits de douane et à l’incertitude sur le SCAF.
  • Pression fiscale dégrade la compétitivité de la Société.
  • Incertitudes liées au droit de douane américain au 1er semestre 2025 et à l’évolution du Make in India.
Opportunities identified
  • Progression possible grâce au Make in India et à la coopération avec des partenaires indiens (DRAL, Tata Advanced Systems).
  • Poursuite du développement et de la modernisation des programmes Rafale/Falcon et du SCAF, ARCHANGE et ALBATROS; potentiel d’accroître les exports.
  • Partenariats pour une IA souveraine et maîtrisée avec AMIAD, Thales (cortAIx) et Harmattan AI.
Outlook / guidance
  • Expected revenue: 8,5 milliards d'euros (2026)
  • Management commentary: La prévision pour 2026 prévoit un chiffre d’affaires en hausse par rapport à 2025, à 8,5 milliards d’euros, soutenu par les livraisons prévues de Rafale et Falcon (40 Falcon et 28 Rafale).

The information presented in this article is provided for informational purposes only and does not constitute an investment recommendation, an incentive to buy or sell a financial asset, or investment advice. Readers are invited to conduct their own research before making any decision.

Investments in the stock market involve risks, including the risk of capital loss. Past performance of an asset or market is no guarantee of future results. Any investment decision should be made taking into account your personal financial situation, objectives and risk tolerance.

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