France-based defence and security company Thales has reported sales of €17.6bn for fiscal year (FY) 2022.
This represents an ‘organic’ (with fixed scope and exchange rates) increase of 5.5%, from €16.1bn in sales in FY2021.
The company said this growth in sales was specifically driven by its Digital Identity and Security businesses.
Order intake for the reported FY, which ended on 31 December 2022, was up 16% on an organic basis to €23.5bn, from €19.9bn in FY21.
Thales said it booked 29 large orders, with a unit value of over €100m, throughout the four quarters of FY22 while its Defence and Security segment recorded €13.955bn in order intake, setting a record of a 23% increase from FY21.
Some of the major defence orders booked in Q2 of FY22 included Greece’s contract for the Sea Fire digital radar to equip three defence and intervention frigates, a contract for the French Army’s Scorpion programme, and Australia’s follow-on award to deliver ammunition.
In Q4 FY22, Thales secured the French Army’s Tigre helicopters upgrade contract, Future Air Combat Programme Phase-1B award, SAMP/T medium-range air defence programme, France’s contract for 81mm ammunition production, and Luxembourg’s contract for providing vetronics and communication for 80 armoured command, liaison and reconnaissance vehicles.
However, the company highlighted that some of its businesses, including defence, were impacted by ‘tensions’ in recruitment and supply chains.
Earnings before interest and tax (EBIT) saw a 15.6% rise to €1.935bn on an organic basis while free operating cash flow and adjusted net income stood at €2.527bn and €1.556bn, respectively.
Thales CEO and chairman Patrice Caine said: “Thanks to the commitment of all its employees, Thales has achieved high quality results in 2022.
“To support our growth, we are significantly ramping up our recruitment and capex plans. After hiring 11,500 people in 2022, we will recruit more than 12,000 employees in 2023. Our 2023 capex will be 20% above 2022, and 46% above 2021.”