Thales Reports Record Defense Orders and 8% Sales Growth Amid European Budget Boost

French technology and defense group Thales reported an 8% growth in annual sales, with core profits slightly exceeding analyst expectations. The defense division booked record-breaking orders as European nations prepare to inject fresh capital into their defense budgets amid shifting security landscapes. This robust performance was further bolstered by strong demand in avionics and a continued recovery in global air travel. Looking ahead, Thales maintains a positive outlook, forecasting higher profit margins through 2026 driven by geopolitical demand and technological advancements. These results underscore the company's strategic positioning to capture increased government spending on security and aerospace. Investors are likely to view the record order backlog and sales growth as a strong bullish signal for the stock (HO.PA).