Story perspectives

Thales Takes €450M Hit After German Frigate Cancellation

7/5/2026

Summary

Story summary

Thales will book an exceptional €450 million charge in H1 2026 after Germany cancelled the F126 frigate programme.
The charge will cut net profit by €350 million but leave adjusted EBIT, adjusted net income and operating free cash flow unchanged.
Thales expects revenue loss of about 0.5 % in 2026 and under 1 % thereafter and will seek compensation for work already done.
Thales projects a book-to-bill ratio above 1.10 and cash conversion of 100-110 %.

1 of 1

Story summary

Thales will book an exceptional €450 million charge in H1 2026 after Germany cancelled the F126 frigate programme.
The charge will cut net profit by €350 million but leave adjusted EBIT, adjusted net income and operating free cash flow unchanged.
Thales expects revenue loss of about 0.5 % in 2026 and under 1 % thereafter and will seek compensation for work already done.
Thales projects a book-to-bill ratio above 1.10 and cash conversion of 100-110 %.