European aerospace manufacturers delivered contrasting first-half results, with Thales raising its 2025 revenue guidance while Airbus reported a larger-than-expected cash outflow caused by persistent engine shortages for its best-selling single-aisle jets. At Thales, second-quarter sales slipped to €5.31 billion, missing consensus, and organic growth slowed to 6.4%. Robust defence orders lifted quarterly order intake 15% to €6.57 billion and pushed first-half EBIT to €1.25 billion, edging past estimates and yielding a 12.2% margin. On the back of that performance, the French electronics and defence group now targets at least 6% organic sales growth for the full year—up from its previous goal—and reaffirmed an EBIT-margin range of 12.2%–12.4%. Airbus posted first-half revenue of €29.61 billion and adjusted EBIT of €2.20 billion, but a negative adjusted free cash flow of €1.61 billion far exceeded market expectations. The manufacturer delivered 306 aircraft, its lowest tally since 2022, after shortages at engine suppliers CFM International and Pratt & Whitney left about 60 completed A320-family jets without powerplants. Despite the working-capital drag, Airbus maintained its 2025 targets, including roughly 820 aircraft deliveries, about €7 billion in adjusted EBIT and a return to positive free cash flow later in the year.