Thales - Order intake and sales at 31 March 2013

PR Newswire/Les Echos/ 
Thales: Order intake and sales at 31 March 2013 
Neuilly-sur-Seine, 25 April 2013 - Thales (NYSE Euronext Paris: HO) is today
releasing its order intake and sales figures for the first quarter of 2013. 
*   Order intake:                 EUR2.05 billion, down 21% organically due to 
                              several major orders having been received in 
                              the first quarter of 2012 
*   Sales:                        EUR2.76 billion, up 5% organically(1) 
*   2013 objectives confirmed:    Slight growth in order intake, stable sales  

                                  and 5-8% increase in EBIT(2) compared to 2012

Key figures at 31 March 2013      Q1 2013    Q1 2012    Total change   Organic
(in millions of euros)                                                  change
     Order intake
     Aerospace                       904        951          -5%           -1%
     Transport                       310        626         -50%          -51%
     Defence & Security              740        976         -24%          -24%
     DCNS                             77         49         +57%          +58%
     Others                           19         22         -14%          -14%
     Total                         2,050      2,624         -22%          -21%
     Aerospace                       859        884          -3%           +3%
     Transport                       240        255          -6%           -5%
     Defence & Security            1,383      1,314          +5%           +6%
     DCNS                            257        215         +20%          +20%
     Others                           16         15          +7%           +7%
     Total                         2,755      2,683          +3%           +5%

It should be noted that quarterly fluctuations in sales (a significant
percentage of which is booked as technical milestones achieved pursuant to the
terms of the different contracts) and order intake cannot be extrapolated for a
single quarter and may differ markedly from long-term trends. This applies even
more when considering a single business segment in isolation.

(1) In this press release, "organic" means "on a like-for-like basis and at
constant exchange rates"
(2) After restructuring and before impact of purchase price allocation

Order intake 

New orders in the first quarter of 2013 totalled EUR2,050 million, down 22%
compared to the same period in 2012, largely due to the concentration of large
orders in the Transport segment in the first quarter of 2012 (renovation of
signalling for main lines in Denmark, Compass metro line in Singapore). At 
31 March 2013, the consolidated order book amounted to EUR28,989 million,
representing over two years of sales.

Only one order with a unit value of over EUR100 millionwas recorded in the
period (multi-annual contract for simulation and training services for British
A400M crews), compared to three in the first quarter of 2012. Orders with a unit
value of less than EUR10 millioncontinued to represent more than half the orders
received in terms of value.

New orders for the Aerospace segment amounted to EUR904 million, compared to
EUR951 million at the end of March 2012 (-1% organically). Avionics activities
benefited from the above-mentioned contract for over EUR100 million and the
continued growth in commercial avionics on-board activities for Airbus as well
as for business and regional aviation, but in-flight entertainment orders did
not match the high level of the first quarter of 2012. Space activities saw a
growth in orders, mainly in observation and exploration satellites (Exomars and
Cosmo-Skymed NG programmes, for the European and Italian space agencies

In the Transport segment, new orders came to EUR310 million, compared to EUR626
million in the first quarter of 2012, which had seen a concentration of major
orders. Several commercial successes should be noted in the first quarter,
especially urban signalling contracts in Canada, main lines in Poland and Spain,
and revenue collection systems in New Zealand.

The Defence & Security segment recorded new orders totalling EUR740
millioncompared to EUR976 million at the end of March 2012. New orders for
Secure Communications and Information Systems were down, especially in radio and
protection systems. New orders for Defence Mission Systems were also down
following major orders obtained in the first quarter of 2012 (electronic combat
systems in the UK and sonars in Australia). On the other hand, new orders for
Land and Air Systems were up, thanks to air traffic management contracts in
Africa and air defence in Asia.

New orders at DCNS totalled EUR77 millionat 31 March 2013, compared to EUR49
million at 31 Macrh 2012. The main orders during the quarter were for additions
to the FREMM multi-purpose frigate programme in France and the Mistral-class
projection and command ship (BPC) for Russia.

Group sales came to EUR2,755 millionat 31 March 2013, up 5% at constant scope
and exchange rates(1).

Sales in the Aerospace segment came to EUR859 million, up 3% organically
compared to the first quarter of 2012. Avionics were up, due to original
equipment commercial activities (Airbus, Bombardier and Gulfstream), aftermarket
and in-flight entertainment. Space activities recorded stable sales overall,
with an increase in observation and exploration activities.

The Transport segment generated sales of EUR240 million, down compared to 
31 March 2012 (EUR255 million), with the activity generated on recent orders in
urban rail and in ticketing not fully offsetting lower sales in main lines
activity, especially in Europe, over the first quarter.

Sales in the Defence & Security segment came to EUR1,383 millionin the first
three months of the year, up 6% organically. This positive trend is due mainly
to Defence Mission Systems activities, thanks to an increase in billing on the
Rafale programmes in France (ramp up of the 4th tranche, ordered in 2009),
Watchkeeper in the UK and Mirage 2000 in India. Sales of Secure Communications 
and Information Systems were stable in the first quarter of 2013, while Land &
Air Systems decreased (particularly in armaments).

DCNS sales came to EUR257 millionat 31 March 2013, up 20% compared to 31 March
2012; in particular sales were higher for the FREMM multi-purpose frigate in
France and the Mistral-class projection and command ship (BPC) for Russia.

(1) Foreign exchange had a negative impact of EUR7 milloi n on sales and was
mainly due to the depreciation of the pound sterling against the euro. 

Outlook for 20131

Thales confirms the outlook communicated on 28 February 2013 along with the
release of the full-year results for 2012.

Despite the continuing unfavourable economic environment in Europe, the Group is
anticipating a slight upturn in orders in 2013, largely due to the expected
performance in the emerging countries.

Sales are likely to remain stable, with the growth in civil activities
offsetting a less favourable situation in defence.

A continuing drive to improve performance should enable the Group to post a
further increase in EBIT(2), which should increase by 5-8% compared to 2012.

Media relations:                           Investor relations:
Alexandre Perra                            Jean-Claude Climeau / Romain Chérin
Tel: +33 (0)1 57 77 86 26                  Tel: +33 (0)1 57 77 89 02        

For more information:

This press release may contain forward-looking statements. Such forward-looking
statements are trends or objectives, as the case may be, and shall not be
construed as constituting forecasts regarding the Company's results or any other
performance indicator. These statements are by nature subject to risks and
uncertainties as described in the Company's registration document ("Document de
référence") filed with Autorité des Marchés Financiers. These statements do
not therefore reflect future performance of the Company, which may be materially

(1) Excluding exceptional export contract.
(2) After restructuring and before impact of purchase price allocation 

> Definition of segments (IFRS 8 Operating Segments)
      - Aerospace:              Avionics, Space
      - Transport:              Ground Transportation Systems
      - Defence & Security:     Secure Communications and Information Systems,
                                Land & Air
                                Systems, Defence Mission Systems
      - DCNS:                   DCNS proportionally consolidated at 35%

> Order intake by destination - Q1 2013

(in millions of euros)          Q1 2013   Q1 2012  Reported   Organic  Q1 2013
                                                    change     change    in %  

France                            438        539     -19%       -17%     21%
United Kingdom                    288        208     +38%       +41%     14%
Other European countries          482        793     -39%       -35%     24%
Europe                          1,208      1,540     -22%       -18%     59%
United States and Canada          209        446     -53%       -54%     10%
Australia and New Zealand         164        109     +50%       +52%      8%
Asia                              320        368     -13%       -14%     16%
Middle East                        67        102     -34%       -32%      3%
Rest of the World                  82         59     +39%       +40%      4%
Emerging markets                  469        529     -11%       -11%     23%
Order intake                    2,050      2,624     -22%       -21%    100%

> Consolidated sales by destination - Q1 2013

(in millions of euros)          Q1 2013   Q1 2012  Reported   Organic  Q1 2013
                                                    change     change    in % 

France                            877       830       +6%       +8%      32%
United Kingdom                    324       316       +3%       +5%      12%
Other European countries          450       523      -14%       -9%      16%
Europe                          1,651     1,669       -1%       -2%      60%
United States and Canada          299       284       +5%       +2%      11%
Australia and New Zealand         157       132      +19%      +20%       6%
Asia                              392       333      +18%      +20%      14%
Middle East                       159       123      +29%      +30%       6%
Rest of the World                  97       142      -32%      -31%       3%
Emerging markets                  648       598       -8%       +9%      23%
Sales                           2,755     2,683       +3%       +5%     100%

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-0- Apr/25/2013 10:33 GMT
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