Thales S.A.

Good morning, ladies and gentlemen, and thank you for standing by. Welcome to TALIS first half 2026 results conference call. The presentation will be held by Patrice Kane, TALIS chairman and CEO, and Jérémy Papin, TALIS CFO. It will be followed by a question and answer session. If you wish to ask a question, you will need to press star one one on your telephone and wait for your name to be announced. I must advise you that this conference is being recorded. I would now like to hand the conference over to Mr. Louis Higonet, VP, Head of Investor Relations. Please go ahead, sir.

Thank you. Good morning, everyone, and welcome to this presentation of Thales H1 2026 results. I'm Louis Higonet, Head of IR for Thales. With me today in the room are Patrice Kane, our chairman and CEO, and Jamie Papin, our CFO. As usual, this presentation is webcasted live on our website, thalesgroup.com, where the slides and press releases are also available for download. A replay will be available soon after the end of the event. With that, I'd like to turn over the call to Patrice Ken.

Good morning, everyone, and welcome to Thales 2026. I'm here results conference call. So let me begin with a few highlights of our performance in the first half of the year. And I'm on slide number two. So first, we delivered robust order intake, mainly driven by defense and space. Once again, demonstrating the strength and the relevance of our products and solutions. Notable examples include major contracts to supply satellites to Luxembourg and Turkey or air surveillance systems to Qatar or radars to the UAE. Our sales growth was driven by the successful ramp up of our defense activities, especially in sensors and effectors. together with the rebound in cyber and the resilience of our aerospace business. From an operational perspective, our continued focus on efficiency and competitiveness resulted in a robust year-on-year improvement in profitability. The first half was also marked by outstanding free operating cash flow generation with performance was exceptional, notably reflecting the growth in order intake and our strong project execution. Now, beyond these financial results, we also reached several important strategic milestones during the first half of the year. We launched new solutions to enhance counter drone capabilities and smarter munitions. We entered into promising partnerships with Destinus, for instance, to support armed forces in counter U.S. and ground-based air defense through enhanced system integration and production ramp-up. We also entered with a partnership with Airbus Defense and Space, MBDA, Dutch Land, Safran Electronics Defense and Destinus to establish the Blixem Exo Consortium, a multinational European industrial partnership to develop Europe's first sovereign exo-atmospheric upper layer interceptor program, or again with Renault to enhance our mass production. On top of that, we also enlarged our strategic partnership with Google to develop trusted cloud solutions now in Germany, And finally, in early June, we announced the planned acquisition of EXAIL with the ambition of creating a world-class player in autonomous underwater warfare while further strengthening our capabilities in inertial navigation. So let us now take a closer look at the numbers, and I am on slide number three. So as I previously said, the commercial momentum in H1 2026 was particularly robust with order intakes reaching 12.5 billion euros, a 22% organic increase year over year. The book-to-bill ratio is maintained significantly, the one reaching 1.14. Sales reached 10.9 billion euros, growing by 7.8% organically in H1. And if we exclude the one-off impact linked to the constellation of two geostationary satellites, the underlying organic growth in H1 is close to 10% at 9.6% precisely. Adjusted EBIT rose by close to 10%. on a reported basis, while EBIT margin improved to 12.5%. Then adjusted net income group share grew sharply by 13%, reaching 990 million euros for the first half. Free operating cash flow generation was exceptionally strong in the first half, reaching 1.8 billion euros, which is close to three times the level reached in H1 2025. Of course, Jeremy will further elaborate on that evolution. Net debt now, well, net debt stood at around 500 million euros at big year. to be compared to 1.6 billion euros at the 31st of December 2025. As you can see on the chart, over the last 12 months, net debt has been reduced by around 3 billion euros, which is a major achievement. So moving to the next slide. And leaving the floor to Jeremy.