Airbus has suggested splitting Europe’s future fighter project into two separate aircraft to break a long-running deadlock.
The €100bn Future Combat Air System involves Germany, France and Spain.
The dispute centres on who leads development of the next-generation jet.
Dassault Aviation wants control of the fighter element, while Airbus represents German and Spanish interests.
Chief executive Guillaume Faury said a dual-fighter approach could protect the wider programme.
German chancellor Friedrich Merz recently questioned whether the planned aircraft meets Germany’s needs.
Berlin does not require a nuclear-capable jet, unlike France.
Governments must soon decide whether to proceed with the fighter or focus on other FCAS components such as drones and the combat cloud.
Airbus said the rest of the project is progressing well despite the impasse.
The company also reported a 23% rise in annual profit to €5.2bn.
However, supply shortages from Pratt & Whitney forced it to cut passenger-jet production targets.
Delivery delays and fuselage inspections slowed output and allowed Boeing to narrow the gap in commercial aircraft deliveries.
