Jet engine maker Safran posted sharply higher revenue and operating profit for 2023.

The French company, which has a base in Gloucester, raised its dividend and predicted further growth this year on the back of strong demand for engine services.

Shares in the company rose sharply in early Paris trade and were up 4.3% by 8.30am.

Full-year recurring operating income rose 31% to €3.166 billion ($3.4 billion) as revenue rose 22% to €23.199 billion.

Safran also said it would raise its dividend to 2.20 euros a share.

Safran co-produces the LEAP jet engine with GE Aerospace for all Boeing 737 MAX jets and about half of the A320neo jets sold by Airbus.

Safran CEO Olivier Andriès said: "Safran delivered outstanding results meeting or exceeding guidance, with revenues up 22%, recurring operating income up 31%, and free cash flow generation above expectations.

"This excellent performance was notably driven by the continued recovery of the commercial aftermarket. Our teams have demonstrated remarkable agility, significantly increasing deliveries despite a challenging supply chain environment and successfully facing inflationary pressures.

"For 2024, we will continue our revenue and profit growth trend, ramping-up deliveries further and increasing services to meet customer demand. We remain committed to our capital allocation strategy by deploying our strong balance sheet towards organic investment, targeted M&A, share buybacks and 2023 dividend distribution at €2.20 per share."