Airbus has proposed building two separate next-generation warplanes to rescue Europe’s stalled Future Combat Air System.
The €100bn programme is split by a leadership dispute with Dassault Aviation.
Chief executive Guillaume Faury said the disagreement over the fighter jet must not endanger the wider project.
FCAS also includes drones and a digital combat cloud that are progressing well.
Germany and France differ on key requirements.
Berlin does not need a nuclear-capable aircraft, while Paris does.
Chancellor Friedrich Merz called the issue technical rather than political.
A two-fighter approach could allow each country to meet its own military needs and attract new partners.
Governments must soon decide whether to continue the jet element or focus on the other systems.
Airbus reported a 23% rise in annual profit to €5.2bn, but its shares fell after supply-chain problems.
Engine shortages from Pratt & Whitney forced it to scale back production targets for the A320.
Lower January deliveries also helped Boeing achieve its strongest output since 2018.
