Airbus has proposed building two separate next-generation fighter jets to rescue Europe’s stalled Future Combat Air System.
The suggestion follows a long dispute with Dassault Aviation over leadership of the programme.
The FCAS project, launched in 2017 by Germany, France and Spain, also includes drones and a combat data network.
Airbus chief Guillaume Faury said the impasse over the main jet must not derail Europe’s future defence capability.
He added that a dual-fighter approach could attract new partners if governments approve it.
Tensions have grown after German chancellor Friedrich Merz said the current design does not meet Germany’s needs, particularly over nuclear capability.
The three countries must soon decide whether to proceed with the jet or focus on the other elements.
Airbus reported a 23% rise in annual profit to €5.2bn.
However, its shares fell after supply-chain problems forced it to scale back A320 production targets.
Engine shortages from Pratt & Whitney and earlier fuselage inspections slowed deliveries.
The production setback helped Boeing, which delivered its highest number of aircraft since 2018.
