Airbus SE reported its financial results for the first half of 2024, reflecting stable revenue growth despite significant charges in its space business.
Key Highlights
- Commercial Aircraft Deliveries: 323 aircraft delivered.
- Revenues: €28.8 billion, a 4% increase from H1 2023.
- EBIT Adjusted: €1.4 billion.
- Reported EBIT: €1.5 billion.
- Reported EPS: €1.04.
- Free Cash Flow Before Customer Financing: €-0.5 billion.
Operational Insights
- Aircraft Orders: Gross orders totaled 327 with net orders at 310, compared to H1 2023’s 1,080 gross and 1,044 net orders. The order backlog reached 8,585 aircraft.
- Helicopter and Defence Orders: Airbus Helicopters secured 233 net orders, up from 131 units in H1 2023. Defence and Space order intake was €6.1 billion, slightly higher than the previous year.
- Commercial Aircraft Deliveries Breakdown: Included 28 A220s, 261 A320 Family, 13 A330s, and 21 A350s.
- Airbus Helicopters: Delivered 124 units, with stable revenues.
- Defence and Space: Revenues increased by 7%, driven by the Air Power business.
Financial Performance
- EBIT Adjusted Decline: Dropped to €1.4 billion from €2.6 billion in H1 2023, primarily due to a €989 million charge in Space Systems.
- Commercial Aircraft EBIT Adjusted: Decreased to €1.95 billion from €2.26 billion.
- Defence and Space EBIT Adjusted: Fell to €-807 million from €78 million, influenced by significant charges in Space Systems.
- Reported EBIT: €1.5 billion, including net adjustments of €65 million.
- Net Income: €825 million, down from €1.5 billion in H1 2023.
- Free Cash Flow: €-529 million, down from €1.6 billion, impacted by working capital changes and planned inventory build-up.
Production Updates
- A220 Production: Targeting 14 aircraft per month by 2026.
- A320 Family: Adjusted ramp-up, expecting 75 aircraft per month by 2027.
- A321XLR: Type Certification received, with entry-into-service expected in late summer 2024.
- Widebody Aircraft: A330 production rate of 4 per month in 2024; A350 production rate target of 12 per month by 2028.
Outlook for 2024
- Commercial Aircraft Deliveries: Around 770.
- EBIT Adjusted: Around €5.5 billion.
- Free Cash Flow Before Customer Financing: Around €3.5 billion.
Guillaume Faury, CEO of Airbus, noted the focus on addressing challenges in the space sector and maintaining delivery schedules despite supply chain issues. The company is also preparing for future production increases.
