Airbus has announced its financial results for the first half of 2024 (1H24) which ended on June 30, 2024. The Toulouse-headquartered aerospace giant also revealed its order and delivery summaries for the period, showing strong growth across its markets.
Airbus’ adjusted earnings before interest and tax (EBIT) fell to €1,391m ($1,502m) from €2,618m ($2,827m) in the same period in 2023. According to the company, the substantial decrease in earnings was down to charges recorded in Airbus’ Space Systems business equating to €989m ($1,068).
Meanwhile, the EBIT related to Airbus’ commercial aircraft activities decreased to €1,954m ($2,110m) from €2,256m ($2,436m) in the same period in 2023 – a drop which the company puts down to deliveries being reduced as the planemaker “invests and prepares for the future”.
Consolidated revenues increased 4% overall year-on-year to €28.8 billion ($31.1bn) against €27.7 bn ($29.9bn) in 1H23, reflected in part by the number of commercial aircraft deliveries completed during the period plus a higher volume of business being won by the Airbus Defence and Space division.
“The half-year financial performance mainly reflects significant charges in our space business. We are addressing the root causes of these issues,” said Guillaume Faury, Airbus Chief Executive Officer. “In commercial aircraft, we are focused on deliveries and preparing the next steps of the ramp-up, while addressing specific supply chain challenges and protecting the sourcing of key work packages.”
Orders and deliveries
Gross commercial aircraft orders fell to 327 in the period versus 1,080 aircraft in H123, with the net number of orders bottoming out at 310 aircraft after cancellations. The company’s order book remains in rude health, however, with 8,585 commercial aircraft orders outstanding as of June 2024.
A total of 323 commercial aircraft were delivered during the period, slightly up from the year-on-year total of 316 in 1H23. This total comprised 28 A220s, 261 A320 family, 13 A330s, and 21 A350s.
The company’s ramping-up of the A220 series continues with a view to reaching a monthly production rate of 14 aircraft by 2026. Meanwhile, Airbus has amended its A320 family production rate trajectory due to ongoing supply chain delays with the target production rate of 75 aircraft per month not being met until 2027. In terms of widebody aircraft, the company continues to target a monthly production rate of four A330s in 2024 and to reach a rate of 12 for the A350 by 2028. The company is still on target to deliver 770 new commercial aircraft during 2024.
Airbus Helicopters registered 233 net orders in 1H24 compared to 131 units in the same period in 2023. This includes an order for up to 44 H225s for the German Federal Police as reported by AeroTime in June 2024.
Airbus Helicopters deliveries totaled 124 units for the period versus 145 units in 1H23, with revenues “broadly stable year-on-year”, said the company. The division’s EBIT decreased to €230 million ($248.4m) from €274m ($296m) in the same period in 2023), reflecting a lower overall aircraft delivery rate.
Elsewhere, orders for Airbus Defence and Space products by value reached €6.1 billion ($6.59bn) – a slight increase over the €6 billion ($6.48bn) recorded in 1H23. Revenues at Airbus Defence and Space increased by 7%, while the division delivered four A400M military planes to customers during the period – an increase of one aircraft over the same period in 2023.
Adjusted EBIT at Airbus Defence and Space totaled -€807 million (-$872m) versus a gain of €78m ($84.2m) in 1H23, reflecting the €989m ($1,068m) of charges mainly linked to the updated estimates for completions in its Space Systems division.
