John Deo

Airbus Faces Short-Term Production Challenges, A350 Freighter Delayed

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    Posted by John Deo Feb 20 - Filed in General - #financialmodelingprep  - 27 views

    Airbus' 2024 Performance Overview

    \u2708\ufe0f Delivery Target: Airbus expects a 7% increase in aircraft deliveries, aiming for 820 jets in 2025 despite supply chain disruptions.

    \ud83d\udcb0 Financials:

    • Adjusted Operating Income: €5.35B (-8% YoY)
    • Revenue: €69.23B (+6% YoY)
    • Q4 Revenue: €24.72B (met expectations)
    • Q4 Operating Profit: €2.56B (aligned with analyst forecasts)

    \ud83d\ude80 Challenges in Space & Defense: Airbus took a €300M charge for its troubled Space business and flagged risks to the A400M military transport program due to slow sales.

    Production & Supply Chain Issues

    \ud83d\udd3b A350 Freighter Delayed – Airbus confirmed setbacks in its cargo aircraft program.

    \u26a0\ufe0f Ongoing Supply Chain Issues:

    • Delays in A320 & A350 production due to Spirit AeroSystems (NYSEPR) disruptions.
    • Spirit is being split between Airbus & Boeing (NYSE:BA) amid restructuring efforts.

    \ud83d\udd39 2023 Deliveries: Airbus delivered 766 jets, nearly meeting its target, but supply chain constraints remain a concern.

    \ud83d\udcca Despite these challenges, Airbus maintained its medium-term output targets, signaling confidence in future recovery.

    \ud83d\udd11 Key Takeaways

    \u2714 Airbus forecasts 7% delivery growth in 2025 (~820 jets).
    \u2714 A350 freighter program faces delays due to supply chain issues.
    \u2714 €300M charge taken for space division; A400M military jet future uncertain.
    \u2714 Airbus' revenue grew 6% YoY to €69.23B despite supply chain pressures.
    \u2714 Short-term production constraints persist, but medium-term targets remain intact.

    \ud83d\udd17 Track Airbus' Financials & Growth Trends with FMP