Airbus Announces Half-Year (H1) 2024 Results

Airbus' H1 2024 Results

Airbus released its financial results for the first half of 2024, reporting that its space business experienced significant charges, which it is working to address. The commercial aircraft sector focuses on deliveries, ramping up production, and dealing with supply chain challenges while protecting key work packages.

Airbus received 327 gross commercial aircraft orders (compared to 1,080 in H1 2023) and 310 net orders after cancellations (compared to 1,044 in H1 2023). At the end of June 2024, the order backlog comprised 8,585 commercial aircraft. Airbus Helicopters received 233 net orders (compared to 131 units in H1 2023), including 38 H225s for the German Federal Police. Airbus Defence and Space's order intake by value was €6.1 billion (compared to €6.0 billion in H1 2023).

Consolidated revenues rose 4 percent year-on-year to €28.8 billion (up from €27.7 billion in H1 2023), mainly due to commercial aircraft deliveries and increased volume in the Airbus Defence and Space Air Power business. Airbus delivered 323 commercial aircraft (compared to 316 in H1 2023). Revenues generated by Airbus' commercial aircraft activities increased by 4 percent, mainly due to more deliveries. Airbus Helicopters delivered 124 units (compared to 145 units in H1 2023), with revenues staying relatively stable year-on-year. Revenues at Airbus Defence and Space increased by 7 percent, primarily driven by the Air Power business but offset by updated Estimates at Completion assumptions in Space Systems. Four A400M military airlifters were delivered in H1 2024 (compared to 3 aircraft in H1 2023).

The consolidated EBIT Adjusted, an alternative performance measure that excludes certain charges or profits, was €1,391 million (compared to €2,618 million in H1 2023). This decrease was mainly due to charges recorded in the Space Systems business totalling €989 million.

EBIT Adjusted related to Airbus' commercial aircraft activities decreased to €1,954 million (from €2,256 million in H1 2023), with the increased deliveries offset by future investments.

The A320 ramp-up is continuing, aiming for a monthly production rate of 14 aircraft in 2026. The A220 Family ramp-up trajectory has been adjusted to account for supply chain challenges, with the expectation of reaching a monthly production rate of 75 A220 Family aircraft in 2027. The A321LR, powered by CFM engines, received its Type Certification from the European Union Aviation Safety Agency (EASA), and entry-into-service is expected at the end of the summer of 2024. For widebody aircraft, the company targets a monthly production rate of 4 A330s in 2024 and 12 A350s in 2028.

Airbus Helicopters' EBIT Adjusted decreased to €230 million (from €274 million in H1 2023), reflecting lower deliveries and a different program mix.

EBIT Adjusted at Airbus Defence and Space was €-807 million (compared to €78 million in H1 2023), mainly due to €989 million in charges linked to updated Estimates at Completion in Space Systems.

Development activities in the A400M program continue to achieve the revised capability roadmap, and retrofit activities are progressing in line with the customer. No net material impact was recognized in the first half 2024, but risks remain in various areas.

Consolidated self-financed R&D expenses totalled €1,593 million (compared to €1,431 million in H1 2023).

Consolidated EBIT (reported) was €1,456 million (compared to €1,887 million in H1 2023), with net Adjustments of €+65 million. These Adjustments included €+19 million related to the dollar working capital mismatch and balance sheet revaluation, €+51 million related to the gain on Airbus OneWeb Satellites, and €-5 million of other costs. The financial result was €-108 million (compared to €102 million in H1 2023), mainly reflecting the negative impact of exchange rates.