Airbus reports half-year results
Airbus has reported consolidated financial results for the half year ended June 30, 2020.
Net commercial aircraft orders totaled 298 (H1 2019: 88 aircraft), including eight aircraft in Q2, with the order backlog comprising 7,584 commercial aircraft as of June 30, 2020. Airbus Helicopters booked 75 net orders (H1 2019: 123 units), including three H145s, one Super Puma and one H160 during the second quarter alone. Airbus Defence and Space’s order intake increased to €5.6 billion.
Consolidated revenues decreased to €18.9 billion (H1 2019: €30.9 billion), driven by the difficult market environment impacting the commercial aircraft business with around 50% fewer deliveries year-on-year. This was partly offset by more favorable foreign exchange rates. A total of 196 commercial aircraft were delivered (H1 2019: 389 aircraft), comprising 11 A220s, 157 A320 Family, five A330s and 23 A350s. Airbus Helicopters reported stable revenues, reflecting lower deliveries of 104 units (H1 2019: 143 units) partially compensated by higher services. Revenues at Airbus Defence and Space were impacted by lower volume and mix, in particular at Space Systems, as well as delays in some programs caused by the COVID-19 situation.
Consolidated EBIT Adjusted totaled €-945 million (H1 2019: €2,529 million). Airbus’ EBIT Adjusted of €-1,307 million (H1 2019: €2,193 million) mainly reflected the reduced commercial aircraft deliveries and lower cost efficiency. Steps have been taken to adapt the cost structure to the new levels of production, the benefits of which are materializing as the plan is executed. Also included in the EBIT Adjusted is €-0.9 billion of COVID-19-related charges. Commercial aircraft are now being produced at rates in accordance with the new production plan announced in April 2020, in response to the COVID-19 situation. The current market situation has led to a slight adjustment in the A350 rate from six to five aircraft a month for now. On the A220, the Final Assembly Line (FAL) in Mirabel, Canada, is expected to progressively return to pre-COVID levels while the new FAL in Mobile, U.S., opened as planned in May.
At the end of June, around 145 commercial aircraft could not be delivered due to COVID-19. Airbus Helicopters’ EBIT Adjusted increased to €152 million (H1 2019: €125 million), reflecting a favorable mix, mainly in military, and higher services partially offset by the lower deliveries. The five-bladed H145 and H160 helicopters were recently certified by the European Union Aviation Safety Agency.
Consolidated EBIT (reported) was €-1,559 million (H1 2019: €2,093 million), including Adjustments totaling a net €-614 million. (€1.00 = US$1.19 at time of publication.)
