Airbus has provided a market update regarding new developments in its space activities and commercial aircraft business, leading the company to revise its 2024 guidance.
In the first half of 2024, the Space Systems management team conducted an extensive technical review of all programmes, identifying further commercial and technical challenges. As a result, Airbus has decided to record charges of approximately €0.9 billion in the H1 2024 accounts. These charges are primarily related to updated assumptions on schedules, workload, sourcing, risks and costs over the lifetime of certain telecommunications, navigation and observation programmes.
In the commercial aircraft sector, Airbus is contending with ongoing supply chain issues, particularly in engines, aerostructures and cabin equipment. The company continues to ramp up production towards a rate of 75 A320-family aircraft per month, which is now anticipated in 2027.
Consequently, Airbus is updating its 2024 guidance. The updated guidance is based on the assumption that there will be no additional disruptions to the world economy, air traffic, the supply chain, the company's internal operations and its ability to deliver products and services. This guidance does not account for any mergers and acquisitions.
For 2024, Airbus now targets the delivery of around 770 commercial aircraft, an EBIT adjusted of approximately €5.5 billion, and free cash flow before customer financing of around €3.5 billion. The company's half-year results will be disclosed on July 30, 2024.