As reported by Aviation Today in their article “Airbus and Embraer Report Q1 Results,” two of the world’s largest aircraft manufacturers, Airbus and Embraer, have announced their Q1 2023 results, showing a mixed performance compared to the same period last year. Both companies highlighted the ongoing recovery within the aviation industry as operators continue to order and receive new aircraft.
In the first quarter of 2023, Airbus reported 156 commercial aircraft orders, which dropped to 142 after cancellations. Although these figures are lower than Q1 2022’s gross orders of 253 aircraft, they still surpass the 83 aircraft left on order after cancellations in the previous year. Airbus now has cumulative orders for 7,254 commercial aircraft. Airbus Helicopters, however, received only 39 orders, significantly below Q1 2022’s 56 orders.
During the HAI Heli-Expo event in March, Airbus Helicopters announced a partnership with Genesys Aerosystems to develop an IFR (Instrument Flight Rules) capability for the H125, expected to be available in the second half of 2024. This development includes an upgraded cockpit, redundant hydraulic and electrical systems, and a new autopilot.
Airbus experienced a decline in consolidated revenues to €11.8 billion from €12 billion in the same period last year. The company delivered 127 commercial aircraft, including 10 A220s, 106 A320 Family aircraft, 6 A330s, and 5 A350s. Revenues from commercial aircraft decreased by 5% compared to last year, mainly due to reduced deliveries, although the strengthening of the U.S. dollar partially offset this decline. Airbus Helicopters, on the other hand, increased deliveries to 71 units from 39 units in Q1 2022, boosting revenues by 26%. However, lower volume in military air systems led to a 6% decline in revenue for Airbus Defense and Space.
Airbus’ EBIT (earnings before interest and tax) dropped sharply to €773 million from €1,263 million in Q1 2022. The EBIT adjusted for Airbus’ commercial aircraft activities fell from €1,065 million to €580 million in the first quarter of this year, attributed to fewer deliveries and worsened hedge rates.
Despite the overall decline in EBIT, Airbus is moving forward with its production goals. The company aims to produce 14 A220s monthly by the middle of the decade and increase A320 family production to 65 aircraft per month by the end of 2024.
Airbus’ Chief Executive Officer Guillaume Faury remains optimistic about the future, stating, “The first quarter confirmed strong demand for our products, particularly for commercial aircraft. We delivered 127 commercial aircraft, which is reflected in the Q1 financials. The quarter also benefited from a good performance in Helicopters. We continue to face an adverse operating environment that includes in particular persistent tensions in the supply chain. Our 2023 guidance is unchanged with commercial aircraft deliveries expected to be backloaded. We remain focused on delivering the commercial aircraft ramp-up and longer-term transformation.”
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Article with all rights reserved, courtesy of aviationtoday.com