27 July, 2022

Airbus delivered nearly 300 commercial aircraft in the fast half of this year.

Airbus delivered a solid H1 2022 financial performance in a complex operating environment, with the geopolitical and economic situation creating further uncertainties for the industry. "The supply chain challenges are leading us to adjust the A320 Family ramp-up steps in 2022 and 2023, and we now target a monthly rate of 65 in early 2024. Our aircraft delivery target for 2022 has been updated accordingly. The earnings and free cash flow guidance are maintained, underpinned by the H1 financials,” said Guillaume Faury, Airbus Chief Executive Officer. “The Airbus teams are engaged with suppliers and partners to ramp up towards an A320 Family monthly production rate of 75 in 2025, backed by strong customer demand.”

Gross commercial aircraft orders increased to 442 (H1 2021: 165 aircraft) with net orders of 259 aircraft after cancellations (H1 2021: 38 aircraft). The order backlog amounted to 7,046 commercial aircraft on 30 June 2022. Airbus Helicopters booked 163 net orders (H1 2021: 123 units), including 14 Super Puma Family and in Q1 it was awarded the contract for the Tiger MkIII attack helicopter upgrade programme. Airbus Defence and Space’s order intake by value increased to € 6.5 billion (H1 2021: € 3.5 billion), corresponding to a book-to-bill ratio of around 1.3. Second quarter orders included the contract to deliver 20 latest generation Eurofighter jets to the Spanish Air Force.

297(1) commercial aircraft delivered in H1 2022
Revenues € 24.8 billion; EBIT Adjusted € 2.6 billion
EBIT (reported) € 2.6 billion; EPS (reported) € 2.42
Free cash flow before M&A and customer financing € 2.0 billion
A320 Family monthly production rate target of 75 for 2025 unchanged; adjustment to 2022 and 2023 ramp-up trajectory
2022 guidance updated to around 700 commercial aircraft deliveries
2022 guidance maintained for EBIT Adjusted and FCF before M&A and customer financing

Consolidated revenues totalled € 24.8 billion (H1 2021: € 24.6 billion). A total of 297(1) commercial aircraft were delivered (H1 2021: 297 aircraft), comprising 25 A220s, 230 A320 Family, 13 A330s and 29 A350s(2). Revenues generated by Airbus’ commercial aircraft activities were broadly stable. Airbus Helicopters delivered 115 units (H1 2021: 115 units), with revenues rising by 6 percent mainly reflecting growth in services and a favourable mix in programmes. Revenues at Airbus Defence and Space increased 11 percent, mainly driven by the Military Aircraft business and following the Eurodrone contract signature in February. Four A400M airlifters were delivered in H1 2022.

Consolidated EBIT Adjusted – an alternative performance measure and key indicator capturing the underlying business margin by excluding material charges or profits caused by movements in provisions related to programmes, restructuring or foreign exchange impacts as well as capital gains/losses from the disposal and acquisition of businesses – was broadly stable at € 2,645 million (H1 2021: € 2,703 million).

EBIT Adjusted related to Airbus’ commercial aircraft activities was broadly stable at € 2,276 million (H1 2021: € 2,291 million). It included the non-recurring positive impact from retirement obligations recorded in Q1, partly offset by the impact from international sanctions against Russia which was reduced as compared to Q1 2022 following good progress on the remarketing of some aircraft. The net positive impact from these two non-recurring elements was largely offset by a less favourable currency hedging rate compared to H1 2021.

On the A320 programme, production is progressing towards a rate of 75 aircraft per month in 2025 as previously communicated. Given the current supply chain challenges, the Company is adapting the ramp-up trajectory and now targets a monthly rate of 65 in early 2024, around six months later than previously planned. The first flight of the A321XLR took place in June, representing an important milestone towards the aircraft’s entry-into-service that is expected to take place in early 2024. On widebody aircraft, the Company is exploring, together with its supply chain, the feasibility of further rate increases to meet growing market demand as international air travel recovers.

Airbus Helicopters’ EBIT Adjusted increased to € 215 million (H1 2021: € 183 million), partly driven by the growth in services and a favourable mix in programmes. It also reflects the non-recurring elements booked in Q1, including the positive impact related to retirement obligations.

EBIT Adjusted at Airbus Defence and Space decreased to € 155 million (H1 2021: € 229 million). This mainly reflects the impairment related to the Ariane 6 launcher delay, the impact of rising inflation in some long-term contracts across the Division’s portfolio and the consequences of international sanctions, partly offset by the positive impact related to retirement obligations booked in Q1.

On the A400M programme, development activities continue towards achieving the revised capability roadmap. Retrofit activities are progressing in close alignment with the customer. In Q2 2022, a charge of € 0.2 billion was recorded, mainly reflecting the updated assumptions of inflation on the launch contract. Risks remain on the qualification of technical capabilities and associated costs, on aircraft operational reliability, on cost reductions and on securing export orders in time as per the revised baseline.