Airbus Reports Strong Performance in 1H2021By Sofía Hanna | Tue, 08/03/2021 - 12:15
Airbus reported 297 deliveries of commercial aircraft and revenues of €24.6 billion (US$ 29.2 billion) during 1H2021. The OEM also received approval from its board of directors for the A350 freighter derivatives and updated its 2021 guidance.
On its official half-year report, Airbus mentioned that although the COVID-19 pandemic continues, the company had a strong performance during this period and for it to continue thanks to the numerous actions taken by its teams. “These half-year results reflect the commercial aircraft deliveries, our focus on cost containment and competitiveness and the good performance in Helicopters and Defence and Space,” said Guillaume Faury, CEO of Airbus. Given its recent accomplishments, Airbus was able to raise its 2021 guidance, despite the unpredictable factors environment-wise.
Airbus delivered a total of “165 (1H2020: 365 aircraft) with net orders of 38 aircraft after cancellations (1H2020: 298 aircraft). The order backlog was 6,925 commercial aircraft on 30 June 2021. Airbus Helicopters booked 123 net orders (H1 2020: 75 units), including ten helicopters of the Super Puma family. Airbus Defence and Space order intake by value were €3.5 billion (US$41.5 billion) (1H2020: €5.6 billion (US$66.4 billion))” according to the release.
The number of deliveries reflects the company’s continued cost containment efforts and competitiveness, which allowed it to consolidate an increase in revenue of 30 percent year-on-year, €24.6 billion (US$29.2 billion) (1H2020: €18.9 billion (US$ 22.4 billion)), reflecting the higher number of commercial aircraft deliveries in comparison to 1H2020. During the second quarter of 2021, revenue increased by 70 percent versus 2Q2020, mainly driven by the higher commercial aircraft deliveries and higher revenues at Airbus Helicopters. During 2Q2021, Airbus had a net income of €1.9 billion (US$2.2 billion), an EBIT (reported) of negative €89 million (US$105 million) and negative €318 million (US$ 377 million) in income taxes.
The French giant’s updated 2021 guidance indicates that it aims to deliver 600 commercial aircraft, reach an EBIT Adjusted of €4 billion (US$4.7 billion) and a Free Cash Flow before M&A and Customer Financing of €2 billion (US$2.3 billion) in 2021. “Although the COVID-19 pandemic continues, the numerous actions taken by the teams have delivered a strong H1 performance. This enables us to raise our 2021 guidance, although we continue to face an unpredictable environment. We are now working to secure the A320 Family ramp up while transforming the industrial setup. Furthermore and following Board approval, we are enhancing our product line with an A350 freighter derivative, responding to customer feedback for increased competition and efficiency in this market segment,” said Faury.