Overview
- Airbus, which reported results Tuesday, delivered 114 jets in the first quarter versus 136 a year ago as adjusted operating profit fell 52% to €300 million on €12.65 billion of revenue, trailing Boeing’s 143 handovers.
- The planemaker said shortages of Pratt & Whitney geared turbofan engines are the main brake on the A320 ramp, leaving completed airframes waiting for powerplants and delaying handovers where most payment occurs.
- Working capital swung lower as Airbus built unfinished inventory to support future output, pushing free cash flow before customer financing to about -€2.5 billion and reducing net cash to €9.8 billion at quarter-end.
- Defence and Space helped cushion results with roughly €5.0 billion of orders, 7% revenue growth to €2.8 billion, and about €130 million of adjusted profit as demand for air power programs strengthened.
- Reuters reported Airbus has pursued damages from Pratt & Whitney over late engines, highlighting rising tension with a key supplier that continues to pace the A320-family production plan.