Airbus beats first-quarter forecasts, maintains targets

Airbus beats first-quarter forecasts, maintains targets


Employees work on a Rolls-Royce Trent 7000 engine for an Airbus SE A330neo aircraft at the Safran SA plant in Colomiers, France, on March 25, 2025.

Bloomberg | Bloomberg | Getty Images

Europe’s Airbus posted stronger-than-expected revenues and core profit for the first quarter and reaffirmed targets for the year, while stressing it was too early to quantify the impact of a tariff war in which there would be “only losers.”.

The world’s largest planemaker said widely watched adjusted operating income rose 8% to 624 million euros ($707 million) and revenues gained 6% to 13.54 billion euros in the quarter, led by defense which smoothed the impact of lower jetliner deliveries.

Analysts had on average expected adjusted or underlying operating profit of 602 million euros on revenues of 12.95 billion, according to consensus data compiled by the company. Airbus also burned significantly less cash than expected.

Boeing’s European rival continued to project 820 aircraft deliveries for 2025, up from 766 last year, but cautioned these would once again be backloaded towards the latter part of the year as it faces supply chain problems.

The company, which finalized an agreement on Monday to take over some factories of ailing Spirit AeroSystems, said the U.S. aerostructure supplier’s difficulties were continuing to put pressure on the ramp-up of the Airbus A320 and A350 jets.

It held its industrial forecasts for aircraft production unchanged, however, and stuck with 2025 financial forecasts that include 7.0 billion euros of adjusted operating profit – a measure routinely used by Airbus to exclude gains and losses related to restructuring, currency and certain other factors.

The 2025 forecasts include the impact of absorbing part of Spirit but not the uncertainty surrounding a growing tariff war.

CEO Guillaume Faury called for a swift return to a 1979 treaty between 33 nations that has ensured duty-free trading in aircraft and parts for decades.

Tariff discussions

The World Trade Organization side agreement has been upended by the recent imposition of sweeping tariffs by U.S. President Donald Trump, with the European Union among those preparing counter-measures if negotiations fail to find a resolution.

Airbus has not been directly hit by especially high tariffs between China and the United States despite having an assembly line near Beijing, Faury told reporters, adding that Airbus intended to maintain its existing plants in both countries.

Faury said Airbus was talking to customers and suppliers but he ruled out picking up the bill for tariffs for U.S. airlines taking delivery of planes directly from Europe, rather than the company’s assembly plant for some of its models in Alabama.

Delta Air Lines CEO Ed Bastian said earlier this month the U.S. carrier would defer aircraft deliveries rather than pay tariffs on them.

In its defense business, Airbus struck a more positive tone over future production of the A400M military airlifter, saying it was in “constructive” talks with purchasing nations.

The A400M has been hit by delays, partial cancellations by European launch nations and slow exports, with the order pipeline expected to run out in 2028. But industry sources have said higher European arms spending could revive interest from buyers that have curbed deliveries, such as France and Spain.

Airbus also announced new charges of 105 million euros related to the ongoing restructuring of its Defence and Space division.



Source

U.S. travelers say these are the 10 most popular summer destinations around the globe: ‘People are craving relaxation’
World

U.S. travelers say these are the 10 most popular summer destinations around the globe: ‘People are craving relaxation’

This month, Tripadvisor released its annual Summer Travel Index, which revealed the top trending international destinations for American travelers. The report found that U.S. travelers are looking abroad for both major cities and laid-back beach vacations, with 51% of travelers citing their primary reason to travel is to relax and rejuvenate. “It’s part of an […]

Read More
Power outage disrupts final day of Cannes Film Festival, police investigate possible arson
World

Power outage disrupts final day of Cannes Film Festival, police investigate possible arson

People pose on the Croisette next to an installation of a Palme d’Or symbol during the 78th Cannes Film Festival in Cannes, France, on May 24, 2025. Benoit Tessier | Reuters A major power outage struck southeastern France on Saturday morning, disrupting traffic and briefly halting events at the Cannes Film Festival as the prestigious […]

Read More
How On is taking on Nike and Adidas in the sneaker race
World

How On is taking on Nike and Adidas in the sneaker race

Swiss brand On is quickly emerging as a global challenger in the sportswear market. The company, which sells premium-priced athletic shoes and apparel, reported net sales for the three-month period ended March 31 rose over 40% to 726.6 million Swiss francs (US$869 million) compared with the year prior. Analysts say the brand has been able […]

Read More