MIAMI – Airbus has released results for the first quarter ending March 31, 2021. The figures published reflect substantially better results.
The positive results are mainly due to the commercial aircraft delivery performance, for which Guillaume Faury, Airbus CEO, expressed his satisfaction by stating, “The good Q1 results mainly reflect our commercial aircraft delivery performance, cost, and cash containment, progress with the restructuring plan as well as positive contributions from our helicopter, defense, and space activities.”"The good Q1 results mainly reflect our commercial aircraft delivery performance…" Guillaume Faury, Airbus CEO Click To Tweet
At the same time he also somewhat tempered his optimism by adding, “The first quarter shows that the crisis is not yet over for our industry and that the market remains uncertain. We are investing in innovation and in the transformation of our Company to deliver on our long-term ambitions across the portfolio.”
In detail, gross commercial aircraft orders totaled 39, out of which 38 were single-aisle types, a downturn when compared to Q1 in 2020 where gross orders amounted to 356 units. The net orders for the present Q1 scaled down to -61%, taking into account cancellations.
During Q1 2020, Airbus’s net orders stood at 290. At the Q1 March 31 closing date, the order backlog comprised 6,998 aircraft.
Year-over-year consolidated revenues were stable at US$24.8bn (€10.5bn) (2020=US$11.4bn/€10.6bn), and deliveries amounted to 125 aircraft (2020=122) out of which nine were A220, 105 of the A320 family, one A330, and 10 A350. Revenue derived from commercial aircraft decreased by 4% mainly due to a lower services demand.
Consolidated Airbus – First Quarter (Q1) 2021 Results (Amounts in Euro)
|Consolidated Airbus||Q1 2021||Q1 2020||Change|
|Revenues, in millions|
thereof defence, in millions
|EBIT Adjusted, in millions||694||281||+147%|
|EBIT (reported), in millions||462||79||+485%|
|Research & Development expenses, in millions||620||663||-6%|
|Net Income/Loss(1), in millions||362||-481||–|
|Earnings/Loss Per Share ||0.46||-0.61||–|
|Free Cash Flow (FCF), in millions||1,164||-8,501||–|
|Free Cash Flow before M&A, in millions||1,171||-7,999||–|
|Free Cash Flow before M&A and Customer Financing, in millions||1,202||-8,030||–|
The outlook does not show any significant changes when compared to the guidance published in February last and assumes that 2021 will see no more world economic nor air traffic disruptions, maintaining stability in the company’s internal operations and its ability to deliver products and services.
The guidance does not take into account M&A (Mergers and Acquisitions) and sets targets for 2021 to at least achieve the same number of aircraft deliveries as in 2020. Adjusted EBIT (Earnings before Income Tax) of US$2.3bn (€2bn), and Breakeven free cash flow before M&A and customer financing.
Featured image: Airbus A350-1000 F-WWXL in Airbus House Colors. Photo: Alberto Cucini/Airways