Airbus earns 1,453 million euros through September, up 4 percent

Airbus earns 1,453 million euros through September, up 4 percent

Paris, Oct 31 (EFE) .- The Airbus group had 1,453 million euros of profit in the first nine months of the year, a growth of 4% compared to the same period of 2017, due to the improvement in operating results.

Net operating profit (Ebit) increased 60% to 2,683 million euros, Airbus said in an Airbus statement today, noting that in adjusted terms – discounting the impact of non-recurring items – it increased 127% to 2,738 million.

The turnover increased globally by 6%, to 40,421 million euros, which reflects in particular the increase in commercial aircraft deliveries (503, compared to 454 between January and September 2017).

In fact, the commercial aircraft division increased its revenues by 11% to 30,478 million euros and 187% its EBIT, to 2,238 million (190% adjusted).

On the contrary, the helicopter business reduced its turnover by 11% to 4,197 million euros, although its ebit improved by 11% to 179 million euros (and the adjusted by 25%).

The division of defense and space, which is integrated into the A400M military transport aircraft program that is assembled in Seville, repeated almost exactly its revenues (7,051 million euros, compared to 7,052 million a year earlier), but its ebit suffered a retracement of 46% (the adjusted gained 3%).

The march of the A400M again forced the company to increase the provisions for that program to 105 million euros so far this year, that is, 7 million more than what had already been announced for the first semester.

Taking into account the previous provisions (of 1,299 million euros in 2017 alone), the A400M accumulates 8,400 million in a broken history and, as Airbus acknowledged today, remains surrounded by uncertainties.

These "risks" have to do with "the development of technical capabilities at a sufficient export level within the term, as well as with regard to the operational reliability of the aircraft -especially in terms of engines- and the reduction of costs with according to the revised reference line ".

The company said that "the talks for the modification of the contract (with the associated countries in the A400M) are progressing, but they are doing it at a somewhat lower pace than planned". In July he had planned to be ready by the end of the year.

Airbus had a negative cash flow of 4,169 million euros between January and September, compared to 3,344 million in the same period of 2017, and that includes the program of A220 aircraft purchased from the Canadian Bombardier.

Looking ahead to the end of fiscal year 2018, the European group recognizes that it has become more difficult to meet its goal of increasing the production of the renewed version of its family of single-aisle aircraft, the A320neo, because of the delays of the engine manufacturers. in the first half of the year and because of "some internal industrial difficulties".

The same type of problems due to delays in the delivery of engines by the supplier for the A330neo has also led to the adjustment of the delivery schedule for this double-aisle device.

The company also indicated that it is "actively" working to resolve "certain commercial challenges of the A330neo and A380 programs" (its giant model, whose sales have been very disappointing).

In any case, its forecasts for this year are to deliver "around 800 commercial aircraft, including 18 units of the A220.

On that basis, it maintains its goal of an adjusted EBIT before mergers and acquisitions of some 5,000 million euros and a cash flow of less than 2,950 million in 2017, which, like the ebit, will be negatively impacted by the A220.

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