Airbus (AIR) Status Update summary

Commercial Aircraft Ramp-up and Operational Update

• Ramp-up to Rate 75 on single-aisle by 2027, with investments in new assembly lines and internalizing key aerostructure activities post-Spirit acquisition.

• Supply chain disruptions have decreased by 40% year-on-year, with improved stability and trust among suppliers; engines and cabins remain pacing elements.

• Workforce efficiency and skill development prioritized to support higher production rates and reduce non-quality issues.

• Engine supply remains a challenge, particularly due to recent strikes at CFM, but recovery plans are in place.

• Backlog exceeds 8,630 aircraft as of May 2025, with strong demand for A321 and XLR variants driving favorable mix and margin upside.

Defence and Space Transformation and Outlook

• Defence and Space division is restructuring into Air Power, Space Systems, and Connected Intelligence.

• 2024 order intake at €16.7bn, revenues at €12.1bn, with book-to-bill at 1.4 and growth expected from European defense spending.

• Space turnaround plan is on track, with cost reductions, improved bid selectivity, and leadership changes.

• EBIT contribution from Defence and Space targeted to exceed €1bn by 2028, with further upside from European defense initiatives.

• Consolidation in European space sector under discussion, with potential for increased scale and competitiveness.

Helicopters Division Performance and Strategy

• Helicopters backlog grew from €15bn to over €24bn (2018–2024), with profitability rising to 10.3%.

• Support and services now represent 46% of revenues, with a 50% increase since 2018, leveraging a global fleet of 13,000 helicopters.

• Ambition to cross €1bn EBIT by 2028, driven by ramp-up in deliveries, engineering, and expansion in military and drone markets.

• Dual civil-military product portfolio and global footprint provide resilience and growth opportunities.

• Tactical drone market approached through partnerships, acquisitions, and open architecture solutions.