Airbus reported a steep drop in first-quarter adjusted operating profit on Tuesday, with results falling well short of the market consensus as the commercial jetmaker delivered fewer aircraft and recorded negative effects from a weaker U.S. dollar.
For the three months ended March 31, adjusted operating profit was 300 million euros, a decline of 52% from the prior-year quarter. Revenue for the period slipped 7% to 12.65 billion euros. By comparison, company-compiled consensus data showed analysts had expected adjusted operating profit of 348 million euros on revenue of 12.39 billion euros.
The group said its first-quarter performance reflected a year-on-year 16% drop in jet deliveries. That slowdown comes as Airbus continues to pursue an aggressive delivery and production timeline: the company reaffirmed its objective to reach total deliveries of 870 aircraft by 2026.
Despite the quarterly setback, Airbus left its full-year guidance unchanged. The company also restated its production-rate target for the A320-family, aiming for a monthly output between 70 and 75 aircraft by the end of 2027. That target had been reduced in February from an earlier ambition to achieve 75 per month by the start of 2027.
Currency translation also played a role in the quarterly results, with management noting the impact of a weaker U.S. dollar on reported numbers. The exchange rate used in the report was $1 = 0.8542 euros.
Taken together, Airbus' first-quarter figures show a combination of operational and currency pressures influencing near-term profitability, while the company maintains its stated production ramp and delivery objectives for the coming years.
Key figures
- Adjusted operating profit: 300 million euros (down 52% year-on-year)
- Revenue: 12.65 billion euros (down 7% year-on-year)
- First-quarter jet deliveries: fell 16% year-on-year
- 2026 delivery target: 870 aircraft
- A320-family production target: 70-75 aircraft per month by end-2027