Weak start to the year for Airbus.
The European aerospace giant posted a sharply lower first quarter, with profits and deliveries below expectations due to delays in engine supply. The European company, while maintaining its annual forecasts, is facing supply chain difficulties affecting production and deliveries, while American rival Boeing shows signs of recovery: The American manufacturer closed the first quarter of 2026 with a smaller loss and rising revenues, accompanied by a record order backlog.
Despite the difficulties, Airbus has kept its delivery target for 2026 unchanged, at around 870 commercial aircraft, highlights the Financial Times. As AFP, investors and analysts closely watch delivery data, since Airbus and Boeing receive most of the payment at the time aircraft are delivered to buyers.
The first quarter results “reflect the lower level of commercial aircraft deliveries,” admitted Airbus CEO Guillaume Faury, specifying that “In the commercial aircraft sector, we continue to increase production according to our plans, while facing the shortage of Pratt & Whitney engines.”
All the details.
REVENUES DOWN COMPARED TO LAST YEAR
The Toulouse-based aircraft manufacturer closed the first quarter with revenues of 12.7 billion euros, slightly above analysts’ consensus of 12.4 billion euros, but down 7% compared to 13.5 billion euros in the same period last year.
PROFITS DOWN AND BELOW EXPECTATIONS
Moving to profits, Airbus reported adjusted operating profit in the first quarter halved, at 300 million euros, down 52% compared to the same period last year and below analysts’ expectations, which estimated 348 million euros.
In particular, Reuters reports, the commercial aircraft division, the group’s main one, recorded a significant profit decline, falling to 81 million euros compared to 494 million in the previous quarter, while cash outflow reached 2.5 billion euros, mainly reflecting the low level of deliveries.
DELIVERIES DOWN
During the period, Airbus delivered 114 commercial aircraft, the lowest number for a first quarter since 2009, down 16% compared to 136 aircraft in the same period last year. The figure is also lower than the 143 aircraft delivered by Boeing, which is gaining ground under CEO Kelly Ortberg’s leadership.
The company is trying to meet the target of delivering about 870 commercial aircraft in 2026, despite operational difficulties. Most deliveries are expected in the second half of the year, due to accumulated delays.
WHAT’S HAPPENING WITH AMERICAN MANUFACTURER PRATT & WHITNEY
The main difficulties stem from delays in engine supply by the U.S. manufacturer Pratt & Whitney, controlled by RTX. These delays are impacting production of the A320 family, the group’s best-selling model.
Airbus CEO Guillaume Faury stated that the two companies have not yet reached an agreement on engine deliveries: “We have not yet reached an agreement,” Faury said, “but we continue to work on two fronts: on one side, the dispute, and on the other, the negotiation to constructively resolve the disagreement.”
Airbus is also considering the possibility of seeking damages for the delays, while “significant differences” remain on the number of engines to be delivered. The Pratt & Whitney GTF engine, used on the A320neo, has also been affected by recalls and durability issues that have increased pressure on the production chain.
Airbus stated that the availability of Pratt & Whitney engines “remains the key factor for increasing production” of its best-selling mid-range single-aisle aircraft family, the A320.
THE CEO’S WORDS
Finally, Faury said there have been no cancellations by customers for future aircraft orders, despite global trade disruptions and rising fuel prices.
“We see airlines reducing the number of flights, sometimes canceling them, sometimes reducing the intensity of their network, but what we also see is that they absolutely need aircraft that are as fuel-efficient as possible to keep flying, because this limits the impact of rising aircraft fuel prices,” commented the Airbus CEO.
