Airbus Just Misses Annual Delivery Target for 2024 - Reuters

Investing.com -- According to preliminary data obtained from industry sources by Reuters, Airbus narrowly missed its annual delivery target by temporarily delivering more than 765 aircraft to airlines and leasing companies in 2024. The European aircraft manufacturer had set a delivery target of "approximately 770" for the year. In December alone, Airbus delivered over 122 aircraft, bringing the annual total slightly above 765. However, the company has not yet confirmed these figures and has preferred not to share any details since the numbers are currently under audit, pending the annual commercial update on January 9.

The delivery target had previously been lowered in July 2024 due to supply chain issues. In November, Airbus managed to secure an agreement for additional engine supplies, avoiding a second potential profit warning. However, internal equipment supply continued to be a consistent issue, leading to delays in some deliveries. This situation resulted in the slight miss of the 770 aircraft delivery target.

Production of single-aisle jets, a significant performance indicator, has increased from approximately 50 to 60 as supply chains recovered from the pandemic's impact. Airbus aims to produce 75 of these jets per month by 2027.

Nonetheless, despite missing the target, Airbus had previously informed analysts that a shortfall of fewer than 20 aircraft would not be significant enough to trigger a new profit warning. This margin for error was reiterated by an Airbus spokesperson, referencing comments made by CEO Guillaume Faury during the discussion of third-quarter results in October.

Commercial jet deliveries represent a significant portion of Airbus's operating profits and cash flow. Bloomberg News reported on Thursday that Airbus delivered approximately 760 aircraft in 2024. The company will present its forecasts for 2025 during the full results announcement on February 20.