Airbus Reports $70.17 Billion Revenue in 2023, Targets Ambitious Growth for 2024 – Travel And Tour World

Airbus SE announces 2023 financial growth and sets optimistic 2024 targets, underlining its robust position in the aviation industry.

“In 2023 we recorded strong order intake across all our businesses and we delivered on our commitments. This was a significant achievement given the complexity of the operating environment,” said Guillaume Faury, Airbus Chief Executive Officer. “We will continue to invest in our global industrial system, while progressing on our transformation and decarbonisation journey. Our dividend proposals are a reflection of the strong 2023 financials, our growth prospects in 2024 and balance sheet strength.”

In 2023, the gross orders for commercial aircraft reached 2,319, a significant increase from 1,078 in 2022, with net orders after cancellations standing at 2,094 aircraft, up from 820 in the previous year. By the end of 2023, the backlog of commercial aircraft orders stood at 8,598. Airbus Helicopters saw a net order of 393 units, an increase from 362 in 2022, showcasing a diversified demand across its programs. This resulted in a book-to-bill ratio exceeding 1 both in units and monetary value. Airbus Defence and Space experienced a 15 percent rise in order value, reaching €15.7 billion in 2023 from €13.7 billion in 2022, translating to a book-to-bill ratio of approximately 1.4 in value. Notably, the fourth quarter witnessed an order of 16 C295 aircraft by Spain.

The total value of consolidated orders rose sharply to €186.5 billion in 2023 from €82.5 billion in 2022, with the order book’s worth escalating to €554 billion by year-end 2023 from €449 billion the previous year. This increase primarily reflects the company-wide book-to-bill ratio surpassing 1, although partially mitigated by the depreciation of the US dollar.

Revenue for the company saw an 11 percent increase to €65.4 billion in 2023 from €58.8 billion in 2022. Airbus delivered a total of 735 commercial aircraft, including 68 A220s, 571 A320 Family aircraft, 32 A330s, and 64 A350s. The revenue from commercial aircraft activities alone surged by 15 percent, largely due to the increased number of aircraft delivered. The helicopter division delivered 346 units, maintaining stability, and reported a 4 percent rise in revenue, attributable to its broad program and service performance. The Defence and Space segment saw a modest 2 percent revenue increase, driven by Military Air Systems and Connected Intelligence, despite some adjustments in the completion estimates of certain space programs.

The company reported an EBIT Adjusted of €5,838 million in 2023, a slight increase from €5,627 million in 2022, serving as a key indicator of the underlying business margin by excluding significant charges or profits from provisions, restructuring, foreign exchange impacts, and the gains/losses from business disposals and acquisitions.

Regarding future projections, Airbus aims to maintain its upward trajectory, with plans to deliver around 800 commercial aircraft in 2024. The company forecasts an EBIT Adjusted in the range of €6.5 billion to €7.0 billion and anticipates a Free Cash Flow before Customer Financing of approximately €4.0 billion, assuming no further disruptions to global economic conditions, air traffic, supply chains, internal operations, or product and service delivery capabilities.

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