SCHIPHOL-RIJK (dpa-AFX) - European aerospace company Airbus SE (EADSF.PK, EADSY.PK) reported Tuesday sharply lower net profit in its first quarter due to charges, despite higher revenues with strong results in Airbus unit. Further, the company maintained its fiscal 2019 forecast.
Airbus Chief Executive Officer Guillaume Faury said, 'The first quarter underlying financials mainly reflect our commercial aircraft ramp-up and delivery phasing. The commercial aircraft market remains robust and we continue to see good prospects in the helicopters and defence and space businesses.'
For the first quarter, consolidated net income plunged 86 percent to 40 million euros from last year's 283 million euros. Consolidated earnings per share were 0.05 euro, down from 0.37 euro last year.
The results mainly reflected a negative impact of 190 million euros as a consequence of the prolonged suspension of defence export licences to Saudi Arabia by the German government, a negative 83 million euros relating to the dollar pre-delivery payment mismatch and balance sheet revaluation, as well as a negative 61 million euros related to A380 programme cost.
Consolidated EBIT amounted to 181 million euros, 9 percent lower than prior year's 199 million euros.
Consolidated adjusted EBIT was 549 million euros, compared to prior year's 14 million euros, driven by strong results in Airbus.
Airbus' adjusted EBIT was 536 million euros, compared to prior year loss of 41 million euros. The growth mainly reflected the A320neo ramp-up and premium as well as further progress on the A350 financial performance.
Consolidated revenues increased 24 percent to 12.5 billion euros from 10.1 billion euros last year, driven by higher commercial aircraft deliveries.
At Airbus, a total of 162 commercial aircraft were delivered, up from 121 aircraft last year. Airbus Helicopters delivered 46 units, down from 52 units a year ago.
Gross commercial aircraft orders totaled 62 aircraft, lower than last year's 68 aircraft. Net commercial aircraft orders were negative 58 units, compared to last year's 45 aircraft, after 120 cancellations mainly due to the winding down of the A380 program.
The commercial aircraft backlog stood at 7,357 aircraft as of March 31.
Further, the company maintained its fiscal 2019 guidance. Airbus expects to deliver an increase in Adjusted EBIT of approximately 15 percent compared to 2018.
Airbus targets 880 to 890 commercial aircraft deliveries in 2019.
The company said it expects the world economy and air traffic to grow in line with prevailing independent forecasts, which assume no major disruptions.
In Germany, Airbus shares were trading at 122.54 euros, down 0.33 percent.
Copyright RTT News/dpa-AFX
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