Airbus Reports Strong Q1 2025 Results Despite Supply Chain Challenges

European aerospace giant Airbus has released its financial results for the first quarter of 2025, showcasing solid performance across most segments despite persistent supply chain issues—particularly affecting its A350 and A220 programs.

Revenue and Profit Growth

The company reported consolidated revenues of €13.5 billion, up 6% from Q1 2024. Net profit surged to €793 million, a notable increase from last year’s €595 million. While demand remains robust, Airbus CEO Guillaume Faury noted that delivery timelines have been pushed to later in the year due to delays, largely stemming from supplier Spirit Aero Systems.

Despite the setback, Airbus is staying the course with its long-term production goals: 12 A350s per month by 2028 and 14 A220s per month by 2026.

Aircraft Deliveries and Orders

Airbus delivered 136 passenger aircraft in Q1 2025, a slight drop from 142 in the same period last year. Deliveries included:

• 17 A220s

• 106 A320 family aircraft

• 4 A330s

• 9 A350s

Nonetheless, revenue in the passenger aircraft segment rose by 4% to €9.5 billion, aided by favorable currency exchange rates.

Orders painted a promising picture:

• Gross orders: 280 aircraft

• Net orders (after cancellations): 204

• Total backlog: 8,726 aircraft

Growth in Helicopters and Defense

Airbus Helicopters delivered 51 units, generating €1.6 billion in revenue—a 10% increase. Net orders for helicopters reached 100. Meanwhile, the Defense and Space division saw its revenue jump 11% to €2.7 billion, with significant contributions from military air services and intelligence systems. EBIT in this segment rebounded from a loss of €9 million last year to a gain of €77 million.

R&D and Financial Targets

Airbus trimmed its R&D spending to €673 million (down from €743 million), contributing to a rise in adjusted EBIT to €624 million. Although the passenger segment's EBIT dropped slightly to €494 million, this was mitigated by better exchange rates and lower research costs.

Looking Ahead: 2025 Targets Unchanged

Airbus confirmed its full-year guidance remains steady, assuming no major global disruptions:

• ~820 aircraft deliveries

• Adjusted EBIT around €7 billion

• Free cash flow (excluding customer financing) of €4.5 billion

The integration of work packages from Spirit Aero Systems is proceeding as forecasted and is expected to be completed in Q3 2025. Airbus also reiterated its commitment to supporting European defense initiatives, leveraging its expansive product range.