Airbus shrugs off military plane charge as profits soar

Postado Fevereiro 15, 2018

Earnings before interest and tax before one-time items increased 8 percent in 2017 to 4.25 billion euros, the planemaker said.

In 2017, the European planemaker's revenues were stable at €66.8 billion against €66.6 billion the previous year. This year's figure should gain 20 percent, so long as delivery targets are met, the company said.

"We're expecting to deliver another record number of deliveries in 2018", Enders said on a conference call.

The company also acknowledged that it had had more struggles with engines supplied by Pratt & Whitney for the A320neo, a narrow-body plane that's popular with regional airlines. The latest issue relates to a seal that Pratt replaced after an earlier version exhibited durability issues. The supplier had had problems with the engines past year, which it fixed, but reported a new issue more recently that could affect 2018 deliveries, Airbus said. Airbus has reportedly taken a €1.3bn (£1.2bn) charge on its troubled A400M military transport plane, bringing total charges on the project to more than €8bn. However, it promised that the charge would draw a line under the contract after years of cost overruns and performance setbacks.

"On A400M, we made progress on the industrial and capabilities front and agreed a re-baselining with government customers which will significantly reduce the remaining programme risks".

Airbus faces the added distraction of a series of bribery probes concerning the use of payments and middlemen in marketing campaigns. It last week reached a €99-million deal to settle a corruption investigation by German prosecutors into the sale of Eurofighter warplanes to the Austrian military.

Sandy Morris, an analyst with Jefferies International, said he was reassured by Airbus's forecasts for earnings and free cash flow growth.