Airbus kept its full-year forecasts and production plans unchanged on Wednesday after reporting mixed third-quarter results, leaving investors focused on whether the company can meet its annual aircraft-delivery target.
The company’s third-quarter profit fell about 9%, following a decline in aircraft deliveries.
The world’s largest planemaker maintained its target of delivering around 870 aircraft this year, which would be a record high, and left its production goals unchanged. Meeting the target would require a record performance in the fourth quarter, according to Reuters.
Airbus said adjusted operating profit reached $1.97 billion (€1.77 billion) in the three months ended September, broadly in line with analyst estimates in a company-commissioned survey.
Revenue fell 2% to $19.43 billion (€17.47 billion), below expectations of $19.92 billion (€17.91 billion).
Airbus typically delivers more aircraft in the final months of the year, but has previously had to cut delivery targets late in the year due to engine shortages and other supply-chain constraints that hampered production. These pressures have recently begun to ease.
Chief Executive Guillaume Faury said in a statement: “Against a complex geopolitical and operating environment, we are focused on delivery while maintaining a steadfast focus on quality. Our plan is clear and our teams are committed to achieving our targets.”
The company added that free cash flow before customer financing since January recorded a deficit of $1.41 billion (€1.27 billion), reflecting higher inventories as Airbus prepares to improve its delivery pace in the second half of the year and increase production to meet expected deliveries by year-end.
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