Coronavirus pushes Airbus into Q1 loss | Inquirer Business

Coronavirus pushes Airbus into Q1 loss

/ 03:59 PM April 29, 2020

(FILES) This file photo taken on February 14, 2019 in Toulouse shows parts of Airbus A380 MSN 266 at Airbus plant, as European aerospace giant announced it would end production of the A380 superjumbo. – European aviation giant Airbus on April 29, 2020 reported a first-quarter net loss of 481 million euros (521,800,000 USD) under the impact of the coronavirus crisis. (Photo by REMY GABALDA / AFP)

PARIS — European aviation giant Airbus plunged into the red in the first quarter as the coronavirus pandemic sparked “the gravest crisis the aerospace industry has ever known”, it said Wednesday.

The group reported a net loss of 481 million euros ($522 million), compared to a profit of 40 million euros in the same period last year.

Article continues after this advertisement

Revenues fell 15.2 percent to 10.6 billion euros, reflecting a “market environment strongly impacted” by the pandemic, “particularly in commercial aircraft”, Airbus said in a statement.

FEATURED STORIES

The group delivered 40 fewer aircraft than in the same quarter of 2019 due to the crisis.

“We saw a solid start to the year both commercially and industrially but we are quickly seeing the impact of the COVID-19 pandemic coming through in the numbers,” said CEO Guillaume Faury.

Article continues after this advertisement

“We are now in the midst of the gravest crisis the aerospace industry has ever known.

Article continues after this advertisement

“We’re implementing a number of measures to ensure the future of Airbus. We kicked off early by bolstering available liquidity to support financial flexibility.

Article continues after this advertisement

Airbus delivered 122 aircraft in the three-month period, while 60 others were produced but were not delivered to customers due to the coronavirus crisis.

“We’re adapting commercial aircraft production rates in line with customer demand and concentrating on cash containment and our longer-term cost structure to ensure we can return to normal operations once the situation improves,” Faury said

Article continues after this advertisement

He said the industry now needs to “restore passenger confidence in air travel as we learn to coexist with this pandemic.”

Airbus said in early April it had cut aircraft production by around a third as global airlines scale back their plans in an unprecedented crisis for the industry.

/MUF
Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our daily newsletter

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

For more news about the novel coronavirus click here.
What you need to know about Coronavirus.
For more information on COVID-19, call the DOH Hotline: (02) 86517800 local 1149/1150.

The Inquirer Foundation supports our healthcare frontliners and is still accepting cash donations to be deposited at Banco de Oro (BDO) current account #007960018860 or donate through PayMaya using this link.

TAGS: aerospace, Airbus, coronavirus, Earnings, France, Health, Virus

Your subscription could not be saved. Please try again.
Your subscription has been successful.

Subscribe to our newsletter!

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

© Copyright 1997-2024 INQUIRER.net | All Rights Reserved

This is an information message

We use cookies to enhance your experience. By continuing, you agree to our use of cookies. Learn more here.