Airbus Cuts 2019 Delivery Goal -- Earnings Review

By Olivia Bugault

Airbus SE (AIR.FR) released its third-quarter results on Wednesday morning. Here's what you need to know:

PROFIT: Net profit for the period rose to 989 million euros ($1.01 billion) from EUR957 million a year earlier, beating a FactSet-compiled consensus of EUR935 million.

REVENUE: Revenue edged down to EUR15.30 billion from EUR15.45 billion. Analysts had expected revenue at EUR15.73 billion, according to FactSet estimates.

WHAT WE WATCHED:

-LOWER DELIVERY TARGET: The European plane maker cut its 2019 delivery guidance to 860 aircraft from a previous forecast of 880 to 890 jets. Airbus said it was working on ramping up its plane production. Despite the cut, Airbus is still well on track to outdo its U.S. rival Boeing Co. (BA) as the largest plane maker in terms of deliveries.

-FCF CUT: Due to lower expected deliveries for 2019, Airbus has also cut its free cash flow before mergers and acquisitions and customer financing to EUR3 billion from a previous outlook of EUR4 billion.

-EBIT GUIDANCE UNCHANGED: However, Airbus still expects its adjusted earnings before interest and taxes to come roughly 15% higher than last year for 2019.

Write to Olivia Bugault at [e-mail]

(END) Dow Jones Newswires

October 30, 2019 08:26 ET (12:26 GMT)

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