Airbus swings to loss on coronavirus hit
- 30th July 2020
- Posted by: Hakeem
- Category: Business plans, Stock
Airbus SE said early Thursday that it swung to a net loss in its second quarter and it still can’t provide a guidance for the year.
Net loss at the European plane maker was 1.44 billion euros ($1.70 billion), compared with net profit of EUR1.16 million a year earlier, while revenue fell 55% to EUR8.32 billion.
Analysts expected sales to come in at EUR8.31 billion, according to a consensus estimate provided by FactSet.
“The impact of the Covid-19 pandemic on our financials is now very visible in the second quarter, with 1H commercial aircraft deliveries halving compared to a year ago,” Airbus Chief Executive Guillaume Faury said.
At the end of June, roughly 145 commercial aircraft couldn’t be delivered because of the public-health crisis, the company said.
Airbus’s more closely watched adjusted earnings before interest and taxes also swung to a loss of EUR1.23 billion.
Airbus reported free cash outflow before merger and acquisition and customer financing of EUR4.4 billion in its second quarter.
The Toulouse, France-based company said it still won’t issue a new guidance for the year as visibility remains low.