Airbus CEO Guillaume Faury discusses the company's current challenges and opportunities in a recent interview. Here are the key points.
Challenges in the space sector
Airbus is experiencing difficulties with its space programmes. Faury explains that some programmes have been underestimated in terms of risk, leading to additional charges. In June, Airbus informed the market of these challenges and launched initiatives to turn these programmes around. Some issues are expected to be resolved in the coming months, while others, involving long-term investments, will take longer.
Demand and constraints in commercial aviation
Airbus faces strong demand for its commercial aircraft, with an order book of 8,500 aircraft. However, supply chain issues are limiting delivery capacity. In 2022, the difficulties mainly concerned small and medium-sized suppliers. In 2023, the problems related to suppliers of critical systems. Airbus is working to resolve these issues to efficiently increase production in 2025 and 2026.
Supplier relations
Airbus has set up monitoring stations to track the suppliers most at risk. Delays from engine manufacturers, for example, pose additional challenges. Airbus prefers to receive parts on time rather than financial compensation, but applies penalties when deliveries do not meet deadlines.
Growth in the defence sector
Since Russia's attack on Ukraine in 2022, European countries have been increasing their defence spending. Airbus has seen an increase in orders in 2023 and is continuing this trend in 2024. The growth comes mainly from European countries, although there are also significant export contracts.
Impact of interest rates
High interest rates and inflation are complicating business management. A fall in interest rates would be good news for Airbus, bringing greater certainty and visibility.
Guillaume Faury emphasises that each situation is unique and requires a personalised approach to meet the specific needs of customers and partners.
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