European aerospace giant Airbus reported strong full-year financial results for 2023 and provided an upbeat outlook for 2024, underscoring the company’s recovery from the aviation industry downturn during the COVID-19 pandemic.
Airbus generated €65.4 billion ($69.2 billion) in total revenues for 2023, an 11% increase from the previous year. Earnings also rose sharply, with the company posting €5.8 billion in adjusted EBIT (earnings before interest and taxes), up nearly 4% year-over-year. Meanwhile, free cash flow came in at a healthy €4.4 billion.
The improved financial performance was driven by a double-digit rise in Airbus’s core commercial airplanes business. The company delivered 735 jetliners last year, up 74 planes from 2022. Revenues for the commercial aircraft division jumped 15%.
Airbus ended 2023 with a record €554 billion backlog of customer orders and its highest level of net cash reserves, at €10.7 billion. It also proposes to pay shareholders a total dividend payout of €2.80 per share.
| Consolidated Airbus | FY 2023 | FY 2022 | Change |
| Revenues, in millions thereof defence, in millions | 65,446 11,929 | 58,763 11,491 | 0.15 |
| EBIT Adjusted, in millions | 5,838 | 5,627 | 0.04 |
| EBIT (reported), in millions | 4,603 | 5,325 | -14% |
| Research & Development expenses, in millions | 3,257 | 3,079 | 0.06 |
| Net Income(2), in millions | 3,789 | 4,247 | -11% |
| Earnings Per Share | 4.8 | 5.4 | -11% |
| Free Cash Flow (FCF), in millions | 3,885 | 4,324 | -10% |
| Free Cash Flow before M&A, in millions | 3,950 | 4,534 | -13% |
| Free Cash Flow before M&A and Customer Financing, in millions | 4,386 | 4,680 | -6% |
| Dividend per share(4) | 1.8 | 1.8 | 0% |
| Special dividend per share(4) | 1 | – | – |
(Amounts in Euro)
“In 2023 we recorded strong order intake across all our businesses and we delivered on our commitments,” said Airbus CEO Guillaume Faury. “This was a significant achievement given the complexity of the operating environment.”
Buoyed by its 2023 momentum, Airbus issued an upbeat forecast for 2024. It projects adjusted EBIT of €6.5 billion to €7 billion next year, with approximately 800 commercial aircraft deliveries. The company said it assumes no further supply chain disruptions or global economic shocks in its guidance.
The optimistic outlook demonstrates Airbus’s increasing confidence in sustaining its post-pandemic rebound. After the aviation sector was devastated by COVID-related travel bans and lockdowns, Airbus has rebounded faster than expected, thanks to airlines moving to refresh their fleets.
With air travel demand improving globally, Airbus appears well positioned to continue growing its commercial jet output and profits over the next few years. The company aims to be producing 75 narrowbody A320-family aircraft per month by 2026.
