Sunday, 16 December, 2018

Airbus lags Boeing in 2017 deliveries, but wins more orders

Airbus delivered record number of planes in 2017 Kepler Capital Markets Reiterates €90.00 Price Target for Airbus (AIR)
Kelvin Reese | 16 January, 2018, 01:14

While Airbus attracted more orders in 2017, Boeing led in the number of airplanes delivered. The achievement is especially notable since Boeing refreshed its lineup past year with the 737 Max 10, a direct competitor.

Airbus chief operating officer and president commercial aircraft, Fabrice Brégier said the aircraft manufacturer would ramp up its aircraft deliveries this year.

Originally launched in 2007, the A380 is the world's largest passenger airliner.

Airbus achieved 1,109 net orders from 44 customers during the year - representing a book-to-bill ratio of 1.5.

John Leahy, the company's sales director, said Airbus would stop production if its main customer, Dubai's Emirates airline, doesn't place another order. "If people want to fly, they need to fly in bigger aircraft", he insists.

Airbus booked contracts for 1,109 airliners, or 52 percent more than in 2016, the Toulouse, France-based company said in a statement Monday, extending the margin over Boeing to 197 aircraft as its rival secured 912 net orders.

"It's a strong market and it's recovering".

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The planemaker has increased the average list prices of its aircraft by 2 percent across the product line, effective from January 1.

Both Emirates and Airbus are keen to reach a deal to protect their investment.

Brégier said Airbus would deliver 12 units of A380s and eight units in 2019, citing that it is projecting a flexible production with limit.

Airbus throughout 2017 struggled with supplier problems that slowed deliveries and raised questions over whether the company could meet targets. "It has been doing well about 50:50 with our competitors wide-body sales in the last 10 years", he said, adding that it should maintain good momentum growth.

The 2017 total includes 558 single-aisle A320 Family (181 A320neos), 67 A330s, 78 A350 XWBs and 15 A380s.

French aircraft maker Airbus SE has increased the average list prices of its commercial aircraft by 2% across its product line, starting Jan 1.

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