Airbus in better shape than feared but risks ahead, CEO tells staff

The CEO of Europe's Airbus has told staff that the group ended 2024 in better shape than it feared when cutting profit targets last summer, while warning of increased risks to its business from a worsening international environment. Referring to group-wide performance, Guillaume Faury said in a New Year memo seen by Reuters: "From an operational point of view, we finished the year in a better state than we feared when we changed our guidance to the financial markets" in July. An Airbus spokesperson said it never comments on internal correspondence. Airbus this month reported 766 jet deliveries, just shy of a targeted headline figure of "around 770", while claiming victory due to a margin for manoeuvre in the language of its forecast. It remained ahead of rival Boeing for a sixth year. Faury said activity would once again accelerate over the course of the year and insisted Airbus must improve quality and delivery timing. Industry sources say it is short of engines this month after racing towards the finish line in 2024. Faury said Airbus Defence and Space and Airbus Helicopters had an "excellent commercial performance" in 2024. But he called for vital progress in defence activities of both divisions and hinted that recent consolidation moves in space could seep into defence. He narrowed earlier definitions of possible strategic options to include new partnerships. "We are also exploring a potential consolidation of our activities and possible new partnerships, particularly in the space business where we're suffering the most," he wrote.<br/>