You are here: Home » International » News » Companies
Business Standard

Airbus lost $1.3 billion amid pandemic; expects better 2021

The firm expects to deliver hundreds of planes and make a profit this year

Airbus | Economic recovery | Aviation sector

AP | PTI  |  Paris 

Photo: Reuters
Photo: Reuters

European plane maker lost 1.1 billion euros (USD 1.3 billion) amid an unprecedented global slump in air travel because of the pandemic, but expects to deliver hundreds of planes and make a profit this year.

CEO Guillaume Faury acknowledged Thursday that the company's performance last year was far from expectations and had to constantly adapt as airlines grounded planes or folded altogether -- because of travel restrictions. announced in June that it would cut 15,000 jobs, mostly in France and Germany.

The crisis is not over. It is likely to continue to be our reality throughout the year, he said. doesn't expect the industry to recover to pre-pandemic levels until 2023-2025.

Airbus sales were down to 49.9 billion euros from 70 billion euros the year before. The company also reported a loss in 2019 because of a major multinational corruption settlement.

Airbus delivered 566 aircraft last year and expects to deliver about the same number this year, the company said. It took in 268 commercial plane orders, down from 768 the year before.

Both figures were well down from normal recent years, but above those from struggling US rival Boeing.

Boeing Co. got a bump in orders and deliveries of new planes in December, but it wasn't enough to salvage the year. It notably suffered from continuing cancellations of its 737 Max jet, which was grounded for 21 months after crashes in Indonesia and Ethiopia killed 346 people.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Thu, February 18 2021. 14:05 IST