Airbus (AIR) Investor update summary

Strategic outlook and financial targets

• Midterm EBIT Adjusted target of EUR 12–13 billion for 2029, reflecting a 75% increase from 2025 levels, assuming a EUR/USD exchange rate of 1.22.

• Free cash flow conversion is expected to remain at 1x net income over a five-year horizon, supporting robust shareholder returns.

• A EUR 5 billion share buyback program will be executed over three years, complementing a progressive dividend policy.

• Guidance for 2026 remains unchanged, targeting 870 commercial deliveries, EUR 7.5 billion EBIT Adjusted, and EUR 4.5 billion free cash flow before customer financing.

• Commitment to returning a significant portion of free cash flow to shareholders via dividends and buybacks, with a flexible payout policy.

Commercial aircraft trajectory

• A320 family ramp-up to rate 75 by early 2028, with all 10 FALs now A321 capable and supply chain stability improving.

• Wide-body programs (A330neo, A350) are scaling up, with A350 deliveries expected to more than double by 2029; potential for rates above 12 under consideration.

• Services revenue targeted to double to EUR 10 billion by 2030, with a focus on digital solutions, M&A, and aftermarket participation.

• Profitability growth driven by higher volumes, favorable product mix, and operational efficiency.

• Market for new aircraft expected to grow at 4% CAGR, with 42,060 new aircraft by 2045.

Defence and space transformation

• Record order intake in 2025 (EUR 17.7 billion) and a backlog exceeding EUR 50 billion secure future growth.

• EBIT Adjusted ambition for Defence and Space is EUR 1.3 billion by 2029, up from EUR 0.8 billion in 2025.

• Expansion in air power, digital solutions, and joint ventures (including a new space JV with Thales and Leonardo) to drive scale and specialization.

• Significant ramp-up in Eurofighter and other platforms, with almost double production by 2030.

• Defence budgets in Europe are rising, supporting growth in MRTT, Eurofighter, drones, and space constellations.