Airbus faces financial bill after end-year delivery crunch

Airbus is counting the cost of last-minute financial concessions to airlines to overcome a spate of minor quality problems after scrambling to deliver a provisional 123 jets in December, industry sources said.

The end-year rush brings preliminary 2024 deliveries to 766 jets, up 4 per cent from 2023, but this is subject to internal audits, meaning it could still be trimmed by one or two jets before final data is released on Thursday, the sources said.

Even so, the world’s largest planemaker is expected to declare victory after putting a floor of 750 on its guidance of “around 770” deliveries in a briefing to analysts in October.

Airbus declined comment. Reuters reported on Friday that Airbus had provisionally delivered over 765 jets.

Airbus has been under pressure to meet targets and deliver on promises to investors after a profit warning in July. But unions and some airlines have raised concerns that the push to speed up deliveries has come at the expense of quality problems.

Malaysia Airlines last month blamed the grounding of a brand new A330neo on quality issues. Airbus said it was supporting the airline alongside engine maker Rolls-Royce.

Hampered by weak supply chains, plane makers increasingly compensate airlines for cosmetic defects or pay for extra maintenance if they agree to take jets before deadlines, insiders say.