Airbus shares drop after cautious 2026 delivery outlook

International

Planemaker cites engine shortages as production ramp-up continues / Investors weigh guidance against Boeing’s improving position

Airbus shares fell more than 5% on Thursday after the company projected deliveries of around 870 commercial aircraft in 2026, a figure that came in slightly below market expectations. The guidance arrives at a moment of shifting competitive dynamics, with Boeing showing signs of recovery following years of operational and reputational setbacks.

Despite robust global demand for new aircraft, Airbus pointed to persistent supply chain constraints. “Global demand for commercial aircraft underpins our ongoing production ramp-up, which we are managing while facing significant Pratt & Whitney engine shortages,” CEO Guillaume Faury said.

Deliveries remain central to investor sentiment

Aircraft delivery targets carry particular weight in the aerospace sector, as manufacturers receive the bulk of payments upon handover. Any adjustment to production or delivery schedules therefore directly influences revenue timing and cash flow expectations.

In 2025, Airbus delivered 793 commercial aircraft, slightly surpassing its revised target of 790. The adjustment followed an earlier reduction from an initial goal of 820 units, prompted by supplier quality issues affecting fuselage panels and disrupting deliveries within the A320 family programme.

Competitive landscape continues to evolve

Airbus has benefited in recent years from challenges faced by Boeing, whose prolonged crisis surrounding the 737 Max reshaped order books and delivery patterns across the industry. In 2025, Airbus handed over 193 more aircraft than Boeing, although Boeing secured a higher volume of new orders for the first time since 2018.

The latest guidance suggests that Airbus’ production expansion remains constrained less by demand than by component availability, particularly engines.

Financial performance shows mixed signals

Alongside its operational update, Airbus reported fourth-quarter adjusted earnings before interest and taxes (EBIT) of €2.98 billion, exceeding the €2.87 billion consensus estimate. Revenue reached €25.98 billion, marginally below the expected €26.5 billion.

Looking ahead, Airbus forecast adjusted EBIT of approximately €7.5 billion for 2026, with free cash flow before customer financing projected at around €4.5 billion. These financial targets accompany the delivery goal of roughly 870 aircraft.

The figures underline a recurring theme in the aviation industry: strong demand conditions juxtaposed with ongoing production bottlenecks, a combination that continues to shape investor reactions and competitive positioning.