Airbus Struggles to Bridge Gap Between Soaring Orders and Stalled Deliveries

Airbus delivered 67 aircraft in April but faces supply-chain constraints. With 8,971 jets on order, engine shortages threaten 870-unit target and financial performance.

The aerospace giant finds itself in an increasingly uncomfortable position: demand has never been stronger, yet the production line cannot keep pace. Airbus delivered 67 aircraft in April — its best monthly performance so far this year, up from 60 in March — but the tally still leaves the company well behind the pace needed to hit its full-year target of 870 units. With just 181 deliveries in the first four months, the second half will require a sustained acceleration that supply-chain constraints have so far frustrated.

The mix tells a familiar story. Single-aisle jets accounted for 60 of April’s deliveries, while widebody models made up just seven. That lopsided figure underscores the bottleneck at the heart of Airbus’s ramp-up: Pratt & Whitney’s Geared Turbofan engines, which power the A320neo family, remain in short supply. CEO Guillaume Faury has been candid about the problem, and the financial consequences are already visible. In the first quarter, only 114 commercial aircraft were handed over, compared with 136 a year earlier. Revenue fell 7% to €12.7 billion, while adjusted EBIT at the commercial aircraft division collapsed 84% to €81 million.

Yet the order book tells a completely different story. Airbus booked 436 gross orders in the first four months, netting 405 after cancellations and conversions. The highlight was AirAsia’s mammoth deal for 150 A220 jets, valued at $19 billion — the largest single order in the type’s history. The total backlog stood at 8,971 aircraft at the end of April, with the A320neo family alone accounting for 7,348. For comparison, Boeing managed 284 net orders over the same period, despite securing a preliminary Chinese government commitment for 200 jets — a deal that remains unsigned by airlines and thus cannot enter the official tally.

The challenge for Airbus is turning that backlog into cash. The company maintains its full-year guidance: roughly 870 deliveries, adjusted EBIT of around €7.5 billion, and free cash flow of about €4.5 billion. But the engine crunch has already pushed deliveries into later months, and achieving that target depends on whether Pratt & Whitney can clear the logjam. Airbus wants to reach a monthly production rate of 70 to 75 A320-family aircraft by the end of 2027, with ten final assembly lines configured for high throughput. For now, bare fuselages stack up waiting for power plants.

The financial damage from the slow start is stark. Group-adjusted EBIT fell to just €300 million in the first quarter, while free cash flow before customer financing swung to a negative €2.485 billion. On the plus side, gross liquidity stood at €25.2 billion and net liquidity at €9.8 billion, giving Airbus plenty of runway to manage the ramp-up. The company also continues to diversify: its Defence and Space division agreed to acquire French cybersecurity firm Quarkslab in April, with closing expected in 2026 pending regulatory approval.

Investors have already priced in the pain. The shares closed Friday at €42.00, down 2.33% on the day and 14.29% year to date. The stock is now 11% below its 200-day moving average, and the relative strength index of 10.9 signals deeply oversold territory. RBC Capital maintains a buy rating with a €200 price target, arguing that the order momentum will eventually translate into earnings. The immediate catalyst will be May and June delivery numbers: if Airbus can sustain or improve on April’s pace, the credibility of the full-year target will strengthen. If the engine bottleneck persists, the pressure shifts entirely to the second half.

The broader sector presents a stark contrast between order inflows and market sentiment. Boeing’s China deal, while historic, disappointed analysts who had expected up to 500 jets; the stock slid 5.6% on the week. Lockheed Martin scooped up billions in NATO contracts yet trades 23% below its 52-week high. MTU Aero Engines, a key supplier, saw its shares plummet 18% in a month despite posting 7% revenue growth and a 25% jump in military sales. The market is demanding proof that orders will become free cash flow — and Airbus, like its peers, has yet to deliver that proof.