TLDR Airbus CEO Guillaume Faury identified engine procurement as the biggest supply chain obstacle affecting 2025 and 2026 production The European planemaker facesTLDR Airbus CEO Guillaume Faury identified engine procurement as the biggest supply chain obstacle affecting 2025 and 2026 production The European planemaker faces

Airbus Stock: Engine Supply Crunch Hampers Delivery Schedule

3 min read

TLDR

  • Airbus CEO Guillaume Faury identified engine procurement as the biggest supply chain obstacle affecting 2025 and 2026 production
  • The European planemaker faces a growing backlog of undelivered aircraft despite continued strong customer demand
  • Defense orders are accelerating as governments increase military budgets, potentially offsetting commercial delivery slowdowns
  • Airbus is developing a new short-haul aircraft to replace the A320 family by decade’s end
  • EADSF shares fell 1.39% to $230.60 following the CEO’s remarks at the World Governments Summit

Airbus CEO Guillaume Faury didn’t mince words when discussing the company’s supply chain troubles. Speaking at the World Governments Summit in Dubai on Tuesday, he called out engine shortages as the primary roadblock. EADSF stock dropped 1.39% to $230.60 on Monday.


AIR.DE Stock Card
Airbus SE, AIR.DE

The engine supply problem isn’t going away quickly. Faury confirmed these constraints will continue through both 2025 and 2026. Aircraft demand remains robust, but production can’t keep pace with orders.

This mismatch has created a substantial backlog of planes waiting for delivery. Customers are lined up, but Airbus can’t get the engines it needs. The situation highlights how one critical component can bottleneck an entire manufacturing operation.

Defense Business Picks Up Slack

There’s a silver lining in the defense sector. Faury reported accelerating demand for military products as governments boost defense spending. This revenue stream could help offset the impact of delayed commercial aircraft deliveries.

The timing works in Airbus’s favor. While commercial production struggles with supply constraints, the defense side is heating up. Government contracts are flowing as nations prioritize military capabilities.

Faury also weighed in on Chinese competition. Companies like Comac are entering the aircraft manufacturing space. The CEO said he takes these competitors seriously but believes the market can accommodate new players. Current demand levels leave room for multiple manufacturers.

New Aircraft Development Progresses

Airbus is moving forward with its next-generation short-haul aircraft. The company aims to launch a replacement for the A320 family before 2030 ends. The new plane should enter commercial service in the mid-2030s.

This timeline gives Airbus a long runway to address current supply issues. The new aircraft program represents a major investment in the company’s commercial aviation future.

Investors will get detailed financial updates on February 19 when Airbus reports fourth-quarter earnings. Analysts expect Q4 2025 revenues of $31.73 billion, representing 9% year-over-year growth. Earnings per share projections stand at $2.90, up 5% from Q4 2024.

Wall Street maintains a Moderate Buy rating on EADSF stock. Nine analysts recommend buying, while four suggest holding. The average price target sits at $269.77, implying 17% upside potential from current levels.

The supply chain challenges extend beyond Airbus alone. Engine manufacturers face their own constraints that ripple through the entire aerospace production chain. Faury’s comments underscore how interconnected these supply networks have become.

Chinese manufacturers like Comac represent a long-term competitive factor. Faury acknowledged their presence but emphasized the market’s capacity to support multiple players given current demand levels.

The backlog continues growing as new orders arrive faster than planes can be delivered. This represents both a problem and an opportunity for Airbus. Strong demand is positive, but unfilled orders don’t generate immediate revenue.

Faury made these remarks at the World Governments Summit in Dubai on Tuesday, providing investors with a candid assessment of the challenges facing the European aerospace manufacturer.

The post Airbus Stock: Engine Supply Crunch Hampers Delivery Schedule appeared first on Blockonomi.

Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.
Tags:

You May Also Like

Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council

Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council

The post Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council appeared on BitcoinEthereumNews.com. Michael Saylor and a group of crypto executives met in Washington, D.C. yesterday to push for the Strategic Bitcoin Reserve Bill (the BITCOIN Act), which would see the U.S. acquire up to 1M $BTC over five years. With Bitcoin being positioned yet again as a cornerstone of national monetary policy, many investors are turning their eyes to projects that lean into this narrative – altcoins, meme coins, and presales that could ride on the same wave. Read on for three of the best crypto projects that seem especially well‐suited to benefit from this macro shift:  Bitcoin Hyper, Best Wallet Token, and Remittix. These projects stand out for having a strong use case and high adoption potential, especially given the push for a U.S. Bitcoin reserve.   Why the Bitcoin Reserve Bill Matters for Crypto Markets The strategic Bitcoin Reserve Bill could mark a turning point for the U.S. approach to digital assets. The proposal would see America build a long-term Bitcoin reserve by acquiring up to one million $BTC over five years. To make this happen, lawmakers are exploring creative funding methods such as revaluing old gold certificates. The plan also leans on confiscated Bitcoin already held by the government, worth an estimated $15–20B. This isn’t just a headline for policy wonks. It signals that Bitcoin is moving from the margins into the core of financial strategy. Industry figures like Michael Saylor, Senator Cynthia Lummis, and Marathon Digital’s Fred Thiel are all backing the bill. They see Bitcoin not just as an investment, but as a hedge against systemic risks. For the wider crypto market, this opens the door for projects tied to Bitcoin and the infrastructure that supports it. 1. Bitcoin Hyper ($HYPER) – Turning Bitcoin Into More Than Just Digital Gold The U.S. may soon treat Bitcoin as…
Share
BitcoinEthereumNews2025/09/18 00:27
BlackRock boosts AI and US equity exposure in $185 billion models

BlackRock boosts AI and US equity exposure in $185 billion models

The post BlackRock boosts AI and US equity exposure in $185 billion models appeared on BitcoinEthereumNews.com. BlackRock is steering $185 billion worth of model portfolios deeper into US stocks and artificial intelligence. The decision came this week as the asset manager adjusted its entire model suite, increasing its equity allocation and dumping exposure to international developed markets. The firm now sits 2% overweight on stocks, after money moved between several of its biggest exchange-traded funds. This wasn’t a slow shuffle. Billions flowed across multiple ETFs on Tuesday as BlackRock executed the realignment. The iShares S&P 100 ETF (OEF) alone brought in $3.4 billion, the largest single-day haul in its history. The iShares Core S&P 500 ETF (IVV) collected $2.3 billion, while the iShares US Equity Factor Rotation Active ETF (DYNF) added nearly $2 billion. The rebalancing triggered swift inflows and outflows that realigned investor exposure on the back of performance data and macroeconomic outlooks. BlackRock raises equities on strong US earnings The model updates come as BlackRock backs the rally in American stocks, fueled by strong earnings and optimism around rate cuts. In an investment letter obtained by Bloomberg, the firm said US companies have delivered 11% earnings growth since the third quarter of 2024. Meanwhile, earnings across other developed markets barely touched 2%. That gap helped push the decision to drop international holdings in favor of American ones. Michael Gates, lead portfolio manager for BlackRock’s Target Allocation ETF model portfolio suite, said the US market is the only one showing consistency in sales growth, profit delivery, and revisions in analyst forecasts. “The US equity market continues to stand alone in terms of earnings delivery, sales growth and sustainable trends in analyst estimates and revisions,” Michael wrote. He added that non-US developed markets lagged far behind, especially when it came to sales. This week’s changes reflect that position. The move was made ahead of the Federal…
Share
BitcoinEthereumNews2025/09/18 01:44
Trump Denies Involvement in $500M Abu Dhabi WLFI Stake

Trump Denies Involvement in $500M Abu Dhabi WLFI Stake

The post Trump Denies Involvement in $500M Abu Dhabi WLFI Stake appeared on BitcoinEthereumNews.com. US President Donald Trump has denied knowledge of a reported
Share
BitcoinEthereumNews2026/02/03 23:26