Airbus Logs $1B in Charges on Satellite Programs in the First Half of 2024 

Photo: Airbus

Airbus is recording charges of around 0.9 billion euros ($1 billion), on some of its telecommunications, navigation and observation space programs in the first half of 2024, the company announced Monday. 

The Space Systems management team conducted a technical review of all programs in the first half of this year and found further commercial and technical challenges, Airbus reported. Therefore, the company is updating its assessments of schedules, workload, sourcing, risks and costs for certain satellite programs. Airbus did not specify the programs. 

Airbus is also dealing with supply chain issues in its commercial aircraft segment and cut its delivery forecast for 2024. 

With these changes, Airbus adjusted its 2024 guidance to around 770 commercial aircraft deliveries, down from 800. Airbus now expects EBIT adjusted of around 5.5 billion euros instead of 6.5 to 7 billion euros. The company also adjusted its estimate for free cash flow before customer financing to 3.5 billion euros from 4 billion euros.