Airbus Delivers 766 Aircraft in 2024, Nearing Target Despite Supply Chain Hurdles

Airbus

European aerospace giant Airbus delivered 766 aircraft in 2024, surpassing the previous year's total but narrowly missing its revised target. The company navigated persistent supply chain challenges while increasing production, demonstrating resilience in a complex environment.

Delivery Performance and Order Book

Airbus delivered 766 aircraft in 2024, a 4.2% increase from the 735 deliveries in 2023.  The company secured 878 gross new orders (826 net after cancellations), expanding its year-end backlog to 8,658 aircraft, up from 8,598 at the end of 2023. While order growth was lower than the substantial figures seen in 2023, the current backlog represents over a decade of production.   

Navigating Supply Chain Constraints

Airbus fell just short of its revised target of approximately 770 aircraft, which had been lowered from an initial goal of 800 due to persistent supply chain issues. The company cited engine shortages, cabin equipment disruptions, and aerostructure challenges as key factors.  Issues with high-pressure turbine blade yields from CFM International's LEAP-1A engines impacted deliveries, though the recent certification of a new blade is expected to alleviate this bottleneck.  Despite these headwinds, Airbus managed a steep increase in output during November and December, nearly achieving its revised target.   

Production Highlights and Market Dynamics

Airbus delivered 602 A320 family aircraft in 2024, averaging roughly 50 per month, with a fourth-quarter rate of 68.  This included the first delivery of the A321XLR, the company's new long-range single-aisle variant. Airbus aims to reach a monthly production rate of 75 A320neo aircraft by 2027.  While the company saw strong order momentum for its widebody aircraft, particularly those with higher titanium content, it cautioned that ramping up A350 production in 2025 will depend on supply chain stability.  

Challenges in managing these supply chains were evident in lower A350 deliveries compared to the previous year, while A330 deliveries remained flat.  Airbus once again outpaced its main competitor, Boeing, which delivered 318 jets through November. Boeing's 2024 operations were significantly impacted by safety and quality issues, regulatory scrutiny, and a worker strike.