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HomeMarketBoeing Rival Airbus Says It Will Miss Delivery Target. Why This Isn't...

Boeing Rival Airbus Says It Will Miss Delivery Target. Why This Isn’t So Bad.

Airbus is the biggest airplane maker in the world.

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Courtesy Airbus

Airbus,
the European airplane maker that competes with
Boeing,
said it would miss a target for delivery this year.

The goal of delivering 700 planes this year is “out of reach,” the company said Tuesday. Nevertheless, it stuck to its full-year financial guidance, suggesting that falling below the target won’t be painful for the bottom line. Deutsche Bank analyst Christophe Menard estimates that Airbus (ticker: AIR.France) will deliver 681 vehicles in the year.

Airbus Chief Executive Officer Guillaume Faury said last week that delivery delays will continue into next year as the supply-chain issues persist. The problems started when production was all but shut down during the Covid-19 pandemic. Shares in the company slipped 1.5% on Wednesday.

Those troubled supply lines have also hit Boeing (BA), which this week produced its last jumbo 747 jet. The plane, which had been in production for 55 years, was at a disadvantage because of its enormous size as the industry started to favor smaller twin-engine models. 

Boeing hasn’t given an overall delivery target for planes this year. Analysts expect it to deliver 471, according to FactSet. It will give investors more details next week.

Write to brian.swint@barrons.com

Credit: marketwatch.com

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