Sales … Note: Boeing 777-300ER orders include one 777-200LR. The Airbus NSR (“New Short Range”) will be a short haul aircraft that can both travel a longer distance and carry more people than any A320 variant that has come before it. On June 30, Airbus announced it plans to cut 14,000 jobs (5,000 in France, 5,100 in Germany, 900 in Spain, 1,700 in the U.K. and 1,300 elsewhere) as it deals with the effects of the coronavirus crisis. EU financial assistance to Airbus, in addition to costing Boeing billions of dollars in sales, has contributed to Airbus replacing Boeing as the world’s largest aircraft manufacturer as of 2020. In October of this year, Airbus delivered 77 aircraft, 59 of which were A320s. Eurasia Turning to the second point, the recovery in commercial aviation is widely seen as being led by domestic flights rather than international, and that means narrow-body demand is likely to recover quicker than wide-body. By the time December was done, Airbus had.. Something completely different; first half a year Boeing results will be interesting, they will be announced on 29-Jul-2020. At the end of June, Airbus’ reported a backlog of 7,584 jets, of which 6,694, or 88 percent, were A220 and A320ceo/neo family narrowbodies. This compares to a total of 386 A320neo family aircraft delivered in 2018, up from 181 and 68 in 2017 and 2016, respectively. On  June 17, FAA chief Steve Dickson testified at a Senate hearing on the 737 MAX. Financial performance: Airbus vs Boeing. In 2019, Boeing’s book-to-bill ratio was negative, while Airbus reported a book-to-bill of 0.89. It shows Airbus began floating in US market after order of 25 A320 aircraft from Jet Blue. However, the net order inflow was -1 for Airbus and -59 units for Boeing, and at this stage, Boeing and Airbus are both active in a loser’s market. An aircraft control tower. In June, Airbus delivered one A220, 31 A320s (all NEO), and four A350s. Airbus’ book-to-bill ratio is 1.52, thanks mainly to very strong order bookings in January. In June, Airbus received no new orders but reported one cancellation. For the full year 2019, Airbus handed over 642 A320 family aircraft, of which 551 were A320neos. For the full year 2019, Boeing accumulated 243 gross orders (330 cancellations => -87 net new orders). The FAA will retain its authority to issue airworthiness certificates and export certificates for all new 737 MAX jets manufactured since the grounding and will perform in-person, individual reviews of these aircraft. The 777-300ER backlog includes two 777-200LRs. Moreover, the slowdown in the wide-body market couldn't possibly have come at a worse time for Boeing. Europe The individual country reports are structured to condense a vast range of information into concise segments. Airbus delivered a total of 196 jets from January to June, compared to 389 during the same period last year. In addition, the FAA will review and approve training programs for all part 121 operators. Deliveries of 737 MAX aircraft have been on hold since March 2019. In the first quarter of 2020, it was 68.6. Better Buy: Boeing vs. Airbus ... Apr 18, 2020 at 12:24PM Author Bio. Airbus delivered a record 112 A350s in 2019, up from 93 and 78 in 2018 and 2017, respectively. By the end of June 2020, Boeing’s backlog (total unfilled orders before ASC 606 adjustment) was 5,232 aircraft, of which 4,221, or 81 percent, were 737 NG/MAX narrowbody jets. Click here to learn more. On that basis, Airbus is the better buy. Airbus has been struggling to grow its revenues in the last five years, having registered a CAGR of 0.97% since 2014 compared to its rival Boeing, whose revenues grew almost three times faster, at 2.74%, over the same period. Management had high hopes for the new 777X aircraft to spur a new round of wide-body replacement demand, while also benefiting from ongoing sales of the 787. The exact timing of a recovery is impossible to predict because it depends on a host of factors relating to the pandemic, not least of which are government restrictions on travel. Forecast International’s International Military Markets service provides a country-by-country examination of the military capabilities, equipment requirements, and inventories of over 120 nations. The A320 production rate has been reduced to 40 aircraft per month, down from an average of over 53 aircraft per month in 2019. 2020 is miserable for Boeing and Airbus, but not to equal amount As is confirmed by the results of aircraft deliveries and orders from the second quarter of 2020, production and sales of commercial aircraft by industry giants Boeing and Airbus shrank dramatically in comparison with 2019. Navigating the DoD Acquisition Budget During Uncertain Times, Stay up to date on the latest from Forecast International, http://www.boeing.com/commercial/#/orders-deliveries, https://www.airbus.com/aircraft/market/orders-deliveries.html, https://www.faa.gov/news/updates/?newsId=93206, https://www.boeing.com/commercial/737max/737-max-update.page, https://boeing.mediaroom.com/news-releases-statements?item=130685, https://boeing.mediaroom.com/news-releases-statements?item=130673, https://boeing.mediaroom.com/2020-04-29-Boeing-Reports-First-Quarter-Results, https://www.washingtonpost.com/local/trafficandcommuting/faa-accused-of-stonewalling-by-senators-pursuing-changes-to-agencys-safety-role-after-boeing-737-max-crashes/2020/06/17/b5c44316-b0c6-11ea-856d-5054296735e5_story.html, https://www.reuters.com/article/us-boeing-737max/u-s-faa-chief-to-testify-at-senate-hearing-on-boeing-737-max-idUSKBN2392YZ, https://www.reuters.com/article/us-boeing-737max/boeing-737-max-expected-to-remain-grounded-until-at-least-august-sources-idUSKCN22A35G, https://edition.cnn.com/2020/04/27/business/airbus-furloughs/index.html, https://www.seattletimes.com/business/boeing-aerospace/boeing-to-cut-nearly-10000-jobs-in-washington-more-than-12000-overall/, MTU Aero Engines Sees MRO Recovery In 2021, Airbus and Boeing Report November 2020 Commercial Aircraft Orders and Deliveries, United Aircraft Corporation the Centerpiece of Rostec’s Aviation Cluster, View all posts by Forecast International →, https://www.france24.com/en/20200630-airbus-to-cut-15-000-jobs-worldwide-a-third-of-them-in-france. Governmental and political structures, political and economic trends, national and defense budgets, force structures, military planning requirements, recent and future procurements, the security environment, threat assessments, and military postures – all are detailed in these six services broken out by region (click each title for more details). And in few days we shall see the order and delivery for Jun-2020 for Boeing. The top aircraft fleet executive at Alaska Airlines says its decision to sell 10 Airbus A320 jets will be followed by the gradual return of 39 more leased Airbus aircraft between now and 2023. For example, Boeing generated $13.6 billion in FCF in 2018 (the year before the 737 MAX was grounded), representing over 15% of its current market cap. Aircraft are being built at a low rate as more than a dozen initiatives focused on enhancing workplace safety and product quality are being implemented. Market data powered by FactSet and Web Financial Group. Cumulative Growth of a $10,000 Investment in Stock Advisor, Better Buy: Boeing vs. Airbus @themotleyfool #stocks $BA $EADSY, Dow Jones Slumps 100 Points; Boeing Stock Lower After Fatal Crash; Cisco Fights to Close Acacia Merger, Boeing 737 Crashes Shortly After Takeoff in Indonesia, Boeing Agrees to $244 Million Penalty for 737 MAX Flaws, Airbus Sees Deliveries Plunge 34% as COVID-19 Takes Toll on Airlines, Boeing to Pay $2.5 Billion to Settle 737 MAX Criminal Probe, Copyright, Trademark and Patent Information. Widely criticized former CEO Dennis Muilenburg told investors a RTS would occur in October 2019, but the company is still waiting for it deep into 2020. The latter figure represents 7.4% of Airbus's current market cap. I'm a firm believer that there is something noble about the industrial sector. Sorry, your blog cannot share posts by email. It doesn't stop there. Boeing, like Airbus, announced plans this summer to cut more than 10 percent of its global work force amid a steep decline in travel, which has forced airlines to delay and scale back plans to buy planes. Mr. Oestergaard is an expert in aerospace & defense market intelligence, fuel efficiency in civil aviation, defense spending and defense programs. Post was not sent - check your email addresses! However, there are numbers, and there is believing in the numbers. Returns as of 01/12/2021. Aside from a second wave of the pandemic and associated travel restrictions, there's also the financial state of the airlines to consider. The 737 MAX debacle is a huge issue in itself, but there's also the problem of management's credibility, particularly regarding a return-to-service (RTS) for the 737 MAX. Boeing’s all-time backlog high of 5,964 aircraft was set in August 2018. Due to COVID-19, both manufacturers have been forced to temporarily close down production facilities and have announced significant production rate cuts. As of the end of November, Airbus had captured 380 net orders in 2018, leaving it well behind Boeing, which had secured 690 net firm orders by that point. Production of the 737 MAX was suspended from January of this year until the end of May. Boeing and Airbus delivered 10 and 36 commercial jets in June 2020 compared to 37 and 76 deliveries, respectively, in the same month last year. When it came to plane sales, the company recorded its worst record in over five decades as it revealed no new orders in January. The Airbus NSR is expected to be unveiled in the mid-2020’s to be released at the beginning of the 2030’s. Industrial sector focus. Days sales outstanding (a measure of how long it takes to collect money owed) was 30.2 in 2015, 37.6 in 2017, 45.1 in 2018, and 62.5 last year. The long-awaited trade agreement between the U.S. and China may pave the way for Boeing Co. to resume sales to the world’s second-largest … Last month saw the WTO then rule in favor of Airbus, meaning that a new set of tariffs worth US$4bn per year can be imposed by the European Union. Getting life-saving satellite imagery to where it’s needed most. Boeing's prospects have also been more negatively affected by the COVID-19 pandemic, and that's likely to continue in the near future. The Boeing-Airbus rivalry started when Airbus offered four A300s to Eastern Airlines for a free six-month trial; the airlines liked the aircraft and ordered 23 more aircraft. For the full year 2019, Boeing delivered 380 aircraft, while Airbus set a new all-time annual record, handing over 863 jets. Boeing also announced that the 787 production rate will be reduced from 14 per month to 10 per month this year, and gradually reduced to seven per month by 2022. Airbus A320neo vs. Boeing 737 MAX 8/9. Both aspirations will be severely challenged in the aftermath of the pandemic. Subscribe to receive up-to-date news on market developments, along with trend analysis and contract announcements. The cases for buying stock in Airbus (OTC:EADSY) and Boeing (NYSE:BA) are pretty similar. For the full year 2018, Boeing booked 893 net new orders and 1,008 gross orders. Why Bombardier and Embraer can’t beat Airbus and Boeing… As stated earlier, Airbus and Boeing are the two largest manufacturers in the industry. The European aerospace group announced Monday that it secured … In addition, Boeing and Airbus will have to make financial concessions to customers, and services revenue can come under threat as older planes are retired. Boeing’s deliveries continue to suffer in the aftermath of two 737 MAX crashes and the subsequent deliveries halt and grounding of the fleet. 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