Published: Fri, February 14, 2020
Markets | By Otis Pena

Airbus posts net loss of 1.36 bln euros in 2019

Airbus posts net loss of 1.36 bln euros in 2019

The depreciation in connection with the A400M military transport aircraft amounts to 1.2 billion euros. The year of loss was also marked with the settlement of $4 billion with prosecutors, over the charges of corrupt practices.

A weaker sales outlook for the military transporter led to a 1.21 billion euro charge and will continue to weigh in coming years, Airbus said on Thursday. Revenue increased 11% to 70.48 billion. "We delivered a strong underlying financial performance driven mainly by our commercial aircraft deliveries", said Airbus Chief Executive Officer Guillaume Faury.

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Airbus has received a net loss in 2019, as the European aircraft manufacturer was fined due to a corruption scandal and incurred additional costs of developing the A400M transport aircraft.

The long-delayed A400M programme a year ago delivered 14 planes on schedule, but is now hampered by "increasingly challenging" obstacles including repeated extensions to a German export ban on Saudi Arabia, Airbus said.

The program delivered 14 planes in 2019, on schedule, but now faces "increasingly challenging" obstacles including repeated extensions to a German export ban on Saudi Arabia, Airbus said. As a result, the commercial aircraft unit brought in $59.4 billion (€54.7 billion) of revenue and as of December 31, 2019, Airbus' order book is now worth more than $512 billion (€471 billion), with customers signing up for 7,482 aircraft.

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