Harbour Assurance Declaration
In the dynamic world of aerospace and defence, Airbus, a leading player in the industry, faces a host of challenges that could impact its performance.
One of the major risk factors currently affecting Airbus is the volatile geopolitical landscape. The ongoing uncertainties surrounding geopolitical tensions and the uncertain global tariff environment pose significant cost pressures and operational complexity. For instance, new US tariffs announced in April 2025 have created additional costs for sub-assemblies imported into Airbus' final assembly lines in the US and China, though as of 30 June 2025, no material financial impact has been recognised.
Another significant risk factor is the disruption in the global supply chain. Supply chain bottlenecks and shortages, particularly engine supply delays, have constrained production and deliveries, causing a negative free cash flow impact of €1.6 billion in Q2 2025 and limiting aircraft deliveries to 306 against an 820 target.
The macro-economic environment also contributes to uncertainties in demand growth. Organisations like IATA have adjusted downward forecasts for air passenger traffic growth, partly due to US policy changes influencing demand.
Airbus is addressing these risks by leveraging its diversified production footprint, expanding facilities, and incorporating acquisitions. For instance, the acquisition of Infodas in cybersecurity strengthens Airbus' strategic positioning, especially in defence and space sectors.
Other factors that could impact Airbus include significant labor disputes, currency exchange rate fluctuations, product performance risks, program development and management risks, the outcome of political and legal processes, legal and investigatory proceedings, and changes in societal expectations and regulatory requirements about climate change.
The lingering effects of the COVID-19 pandemic and aggravation of adverse geopolitical events, such as the war in Ukraine and conflicts or rising military tensions around the world, also pose potential threats to Airbus' operations.
It is important to note that the forward-looking statement in this presentation speaks as of the date of this presentation, and Airbus does not undertake any obligation to publicly revise or update any forward-looking statement in light of new information, future events, or otherwise.
For factors that could cause future results to differ from forward-looking statements, readers are advised to refer to the most recent Risk Factors section in Airbus' most recent annual reports, including the Report of the Board of Directors published on 20 February 2025.
The impact of the Macroeconomic Environment on Airbus is further detailed in Note 3 "Geopolitical and Macroeconomic Environment" of the Notes to the Unaudited Condensed Interim IFRS Consolidated Financial Statements for the three-month period ended 30 June 2025, published 30 July 2025.
In conclusion, Airbus faces a complex array of challenges in balancing strong backlog-driven demand with operational hurdles in global supply chains and a volatile geopolitical and trade backdrop. However, the company continues to adapt and innovate, leveraging its diversified production footprint and strategic acquisitions to navigate these challenges.
The volatile geopolitical landscape, with uncertainties surrounding geopolitical tensions and the uncertain global tariff environment, is a major risk factor for Airbus, causing cost pressures and operational complexity. The macro-economic environment also contributes to uncertainties in demand growth for Airbus, as organizations like IATA adjust downward forecasts for air passenger traffic growth. Furthermore, in the realm of general-news, political and legal processes, product performance risks, program development and management risks, significant labor disputes, currency exchange rate fluctuations, and changes in societal expectations and regulatory requirements about climate change could impact Airbus' performance.
