Aircraft Orders & Deliveries
Airbus Q1 2026 Results Show Delivery Challenges and Defence Growth
Airbus reports a 16% drop in Q1 2026 aircraft deliveries due to supply chain issues but defence revenue rises 7%, maintaining full-year targets.
This article is based on an official press release from Airbus.
Airbus has officially released its First Quarter 2026 financial results, revealing a challenging start to the year characterized by supply chain bottlenecks and a significant drop in commercial aircraft deliveries. According to the company’s April 28, 2026, press release, the European aerospace giant is navigating a complex operational environment, contrasting sharply with the record-breaking performance it reported for the full year of 2025.
The latest financial disclosures show that Airbus delivered 114 commercial aircraft in the first quarter of 2026, a 16 percent decrease from the 136 aircraft delivered during the same period in 2025. This slowdown in deliveries directly impacted the company’s top-line figures, with Q1 2026 revenues falling 7 percent year-over-year to €12.7 billion. Despite these hurdles, Airbus maintains a robust backlog and has reaffirmed its ambitious delivery and earnings targets for the remainder of the year.
At AirPro News, we closely monitor these quarterly shifts to understand the broader trajectory of the global aviation supply chain. The stark contrast between Airbus’s highly profitable 2025, which saw 793 commercial deliveries and €73.4 billion in revenue, and its current cash-burn scenario underscores the persistent volatility in aerospace manufacturing.
The commercial aircraft division bore the brunt of the first quarter’s challenges. Based on the official financial results, revenues for this segment declined by 11 percent to €8.4 billion. More notably, adjusted EBIT (Earnings Before Interest and Taxes) for commercial aircraft plummeted 84 percent to just €81 million, leaving the division with a razor-thin 1.0 percent margin.
Airbus reported that its 114 Q1 deliveries consisted of 81 A320 Family aircraft, 19 A220s, 11 A350s, and 3 A330s. The company attributes the delivery shortfall to ongoing supply chain constraints, particularly shortages of Pratt & Whitney engines for the A320neo family, as well as a lingering A320 panel quality issue identified late last year.
While the commercial sector struggled, the Airbus Defence and Space division emerged as the standout performer of the quarter. The company reported a 7 percent increase in divisional revenues, reaching €2.8 billion. Adjusted EBIT for the defense sector surged 69 percent to €130 million, achieving a 4.6 percent margin.
Furthermore, order intake for the Defence and Space division doubled year-over-year to €5.0 billion. Airbus indicated that this surge was heavily driven by its Air Power business unit, reflecting increased global demand for military aircraft and defense services. The Airbus Helicopters division maintained flat revenues at €1.6 billion. Despite delivering 56 helicopters in Q1 2026, an increase from 51 in the first quarter of 2025, adjusted EBIT dipped slightly to €65 million, which the company attributed to higher research and development expenses.
Across the entire enterprise, Airbus reported a net income of €586 million for Q1 2026, down from €793 million in Q1 2025. Earnings per share (EPS) stood at €0.74. Most critically, the company reported a negative free cash flow (before customer financing) of €2.485 billion, a sharp decline from the negative €310 million recorded in the same quarter last year. This cash burn reflects a massive inventory build-up as the company continues to manufacture aircraft that it cannot yet deliver.
The core issue driving Airbus’s Q1 cash burn is a growing stockpile of undelivered aircraft. In the company’s financial release, Airbus CEO Guillaume Faury addressed the operational bottleneck directly.
Faury described the current operational environment as a “desynchronization between production and delivery.”
Because Airbus is building airframes but waiting on critical components like engines to finalize them, the company is holding an estimated $5 billion in inventory. Addressing the seasonal nature of aircraft handovers, the CEO noted the severity of the current bottleneck.
Faury stated that the company is “suffering from [this] probably more this year than I remember we’ve ever suffered in the first quarter.”
The Q1 2026 results highlight a fascinating divergence in the aerospace sector. On one hand, Airbus’s commercial backlog continues to grow, reaching 9,037 aircraft by the end of the first quarter. On the other hand, the inability to convert that backlog into immediate revenue is creating short-term financial friction.
Industry data indicates that Airbus’s primary rival, Boeing, managed to deliver 143 aircraft in the same quarter. This marks a rare recent instance of Boeing out-delivering Airbus, suggesting that Boeing’s stabilization efforts are taking hold while Airbus grapples with its specific engine and component shortages.
Additionally, the robust performance of Airbus’s Defence and Space division acts as a critical geopolitical hedge. Market analysts note that heightened global tensions, including ongoing conflicts in the Middle East and shifting defense postures between Europe and the United States, have prompted allied nations to accelerate military spending. This macroeconomic trend has inadvertently provided a vital revenue buffer for Airbus while its commercial operations work through supply chain kinks.
Despite the turbulent first quarter and the significant cash burn, Airbus used its April 2026 press release to reaffirm its full-year guidance. The company is signaling confidence to investors that it can clear its built-up inventory and accelerate delivery rates in the second half of the year. According to the official release, Airbus’s 2026 targets remain unchanged:
The company also noted that the ongoing integration of work packages from its recent acquisition of Spirit AeroSystems is expected to create a low triple-digit headwind on the 2026 adjusted EBIT. However, Airbus’s leadership remains focused on ramping up production rates and resolving the engine shortages that defined the first quarter.
Why did Airbus’s profits drop in Q1 2026? What is “production desynchronization”? Did any Airbus division perform well in Q1 2026? Is Airbus changing its goals for 2026? Sources: Airbus Financial Results
Q1 2026 Financial and Operational Breakdown
Commercial Aircraft Bottlenecks
Defence and Space Provides a Buffer
Helicopters and Cash Flow
Supply Chain Realities and Production Challenges
Production Desynchronization
AirPro News analysis
Looking Ahead: 2026 Guidance Remains Firm
Maintaining Ambitious Targets
Frequently Asked Questions (FAQ)
Airbus experienced a drop in profits primarily due to supply chain constraints, specifically shortages of Pratt & Whitney engines and a panel quality issue, which limited commercial aircraft deliveries to 114 units.
This term, used by Airbus CEO Guillaume Faury, refers to the company manufacturing aircraft at a steady rate but being unable to deliver them to customers due to missing final components, resulting in a large build-up of inventory and negative cash flow.
Yes, the Defence and Space division saw a 7 percent increase in revenue and a 69 percent surge in adjusted EBIT, driven by a doubling of order intake amid increased global defense spending.
No. Despite the Q1 challenges, Airbus has maintained its full-year guidance, aiming for 870 commercial aircraft deliveries and an adjusted EBIT of approximately €7.5 billion.
Photo Credit: Airbus
Aircraft Orders & Deliveries
Biman Bangladesh Airlines Orders 10 Airbus A350 A321neo Jets
Biman Bangladesh Airlines finalizes a firm order for 4 A350-900s and 6 A321neos, completing a 35-aircraft 2026 procurement cycle.
Biman Bangladesh Airlines has finalized a firm order for 10 Airbus aircraft, marking a definitive shift toward a mixed-fleet strategy following a year of unprecedented procurement activity.
In a press release issued on October 7, 2026, Airbus confirmed the agreement covers four Airbus A350-900 widebody jets and six Airbus A321neo single-aisle aircraft. The deal diversifies the national carrier’s historically Boeing-dominated fleet and brings its 2026 acquisition pipeline to 35 new aircraft across both major manufacturers.
The introduction of Airbus equipment represents a structural change for Biman Bangladesh Airlines, which currently operates a fleet of 19 aircraft consisting primarily of Boeing jets and De Havilland Dash-8 turboprops. The signing ceremony took place in Dhaka, Bangladesh, while Airbus formally announced the order from its headquarters in Toulouse, France.
Biman intends to deploy the new aircraft across distinct network segments. According to statements published by The Daily Star, Biman Managing Director and Chief Executive Officer (CEO) Kaizer Sohel Ahmed indicated the Airbus A350-900s will serve long-haul routes to provide lower fuel burn and emissions. The Airbus A321neos will be utilized to strengthen the carrier’s regional network and open new markets.
Ahmed emphasized that the procurement decision followed rigorous evaluation of the airline’s network and financial strategy, guided by independent expert advice.
Airbus Commercial Aircraft Executive Vice President of Sales Benoît de Saint-Exupéry described the agreement as a significant milestone in the manufacturer’s partnership with the airline.
“Together, the A350 and A321neo form the perfect fleet strategy for Biman as it spreads its wings to new international destinations, catering to the growing demand across its network,” Saint-Exupéry said. The Airbus agreement caps a massive procurement cycle for Biman Bangladesh Airlines throughout 2026. Prior to the October 7 announcement, the carrier committed to 25 Boeing aircraft across two separate orders.
On April 30, 2026, Biman ordered 14 Boeing aircraft, comprising Boeing 787 Dreamliner and Boeing 737 MAX models. This was followed on September 23, 2026, by an order for 11 additional aircraft, specifically five Boeing 787-10 Dreamliners and six Boeing 737-8s, according to reporting by Aviation Week.
The combined orders will drive a rapid expansion of the national carrier. Reporting by The Business Standard indicates the procurement pace will see Biman’s fleet grow from 19 to 54 aircraft by 2035. This figure exceeds the government’s previously stated target of 47 aircraft. The fleet expansion is anchored by strong demographic and economic drivers in Bangladesh. Airbus noted the country has a population of 200 million and a global diaspora of 15 million people, particularly concentrated in the Middle East and Southeast Asia. This diaspora maintains high baseline demand for international air travel.
“Bangladesh is a dynamic nation of 200 million people, backed by a resilient economy and a rapidly growing travel market,” said Rumee A. Hossain, Chairman of the Board of Directors for Biman Bangladesh Airlines. “In this context, our planned fleet expansion represents a measured and reasonable ambition.” Currently, more than 700,000 passengers travel annually between Dhaka and 10 major global cities. The Daily Star reports this specific market is expected to grow by an additional 500,000 passengers by 2030. Reuters notes that Biman currently serves approximately 20 percent of the country’s air passengers.
The exact delivery schedule for the Airbus aircraft remains unconfirmed by the manufacturer. However, Bangladesh Civil Aviation and Tourism Minister M. Rashiduzzaman Millat has publicly requested that Airbus deliver at least one aircraft by the 2026 to 2027 timeframe to expedite the modernization effort. Local media reports suggest the bulk of Biman’s 35 newly ordered aircraft, encompassing both Boeing and Airbus deliveries, will join the fleet between 2031 and 2035.
The decision by Biman Bangladesh Airlines to split its massive 2026 order book between Boeing and Airbus marks a definitive end to Boeing’s historical monopoly over the carrier’s jet fleet. While operating a mixed fleet introduces additional complexity in maintenance, crew training, and spare parts inventory, it also provides the airline with leverage in future negotiations and insulates its expansion plans from production delays at any single manufacturer.
The sheer scale of the expansion presents a significant execution challenge. Tripling the fleet size from 19 to 54 aircraft within a decade will require substantial parallel investments in pilot recruitment, maintenance infrastructure, and ground operations at Hazrat Shahjalal International Airport (DAC). The success of this multi-billion-dollar procurement cycle will depend heavily on the airline’s ability to scale its operational capacity to match its new metal.
Strategic fleet diversification
A year of rapid procurement
Market drivers and delivery timeline
AirPro News analysis
Photo Credit: Airbus
Aircraft Orders & Deliveries
Croatia Airlines Takes Delivery of Two Airbus A220-300s
Croatia Airlines receives its 12th and 13th A220-300s, advancing its 15-aircraft fleet renewal and nearing A319 retirement.
Croatia Airlines has taken delivery of two new Airbus A220-300 aircraft, bringing its next-generation fleet to 13 and signaling the imminent retirement of its legacy Airbus A319s.
The state-owned flag carrier announced the double delivery in an October 5, 2026, press release, marking a critical milestone in its 15-aircraft fleet renewal program. The aircraft arrived at Zagreb Airport (ZAG) from the Airbus facility in Mirabel, Canada, over consecutive days.
The two new Airbus A220-300s departed the Airbus manufacturing facility in Mirabel (YMX) on October 1 and October 2, 2026. According to flight routing details from AvioRadar, both aircraft transited through Copenhagen Airport (CPH) before touching down in Zagreb on October 2 and October 3, respectively.
Continuing the airline’s tradition of naming its aircraft after Croatian cities, the 12th fleet addition (registration 9A-CAW) is named “Karlovac,” while the 13th (registration 9A-CAX) is named “Sisak.” The newly delivered A220-300s are configured with a passenger seat capacity of 149. The carrier’s active A220 fleet now consists of 11 A220-300s and two smaller A220-100s, which seat 127 passengers, according to EX-YU Aviation News.
The arrival of the new airframes coincides with the final stages of Croatia Airlines’ transition to a single-type fleet. The airline is currently retiring its older Airbus A319s to make way for the A220s. EX-YU Aviation News reported that the final commercial flights for the A319 are tentatively scheduled for October 11, 2026, with one final rotation from Zagreb to Split, Rome, Split, and back to Zagreb planned for October 23, 2026.
This transition follows the retirement of the carrier’s last Airbus A320 earlier in the year. The final A320, registered as 9A-CTO, was withdrawn from service on January 26, 2026, concluding nearly three decades of operations for the type at the airline.
The fleet modernization program also extends to the carrier’s regional operations. The airline expects to withdraw its remaining De Havilland Canada Dash 8-400 turboprops by March 2027.
Croatia Airlines is undertaking the largest fleet renewal project in its history, utilizing the Airbus A220 to modernize its operations. Designed specifically for the 100-150 seat market, the A220 provides the carrier with significant improvements in fuel efficiency and noise reduction compared to its previous-generation aircraft.
The airline expects to take delivery of its 14th Airbus A220 by the end of 2026. The 15th and final aircraft is scheduled for delivery in 2027, which will complete the fleet renewal program. According to EX-YU Aviation News, the final two aircraft are expected to be named “Varaždin” and “Vinkovci.”
Double delivery accelerates fleet modernization
Phasing out legacy Airbus and turboprop operations
Completing the 15-aircraft order
Photo Credit: Croatia Airlines
Aircraft Orders & Deliveries
ACG Delivers Sixth Boeing 737-8 to Royal Air Maroc
Aviation Capital Group completes a six-aircraft Boeing 737-8 lease with Royal Air Maroc, supporting the airline’s Vision 2037 fleet expansion.
Aviation Capital Group LLC (ACG) has completed a six-aircraft lease transaction with Compagnie Nationale Royal Air Maroc, delivering the final Boeing 737-8 to the Moroccan flag carrier on October 5, 2026.
The handover concludes an orderbook commitment initiated in March 2026, with all six CFM LEAP-1B-powered narrowbodies delivered within a six-month window. Announced in a press release by the Newport Beach, California-based lessor, the transaction provides immediate capacity for Royal Air Maroc as the airline executes a government-backed fleet expansion strategy ahead of the 2030 FIFA World Cup.
The delivery sequence began on March 31, 2026, when ACG announced the handover of the first Boeing 737-8 to Royal Air Maroc. Meeting the delivery schedule required coordination between the lessor, the airline, and The Boeing Company to ensure all six airframes entered service efficiently.
Carter A. White, Executive Vice President and Chief Commercial Officer of ACG, highlighted the operational coordination required to meet the timeline.
“With this latest delivery, ACG marks the addition of the sixth 737-8 to Royal Air Maroc’s fleet in six months, a fantastic achievement by everyone involved,” White said in a statement. “We are proud to support the airline’s ongoing fleet renewal and expansion plans and wish the Royal Air Maroc team every success with these new aircraft.” The transaction adds to the portfolio of ACG, a global full-service aircraft asset manager founded in 1989 and operating as a wholly owned subsidiary of Tokyo Century Corporation. As of June 30, 2026, the lessor managed, owned, or had commitments for approximately 500 aircraft. These assets are distributed across roughly 85 airlines in about 50 countries.
The six leased Boeing 737-8 aircraft serve as a capacity bridge for Royal Air Maroc as it pursues a long-term growth mandate under the leadership of Chairman and Chief Executive Officer Abdelhamid Addou. Based at Mohammed V International Airport in Casablanca, the national carrier is operating under a government-backed development program dubbed “Vision 2037,” which was signed in July 2023. The airline is tasked with quadrupling its fleet size to support Morocco’s tourism targets. The country aims to attract 26 million visitors by 2030, the year it will co-host the FIFA World Cup.
According to reporting by Le360, Royal Air Maroc operated approximately 50 aircraft in 2021. The airline reached a fleet size of 70 aircraft in late September 2026 following the delivery of another Boeing 737 MAX 8, registered as CN-RHS. The carrier targets a total fleet of 74 aircraft by the end of 2026 and 88 aircraft by 2027, with an ultimate goal of 200 aircraft by 2037.
To secure the necessary airframes for the 2037 target, Royal Air Maroc launched a tender in April 2024 to acquire up to 200 aircraft directly from major manufacturers. While the airline evaluates those long-term procurement options, leasing agreements provide the short- and medium-term lift required to maintain network growth.
The capacity additions are already supporting new route development. Aviation Week reported that Royal Air Maroc has actively expanded its network throughout 2026. This expansion included the launch of a direct route from Casablanca to Los Angeles in June 2026 utilizing Boeing 787 aircraft, alongside planned frequency increases to destinations across Europe and Africa.
Executing the six-aircraft commitment
Royal Air Maroc’s Vision 2037 expansion
Photo Credit: Aviation Capital Group
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