French aerospace giant Airbus Group yesterday posted a rise of nearly 60% in net income for 2014 despite flagging helicopter sales and a £400million charge incurred for delays to its A400M military transporter.
Net orders at the group’s helicopter business, which is one of the North Sea oil and gas industry’s biggest suppliers of offshore transport, fell by 53 units to 369, while deliveries fell 5.2% to 471.
But the division still enjoyed revenues of £4.7billion, up 4% year-on-year, thanks to an increase in operations involving its NH90 helicopter, and the fourth quarter launch of its EC175 model.
Last month the firm said its helicopters were still in demand despite low oil prices prompting a period of belt-tightening among oil and gas companies.
The group’s net income increased 59% to £1.7billion in 2014, while revenues went up 5% to a record £44billion, boosted by commercial airline deliveries of 629 units.
The company said it will increase production of its single aisle A320 aircraft from 42 a month to 50 starting in 2017, but lower demand means it will make four fewer A330 jets each month from January 2016. It currently churns out 10 A330s every month.
The group said it intends to raise the full year dividend to 87pence, a 60% increase against 2013.
Airbus chief executive Tom Enders attributed the “significant improvement in profitability and cash generation” to a record order book of 6,386 aircraft at year end and “strong operational performance in most areas.”
“We delivered more commercial aircraft than ever before, including the first A350, and our net orders were, once again, more than twice the number of deliveries.”
“We are focused on tackling our various operational challenges, including the A350 and A400M ramp-up and costs, first A320neo deliveries, boosting helicopter sales, and continuing the reshaping of our defence and space portfolio.”
Airbus Group employs 140,000 worldwide, including more than 23,000 people in its helicopter division.
About 12,000 of its helicopters are currently in use, operated by more than 3,000 customers in about 150 countries.
The firm has an operation in Dyce, Aberdeen, to go with its worldwide network of service centres, training facilities and distributors.
Its shares were up 7.17% at the close of trading yesterday on the Paris Exchange.