Airbus 2014 Annual Report Download - page 58
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Please find page 58 of the 2014 Airbus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Bernhard Gerwert
Airbus Defence and Space Chief Executive Officer
01
ESTABLISHING A GLOBAL LEADER
The Airbus Defence and Space Division, created out of the
former Astrium, Cassidian and Airbus Military entities, be-
came operational in 2014. Significant progress was made in
the restructuring programme, designed to boost competi-
tiveness and profitability. As part of the reorganisation, the
Division announced plans to streamline its portfolio of
businesses and started to implement the plan.
Demand for the Division’s leading products remained robust.
Order intake rose 3.5% to €12.2 billion (2013: €11.8 billion),
boosted by strong orders for satellites and launchers in
particular, as well as for Light and Medium transport
aircraft. Four telecommunications satellites and 28 Light and
Medium transport aircraft were ordered during the year, as
well as the first of 12 A330 multi-role tanker transport aircraft
(MRTT) for France. The order backlog remains stable at
€43.1 billion at the end of 2014 (2013: €43.2 billion).
Revenues were broadly stable at 13.0 billion. Within the milit-
ary aircraft business, notable deliveries included eight
A400M, five A330 MRTT and 19 Light and Medium aircraft.
Seven satellites were launched, and six Ariane 5 launches
took place during the year. EBIT* before one-off was roughly
stable, as expected at €920 million (2013: €911 million). EBIT*
stood at €409 million (2013: €659 million), following a charge
of €551 million due to delays on the A400M programme.
RESTRUCTURING PROGRESSES
In line with the Division’s announced restructuring target,
eight of the Division’s previous sites were closed, and head-
count was reduced by around 1,900 positions.
Furthermore, the Division unveiled plans to refocus activities
around its core businesses: Space (including launchers and
satellites), Military Aircraft, Missiles and related Services
around these products. As part of its portfolio optimisation,
the Division plans to divest non-core activities such as the
commercial and parapublic communication businesses (in-
cluding Professional Mobile Radio and commercial satellite
communications activities), as well as certain participations.
REINFORCING SPACE LEADERSHIP
The Ariane 5 launcher continued to demonstrate its unparal-
leled reliability in 2014, conducting its 63rd successful
launch in a row.
In order to adapt to an increasingly competitive market,
Airbus Group and Safran agreed to join forces through a
joint venture in the launcher segment. The new joint venture,
Airbus Safran Launchers, went live at the beginning of
January 2015. As well as producing Ariane 5, the joint
venture will develop and produce the next generation Ariane
6 launcher, which received approval from the member
states of the European Space Agency (ESA) at the
December 2014 Ministerial Conference.
ESA also awarded the Division a €390 million contract to
develop and construct the service module for Orion, the
future American human space capsule.
ESA selected Airbus Defence and Space for the second
generation of Meteorological Operational (MetOp-SG) satel-
lites. Covering the design and build of six spacecraft, the
programme is worth a total of €1.3 billion. The first satellite is
scheduled for launch in 2021.
The Division had an exceptionally successful year for satel-
lite orders. Contracts were signed for 4 telecommunications,
one scientific mission and nine earth observation satellites,
of which six will be recognised in the order book later.
AIRBUS
DEFENCE AND SPACE
2014 turned out to be positive
overall with a strong year for
space systems and good future
prospects for our core business
28
LIGHT AND MEDIUM
AIRCRAFT ORDERED
6
ARIANE 5
LAUNCHES
+3.5%
RISE IN ORDER
INTAKE BY VALUE
ANNUAL REVIEW 2014
56
03 BUSINESS EFFICIENCY