Airbus Se · EURONEXT:AIR
Airbus — Investor Presentation (June 2023)
30 slides from Airbus's investor presentation, Jun 13, 2023
Slide 1: Global Market Forecast 2023
Global Market Forecast 2023 Toulouse - 13 June 2023
Slide 2: Air transport brings the world's population centres together
Air transport brings the world’s population centres together Source: CIESIN, SEDAC, Airbus GMF World’s population by density Paris - Beijing New York - London 10 hours Astana - Beijing Los Angeles - New York 7 hours 5 hours 5 hours Tokyo - Los Angeles Casablanca - Jeddah 10 hours 6 hours Mauritius -
Slide 3: Air transport has given us simpler and faster connections
Air transport has given us simpler and faster connections Source: BOAC Timetable 1957, Airbus GMF London Istanbul 1952 2025 Karachi 6 weeks trip Kolkata ~20 hours Singapore Darwin Sydney 1957 5 days trip 3 Airbus Global Market Forecast 2023
Slide 4: Air transport connects more countries than ever, facilitating exchanges
Air transport connects more countries than ever, facilitating exchanges Source: OAG (September data), Airbus GMF New additional country pairs served by a non stop flight between 1999-2019 New country pairs that have been created between 1999-2019: 1,020 new worldwide country pairs (+33%) 469 intra-r
Slide 5: Post-Covid capacity has recovered quickly as restrictions were lifted
Post-Covid capacity has recovered quickly as restrictions were lifted Source OAG, Airbus GMF ASKs compared to 2019 level Europe & CIS 101% North America 100% 90% PRC 102% 101% 100% 126% 100% Middle East Dom. Intl. 112% 104% 41% Asia/Pacific 100% Dom. Intl. Dom. Intl. (excl. PRC) World 101% Africa 10
Slide 6: Air transport is a major contributor to GDP and Employment
Air transport is a major contributor to GDP and Employment Source: ATAG’s Aviation Benefits Beyond Borders, September 2020, Oxford Economics, Airbus GMF * Employment figures include direct, indirect, induced and tourism catalytic jobs Europe & CIS North America 4.4% 5.0% 13.5M Middle East 8.7M 7.6%
Slide 7: Air transport is tightly linked to economic development and geography
Air transport is tightly linked to economic development and geography Source: IHS Markit, Sabre GDD, Airbus GMF 2019 yearly trips per capita (bubble size proportional to country population) GDP per capita (Purchasing Power Parity $ - 2015) 7 Airbus Global Market Forecast 2023
Slide 8: Efficiency improvement has enabled democratisation of air travel
Efficiency improvement has enabled democratisation of air travel CO2 emissions per RPK halved through technology and operational improvements Source: IATA, ICAO, Airbus, EDGAR CO2 emissions, Airbus GMF * Note: commercial air transport direct share of total anthropogenic CO2 fossil emissions (excludi
Slide 9: GMF23 is an exploratory scenario
GMF23 is an exploratory scenario Source: Airbus GMF GMF 2023 STEPS - Stated Policies Scenario From the APS - Announced Pledges Scenario current state of knowledge EXPLORATORY (forecast) Now 2050 NORMATIVE (backcast) From the defined target Sustainable Development Scenario - SDS Net Zero Emission - N
Slide 10: Underlying outlook for GDP, trade and population growth
Underlying outlook for GDP, trade and population growth Source: IHS Markit, Airbus GMF * Households with yearly income between $20,000 and $150,000 at PPP in constant 2015 prices World GDP World population Urbanisation +2.5% +1.5 bn +1.6 bn CAGR 2019-2042 from 2019 to 2042 from 2019 to 2042 World tr
Slide 11: Sensitivities approach to deal with future uncertainties
Sensitivities approach to deal with future uncertainties Source: Airbus GMF Sensitivity on key drivers Number of traffic forecast scenarios GDP forecast Possible headwinds: Possible tailwinds: Environmental regulations, More stable world order, energy availability, geopolitical further liberalisatio
Slide 12: Modest growth in mature flows…
Modest growth in mature flows… Source: Airbus GMF Top 20 traffic flows (RPK) CAGR 2019-2042 (%) Annual RPK (billions) 12 Airbus Global Market Forecast 2023
Slide 13: …and stronger growth in Asia and Middle East, led by India and PRC
…and stronger growth in Asia and Middle East, led by India and PRC Source: Airbus GMF Top 20 traffic flows (RPK) CAGR 2019-2042 (%) Annual RPK (billions) 13 Airbus Global Market Forecast 2023
Slide 14: Demand for 40,850 new passenger & freighter aircraft
Demand for 40,850 new passenger & freighter aircraft Source: Airbus GMF Notes: Passenger aircraft above 100 seats & freighters with a payload above 10t Number of aircraft • 22,880 aircraft in-service beginning of 2020: Grow – 25% will stay in-service (including 2020-22 New deliveries deliveries) – 7
Slide 15: Demand for 40,850 new passenger & freighter aircraft over 2023-2042
Demand for 40,850 new passenger & freighter aircraft over 2023-2042 Source: Airbus GMF Note: Demand for passenger aircraft above 100 seats & freighters with a payload above 10t Typically Single-Aisle Typically Widebody 32,630 aircraft 8,220 aircraft (inc. 920 new-built freighters) 80% share of total
Slide 16: 40,850 new deliveries between 2023 and 2042
40,850 new deliveries between 2023 and 2042 Source Airbus GMF Notes: Passenger aircraft (≥ 100 seats) & Freighters (≥ 10 tons payload) | Figures rounded to nearest 10 Europe & CIS North America PRC Middle East Asia/Pacific (excl. PRC) Africa Latin America Typically Single Aisle Typically Widebody 16
Slide 17: Express air cargo growth will outpace General air cargo
Express air cargo growth will outpace General air cargo Source: IHS Markit, Seabury, IATA, Airbus GMF World air cargo traffic +3.2% CAGR 2019-2042 2042 Express 2019 boosted by e-commerce +4.9% Express Express CAGR 2019-2042 17% 25% 250 billion 520 billion FTK FTK General 83% General cargo General 75
Slide 18: World freighter fleet in service will reach 3,230 aircraft by 2042
World freighter fleet in service will reach 3,230 aircraft by 2042 Source: Airbus GMF Note: Freighters with a payload above 10t Number of freighter aircraft 3,230 Grow New-build Conversions Replace Stay (incl. 2020-2022 deliveries) 18 Airbus Global Market Forecast 2023
Slide 19: Global demand for 2,510 freighters, over 2023-2042
Global demand for 2,510 freighters, over 2023-2042 Source: Airbus GMF Note: Freighters with a payload above 10t Single-Aisle Mid-size Widebody Large Widebody (10t - 40t) (40t - 80t) (> 80t) 1,020 aircraft 890 aircraft 600 aircraft 19 Airbus Global Market Forecast 2023
Slide 20: Airlines require the latest, most efficient and lowest-emission aircraft
Airlines require the latest, most efficient and lowest-emission aircraft Source: Cirium, Airbus GMF Passenger aircraft above 100 seats – Year end | New generation: A220, A320neo Fam., A330neo, A350, Emb-E2, 737Max, 787 % of in-service fleet by aircraft generation Fleet modernisation: 25% A strategic
Slide 21: Airbus product line delivers 20-40% fuel burn reduction
Airbus product line delivers 20 - 40% fuel burn reduction End of May 2023 Backlog: 432 aircraft Backlog: 5,983 aircraft Backlog: 39 aircraft Backlog: Backlog: 520 aircraft 187 aircraft Single-Aisle Freighter Widebody
Slide 22: Airbus is leading aviation decarbonisation
Airbus is leading aviation decarbonisation Acting on all levers Source: Airbus GMF 2050+ Today Fleet renewal / 25% less CO2 Continuous incremental improvement Latest generation aircraft → Already 25% CO2 reduction compared to previous generation aircraft Services portfolio Expanding upgrades / perfo
Slide 23: Latest generation aircraft
Latest generation aircraft ● Up to 25% lower unit fuel and CO2 vs. previous generation - across the entire Airbus Family ● Only 25%* of passenger in-service fleet are latest generation aircraft ● A350F will be the first latest generation freighter on the market * Passenger aircraft above 100 seats – E
Slide 24: Operations & Infrastructures
Operations & Infrastructures ● Increased efficiency of the current fleet, by up to 10%, with a range of solutions ● Upgraded aircraft systems ● Optimized flight trajectories ● Decarbonised on-ground operations ● Air Traffic Management
Slide 25: Sustainable Aviation Fuels
Sustainable Aviation Fuels ● Flying with 100% SAF reduces lifecycle CO2 emissions by around 80% ● All Airbus aircraft are already certified to 50%, certification up to 100% by end of decade ● Industrial uptake needed to increase SAF’s availability ● Coalitions and partnerships signed to foster product
Slide 26: Disruptive technologies
Disruptive technologies ● Development, testing and maturity-based deployment of advanced technologies ● Ambition to bring a zero emission aircraft to the market by 2035 ● Hydrogen as a fuel for turbines, for electric motors via fuel cells and to produce SAF ● Developing advanced solutions for hydrog
Slide 27: Carbon removal options
Carbon removal options Nature-based solutions Point-Source Carbon Capture Direct Air Carbon Capture ● Widely used as offsets for ● Emerging technology ● Emerging technology compensation in voluntary and regulated markets ● Enables credits from CO2 storage ● Competes with other industries and CO2 as
Slide 28: There is no single solution to decarbonise aviation
There is no single solution to decarbonise aviation Airbus supports the ATAG most ambitious technology scenario 2,500 Emissions reduction : contributions in 2050 \ Z 2,000 H s 41% 3 2 1,500 2 V4 a £ 6% 3 © 1,000 g eeeseeee 5 & 48% 8 500 0 5% 2015 2020 2025 2030 2035 2040 2045 2050 Kosen aan Operatio
Slide 29: Takeaways
Takeaways Source: Airbus GMF Passenger Traffic 3.6% 2019-2042 CAGR Freight Traffic 3.2% 2019-2042 CAGR Fleet in service 22,880 aircraft beginning of 2020 Fleet in service in 2042 46,560 aircraft New deliveries 2023-2042 40,850 aircraft 29 Airbus Global Market Forecast 2023
Slide 30: © AIRBUS all rights reserved
© AIRBUS (Airbus S.A.S., Airbus Operations S.A.S., Airbus Operations GmbH, Airbus Operations LTD, Airbus Operations SL, Airbus China LTD, Airbus (Tianjin) Final Assembly Company LTD, Airbus (Tianjin) Delivery Centre LTD). All rights reserved. Confidential and proprietary document. This document and