Airbus Group Reports First Quarter 2014 Results

Revenues increase five percent to € 12.6 billion



EBIT* before one-off € 700 million

Net income rises 93 percent to € 439 million



Airbus Group confirms guidanceAmsterdam, 13 May 2014 – Airbus Group (stock exchange symbol: AIR) reported first quarter2014 results reflecting the company’s continued focus on programme execution and achieving
its operational milestones.
Group order intake(2) was € 21.1 billion (Q1 2013: € 49.5 billion), with the order book(2)value amounting to € 683.2 billion on 31 March, 2014 (year-end 2013: € 680.6 billion).
Airbus received 103 net commercial aircraft orders (Q1 2013: 410 net orders), including 20 A380sfor Amedeo. Order intake at Airbus Helicopters rose 50 percent and was broadly stable at Airbus
Defence and Space, with good momentum seen in the Space Systems business.
“The Group made further progress in the opening quarter of 2014, with improved revenues andearnings per share,” said Airbus Group CEO Tom Enders. “We confirm our guidance, however
there are still many challenges ahead for the rest of the year. A strong focus remains on
programme execution and the implementation of our various improvement and restructuringplans.”
Revenues increased five percent to € 12.6 billion (Q1 2013: € 12.1 billion), with all three
Divisions contributing positively and Airbus Helicopters showing a double-digit increase
as deliveries rose to 74 units (Q1 2013: 58 units). Airbus revenues increased as a morefavourable delivery mix, including two additional A380s compared to a year earlier, offset
the overall reduction in volume to 141 commercial aircraft deliveries (Q1 2013: 144 deliveries).
Airbus Defence and Space revenues rose three percent, driven by good programme executionin Space Systems. Two Ariane 5 launches were conducted in the quarter.
Group EBIT* before one-off – an indicator capturing the underlying business margin
by excluding material non-recurring charges or profits caused by movements in provisions

related to programmes and restructurings or foreign exchange impacts – was € 700 million(Q1 2013: € 734 million) and € 527 million for Airbus (Q1 2013: € 608 million). The EBIT* before
one-off at Airbus reflected operational improvement but was weighed down by a more frontloaded research and development (R&D) expense profile and A350 XWB support costs.
EBIT* before one-off at Airbus Helicopters rose to € 58 million (Q1 2013: € 20 million), driven byincreased deliveries and was stable at Airbus Defence and Space at € 85 million(Q1 2013: € 84 million). The Group EBIT* before one-off margin was 5.5 percent.

The A350 XWB programme is progressing towards certification, with four of the fivedevelopment aircraft now flying and over 1,600 flight test hours accumulated. The first twocustomer aircraft are now in the assembly line with certification targeted for the third quarter andentry-into-service by the end of 2014. On the maturing A380 programme, as six year
maintenance checks have started Airbus is acting on the lessons learnt from tests andin-service experience. At the same time, progress is being made towards achieving the 2015
breakeven objective. Within Airbus Helicopters, the industrial ramp-up preparation is underway
on the EC175 programme with entry-into-service targeted in the fourth quarter of 2014.
At Airbus Defence and Space, the A400M production ramp-up is ongoing with the Turkish Air
Force having taken delivery of its first aircraft in early April. Progressive enhancement of militarycapability will follow with subsequent upgrades to be agreed and concluded with customers.
Reported EBIT*(3) increased 22 percent to € 719 million (Q1 2013: € 589 million) and includeda € 19 million positive contribution from the dollar pre-delivery payment mismatch and balance
sheet revaluation after a negative charge of € 131 million a year earlier. The finance result was€ -107 million (Q1 2013: € -273 million) while net income(4) increased to € 439 million (Q1 2013:€ 227 million), or earnings per share (EPS) of € 0.56 (EPS Q1 2013: € 0.28). Net income and EPS
also reflected favourable foreign exchange effects while EPS benefitted additionally from thereduction in the number of shares linked to the buyback programme. Group self-financed R&D
expenses increased to € 727 million (Q1 2013: € 617 million), due mainly to the R&D profile
at Airbus and increased activity at Airbus Helicopters for the EC175 and EC145 T2 models.
Free cash flow before acquisitions improved to € -2,034 million (Q1 2013: € -3,162 million),but remained negative due to the seasonality of the business and working capital requirements2

on key programmes. The net cash position at the end of the first quarter was € 6.5 billion(year-end 2013: € 8.5 billion) with a gross cash position of € 13.1 billion.

OutlookAs the basis for its 2014 guidance, Airbus Group expects the world economy and air traffic to growin line with prevailing independent forecasts and assumes no major disruptions. In 2014,
Airbus deliveries should be about the same level as in 2013, including the first A350 XWB delivery.
Gross commercial aircraft orders should be above the level of deliveries. Assuming an exchange
rate of € 1 = $ 1.35, Airbus Group revenues should be stable compared to 2013.

Using EBIT* before one-off, Airbus Group expects moderate return on sales growth in 2014 andconfirms its 2015 return on sales target of 7-8 percent(5). The EBIT* and EPS* performanceof Airbus Group will depend on the Group’s ability to limit “one-off” charges. Going forward,
from today’s point of view, the one-offs should be limited to potential charges on the A350 XWB
programme and foreign exchange effects linked to the pre-delivery payment mismatch and balance
sheet revaluation. The A350 XWB programme remains challenging. Any change to the scheduleand cost assumptions could lead to an increasingly higher impact on provisions.

Airbus Group is targeting breakeven free cash flow before acquisitions in 2014.
Airbus Group
Airbus Group is a global leader in aeronautics, space and related services. In 2013, the Group – comprising Airbus, Airbus
Defence and Space and Airbus Helicopters – generated revenues of € 57.6 billion (restated) and employed a workforce ofaround 139,000 (restated). (The legal name change from European Aeronautic Defence and Space Company EADS N.V.
(“EADS N.V.”) to Airbus Group N.V. is subject to the approval of the Annual General Meeting on 27 May, 2014).

Airbus Group Investor Relations contacts:
Philippe BALDUCCHI
Julie KITCHER
Christof BRASS

tel. +33 1 42 24 28 00
tel. +33 1 42 24 26 36
tel. +33 5 61 93 33 50

philippe.balducchi@airbus.com
julie.kitcher@airbus.com
christof.brass@airbus.com

Note to editors: Live-Transmission of the Airbus Group Analyst Conference Call on the Internet
You can listen to the Q1 2014 Results Analyst Conference Call today at 10:30 a.m. CET withChief Financial Officer Harald Wilhelm on the Airbus Group website: www.airbus-group.com. Please click on
the front page banner. A recording of the call will be made available in due course.

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First Quarter (Q1) Results 2014

(Amounts in euro)

Airbus GroupQ1 2014

Q1 2013(1)ChangeRevenues, in millions

12,64812,094+5%

2,151

2,086(6)

1,180

1,013

+16%

EBIT (3), in millions

719

589

+22%

Research & Development expenses,in millions

727

617

+18%

Net Income (4), in millions

439227+93%

0.56

0.28

+100%

Free Cash Flow (FCF), in millions-2,034-3,162-

Free Cash Flow
before Acquisitions, in millions-2,034-3,162-

Free Cash Flow
before Customer Financing, in millions-1,896-3,089-

Order Intake (2), in millions

21,10149,545-57%

Airbus Group

31 March
2014

31 Dec2013(1)

ChangeOrder Book (2), in millions

683,248

680,560

0%thereof defence, in millions

42,20842,630Net Cash position, in millions

6,547

8,454

-23%

Employees

138,924

138,830

0%thereof defence, in millions
EBITDA, in millions

Earnings Per Share (EPS)(4)

For footnotes please refer to page 6.

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by Division

EBIT (3)

Revenues(Amounts in millions of Euro)

Q1
2014

Q1
2013(1)

ChangeQ12014

Q1
2013(1)

ChangeAirbus

8,937

8,759

+2%

546

463+18%

Airbus Helicopters

1,182

1,038

+14%

5820+190%

Airbus Defence and Space

2,743

2,664+3%

8584+1%Others / Headquarters /Eliminations-214-367-30

22-

Total

12,64812,094

+5%

719

589

+22%

Order Intake (2)by Division

Order Book (2)(Amounts in millions of Euro)

Q12014Q12013(1)Change31 March2014

31 Dec2013(1)

ChangeAirbus

17,93846,668-62%

628,910625,595+1%

Airbus Helicopters

1,202804+50%

12,43912,4200%Airbus Defence and Space

2,068

2,160

-4%

42,58843,208-1%

Others / Headquarters /Eliminations

-107

-87

--689

-663

-Total21,10149,545-57%

683,248

680,560

0%

For footnotes please refer to page 6.

5Footnotes:1)

The 2013 figures have been restated to reflect the application of IFRS 10 and 11. Wherever necessary,
Divisional figures are also restated to reflect the new Group structure as of 1 January 2014.

2)

Contributions from commercial aircraft activities to Order Intake and Order Book based on list prices.

3)

Earnings before interest and taxes, pre goodwill impairment and exceptionals.

4)

Airbus Group continues to use the term Net Income. It is identical with Profit for the period attributable toequity owners of the parent as defined by IFRS Rules.

5)

Return on sales for EBIT* before one-off, including A350 XWB dilution with a €/$ exchange rate of 1.35.

6)

Earnings before interest, taxes, depreciation, amortisation and exceptionals.

Safe Harbour Statement:
Certain statements contained in this press release are not historical facts but rather are statements of future
expectations and other forward-looking statements that are based on management’s beliefs. These statements
reflect Airbus Group’s views and assumptions as of the date of the statements and involve known andunknown risk and uncertainties that could cause actual results, performance or events to differ materially fromthose expressed or implied in such statements.
When used in this press release, words such as “anticipate”, “believe”, “estimate”, “expect”, “may”, “intend”,“plan to” and “project” are intended to identify forward-looking statements.
This forward looking information is based upon a number of assumptions including without limitation:
assumption regarding demand, current and future markets for Airbus Group’s products and services, internalperformance, customer financing, customer, supplier and subcontractor performance or contracts negotiations,favourable outcomes of certain pending sales campaigns.
Forward looking statements are subject to uncertainty and actual future results and trends may differ materiallydepending on variety of factors including without limitation: general economic and labour conditions, including
in particular economic conditions in Europe, North America and Asia, legal, financial and governmental risk
related to international transactions, the cyclical nature of some of Airbus Group’s businesses, volatility of themarket for certain products and services, product performance risks, collective bargaining labour disputes,
factors that result in significant and prolonged disruption to air travel worldwide, the outcome of political andlegal processes, including uncertainty regarding government funding of certain programs, consolidation among
competitors in the aerospace industry, the cost of developing, and the commercial success of new products,
exchange rate and interest rate spread fluctuations between the euro and the U.S. dollar and other currencies,
legal proceeding and other economic, political and technological risk and uncertainties. Additional information
regarding these factors is contained in the Company’s “registration document” dated 4 April 2014. For more
information, please refer to www.airbus-group.com.

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