Q1 of a new year generally sets the tone for how the year is going to perform and that is why Q1 financial results are of great importance. This is no different for those who follow the aviation world closely. The fight between Airbus and Boeing, the two heavyweights of the aircraft manufacturing world for supremacy generally goes right down to the wire, but the Q1 results of the year 2016 are telling a different story.
The numbers are hugely in favour of Boeing who seem to have really won the upper hand over its European rivals. This has resulted in the share prices to be recorded at their lowest, even defeating the slow start to the year 2011. Airbus shipped out 125 aircraft in the first quarter of 2016 and earned confirmed orders for 32 more planes. Take into considerations, cancellations and you are left with just 10 net orders, a new low for the company.
On the other hand, the US-based Boeing, reportedly bagged 140 orders, which after deducting cancellations comes to 122. As compared to 125 of Airbus, Boeing delivered 176 planes, though most of these were the 737 that were delivered to United Airlines, even though that was at a hefty discount. One reason for the lower delivery number posted by Airbus is the issue related to the delivery of Pratt & Whitney engines, their major engine supplier. The issue is related to software and startup time on the engine, which has disrupted the supplies. Airbus is confident of catching up with Boeing later in the year, while the move to the new 737-Max may slow Boeing down a little.