Airbus deliveries fall as supply chain issues persist

Airbus reported Tuesday a drop in aircraft deliveries in the first quarter due to persistent supply chain issues, a setback for the European aerospace giant’s ambitious goal for the full year.

Deliveries are a reliable industry indicator about a plane-maker’s profitability as customers pay the bulk of their bills when they take possession of the aircraft.

Airbus said it delivered 127 aircraft between January and March, down 11 percent from 142 a year earlier.

The number means the manufacturer will have to pick up the pace to reach its target of 720 units for the year compared with 661 in 2022.

Airbus’ suppliers are facing supply problems and struggling to recruit workers.

The slowdown in deliveries is also due to the growing share of A321 planes it must deliver, as the variety of parts needed for the single-aisle aircraft make it more susceptible to supply chain bottlenecks.

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