EADS has revised upwards its forecast for its 2005 financial performance, despite admitting that research and development costs for the Airbus A380 are much higher than expected.
Revenues for next year are forecast to grow by 3%, to around €33 billion ($43 billion), taking into account a lower US dollar rate, calculated at $1.30 per euro against $1.23 in 2004.
Principal Airbus shareholder EADS says Airbus deliveries for next year will reach 350-360 aircraft, based on the current orderbook. Defence revenues are expected to grow to around €8.5 billion.
EADS says the extra A380 costs will not affect the programme's profitability and will be absorbed over the next eight years. The company's shares fell after Airbus chief Noel Forgeard said A380 R&D costs would be c1.45 billion higher, an increase of around 20%. EADS co-chief executive Rainer Hertrich added that A380 R&D costs covered the entire programme, including the freighter version.
Source: Flight International
