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| Version 1 | Version 2 |
|---|---|
| Military plane cost hits Airbus profits | Military plane cost hits Airbus profits |
| (35 minutes later) | |
| Aircraft manufacturer Airbus reported a drop in 2016 profits, mainly because of a charge on the A400M military plane. | Aircraft manufacturer Airbus reported a drop in 2016 profits, mainly because of a charge on the A400M military plane. |
| Its net income fell by 63% to 995m euros (£838m), although revenue went up 3% to 66.5bn euros (£56bn). | Its net income fell by 63% to 995m euros (£838m), although revenue went up 3% to 66.5bn euros (£56bn). |
| The results are the first since Airbus started simplifying the company by mixing its European business with the parent company, previously called EADS. | The results are the first since Airbus started simplifying the company by mixing its European business with the parent company, previously called EADS. |
| Chief executive Tom Enders said: "We've delivered on the commitments we gave a year ago." | Chief executive Tom Enders said: "We've delivered on the commitments we gave a year ago." |
| He added: "We achieved our guidance and objectives, with one exception, the A400M, where we had to take another significant charge totalling 2.2bn euros (£1.85bn) in 2016. | He added: "We achieved our guidance and objectives, with one exception, the A400M, where we had to take another significant charge totalling 2.2bn euros (£1.85bn) in 2016. |
| The A400M has suffered a number for setbacks over the years. | |
| Earlier this month, one A400M broke down on the ground while carrying German Defence Minister Ursula von der Leyen. | Earlier this month, one A400M broke down on the ground while carrying German Defence Minister Ursula von der Leyen. |
| Another crashed on a test flight in Spain in 2015, leading to the deaths of the four crew members. | Another crashed on a test flight in Spain in 2015, leading to the deaths of the four crew members. |
| "De-risking the programme and strengthening programme execution are our top priorities for this aircraft in 2017," Mr Enders said. | |
| Commercial success | |
| A late surge in deliveries of civil planes boosted overall profits at Airbus - analysts had been expecting a 7% fall. | A late surge in deliveries of civil planes boosted overall profits at Airbus - analysts had been expecting a 7% fall. |
| The company said its helicopter division had performed well "despite a difficult market environment". | The company said its helicopter division had performed well "despite a difficult market environment". |
| In 2017 it expects the world economy and air traffic to grow in line with current independent forecasts, assuming there are no major disruptions. | In 2017 it expects the world economy and air traffic to grow in line with current independent forecasts, assuming there are no major disruptions. |
| It expects to deliver more than 700 commercial planes during the year. | It expects to deliver more than 700 commercial planes during the year. |