AIRBUS - 2019 Registration Document

Management’s Discussion and Analysis of Financial Condition and Results of Operations  / 2.1 Operating and Financial Review

2.1.3.3 EBIT Adjusted The Company uses an alternative performance measure EBIT Adjusted as a key indicator capturing the underlying business margin by excluding material charges or profits caused by movements in provisions related to programmes, restructurings or foreign exchange impacts as well as capital gains/losses from the disposal and acquisition of businesses. The following table reconciles the Company’s EBIT with its EBIT Adjusted.

Three-month period ended 31 March 2019 (unaudited)

Three-month period ended 31 March 2018 (unaudited)

Year ended 31 December 2017 as restated (1)

Year ended 31 December 2017 as reported

Year ended 31 December 2016 as reported

Year ended 31 December 2018

(In € million)

EBIT

181

199

5,048

2,665

3,421

2,258

PDP mismatch / BS revaluation

83

(46)

(129)

7

7

930

A380 programme

61

0

463

0

0

0

A400M business update

0

0

436

992

1,299

2,210

A350 XWB business update

0

0

0

0

0

385

Compliance costs

22

5

123

117

117

0

Plant Holdings, Inc. gain

0

(159)

(159)

0

0

0

ArianeGroup creation phase 2

0

0

0

0

0

(1,175)

Defence Electronics net capital gain

0

0

0

(604)

(604)

0

Dassault Aviation disposal

0

0

0

0

0

(868)

Portfolio in Airbus Defence and Space and other M&A

0

8

(29)

13

13

33

Restructuring / Transformation

0

7

8

0

0

182

Defence export ban

190

0

0

0

0

0

Other costs

12

0

73

0

0

0

EBIT Adjusted

549

14

5,834

3,190

4,253

3,955

(1) Previous year figures are restated due to the application of IFRS 15.

2.1.3.4 EBIT Adjusted by Business Segment

Three-month period ended 31 March 2019 (unaudited)

Three-month period ended 31 March 2018 (unaudited)

Year ended 31 December 2017 as restated

Year ended 31 December 2017 as reported

Year ended 31 December 2016 as reported

Year ended 31 December 2018

(In € million)

Airbus

536

(41)

4,808

2,383

3,554

2,811

Airbus Helicopters

15

(3)

380

247

337

350

Airbus Defence and Space

101

112

935

815

872

1,002

Subtotal segmental EBIT Adjusted

652

68

6,123

3,445

4,763

4,163

Transversal / Eliminations

(103)

(54)

(289)

(255)

(510)

(208)

Total

549

14

5,834

3,190

4,253

3,955

2.1.3.5 EBIT by Business Segment

Three-month period ended 31 March 2019 (unaudited)

Three-month period ended 31 March 2018 (unaudited)

Year ended 31 December 2017 as restated

Year ended 31 December 2017 as reported

Year ended 31 December 2016 as reported

Year ended 31 December 2018

(In € million)

Airbus

392

(2)

4,295

2,257

3,428

1,543

Airbus Helicopters

9

(10)

366

247

337

308

Airbus Defence and Space

(117)

265

676

462

212

(93)

Subtotal segmental EBIT

284

253

5,337

2,966

3,977

1,758

Transversal / Eliminations

(103)

(54)

(289)

(301)

(556)

500

Total

181

199

5,048

2,665

3,421

2,258

80

Airbus / Registration Document 2018