Airbus Se Unsp/Adr

you for standing by. Welcome to the Airbus Q1 2026 earnings release conference call. I am Laura, the operator for this conference. Please note that for the duration of the presentation, all participants will be in listen-only mode, and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. At this time, I would like to turn the conference over to Jean-Christophe Aignoux, Head of Investor Relations. Please go ahead.

Thank you, Laura, and a very warm welcome to everyone joining us today to dive into our Q1 2026 results. I am in Amsterdam with our CEO, Guillaume Faurie, and our CFO, Thomas Hopfer. They are here to break down the numbers and take your questions. This call is planned to last one hour, including Q&A, and a replay will be available on our website. Today's presentation and detailed financial statements are already available on Airbus' website. Before we start, let me remind you that we will be making some forward-looking statements today. I encourage you to take a look at the safe harbor statement in our presentation slides. It's important stuff, so please have a quick read. And with that, let's get things started. Guillaume, the floor is yours.

Thank you, JC, and good evening, ladies and gentlemen. depending where you connect from. We are in Amsterdam as said by Jesse and with Thomas to run you through our Q1 2026 results. As I told you in February, the global environment was complex and dynamic and the situation in the Middle East demonstrates that it remains the case and it remains fast changing. While today there is no direct impact on deliveries, we are actively monitoring potential consequences on air traffic and the global economy. Our priority remains the safety of our employees based in the region who are supporting our customers. On defense, the momentum continues. The focus is on steady execution and ramping up to serve the global demand. On commercial aircraft, we delivered 114 aircraft in Q1. Despite this low number of deliveries, we are ramping up production in line with our plan for 2026, while navigating a shortage of Pratt & Whitney engines. This is directly reflected in our financial results, with EBIT adjusted standing at 0.3 billion euros. and free cash flow before customer financing at minus 2.5 billion euros. Our full year 2026 guidance remains unchanged. So now let's look at our commercial environment and starting with commercial aircraft. In early 2026, the passenger traffic expanded and air cargo demand showed sustained momentum. Short term we are monitoring the situation in the Middle East and global air traffic and we remain confident in the fundamentals of the industry. During this quarter we booked 408 gross orders. On the A220 we booked 20 gross orders and we continue seeing positive momentum. Looking at the A320 family we booked 336 gross orders. This brings our backlog to 7,418 aircraft, of which approximately 75% are for the A321. Moving to the white bodies, on the A330 we booked 17 gross orders, and finally on the A350 we booked 35 gross orders. I'm pleased to report our largest freighter order that has been placed by Atlas Air worldwide. for 20 A350 freighters. This also makes them the largest customer for the type and the first in the US bringing our total freighter backlog above 100 units. Net orders amounted to 398 including 10 cancellations. Our backlog in units increased to 9,037 aircraft at the end of March 2026 Before moving to helicopters, let me highlight a key milestone in our growing services business. Indeed, in order to better deliver digital services to our customers, we have recently merged our flight operations specialist subsidiary, NavBlue, with our Skywise digital solutions activities to form a new company called Skywise. It will provide end-to-end digital solutions to aircraft operators. So now moving on to helicopters. In Q1 2026 we booked 79 net orders compared to 100 in Q1 2025. We signed strategic long-term framework contracts for the H135, the H140 and the H145 helicopters with two significant emergency medical services operators in Europe. At the Verticon 2026, Airbus corporate helicopters announced HCH 140, so the corporate version of the H140. So Airbus corporate helicopters announced launch customers across three key regions, the US, Europe and Brazil, or leading markets for private and business aviation. The market reaction for the new helicopter, for this new helicopter, is a positive one. Finally, looking at unmanned air systems, Garuda Technologies in the US signed a contract for the delivery of up to 18 Flexrotor uncrewed aerial systems. Overall, we continue to see good momentum in both the civil and military markets, and we remain fully focused on delivering on expectations, including ramping up. And finally, on defense and space, we finished Q1 with a very strong order intake of 5 billion euros, mostly on the air power side, reflecting the need from our customers for military aircraft and services. In addition, we continue to strengthen our position in the drone and anti-drone markets. Notably, we are making progress on the Friton-class UCCA, uncrewed collaborative combat aircraft, as well as on our bird-of-prey drone interceptor, designed to provide armed forces with a cost-effective counter-U.S. capability. On EFGAS, work is ongoing with the French, German and Spanish governments to decide on the project's way forward. At Airbus, we continue to believe in the need for Europe to develop new combat air systems and we continue to play a leading role in that effort. In connected intelligence, we are advancing on our cybersecurity roadmap with the signing of the acquisitions of UltraCyber Limited in the UK and Quark's Lab in France. This further strengthens our sovereign cyber capabilities, complementing the 2024 acquisition of Infodas in Germany. Finally, on space systems, we continue to observe good order dynamics. We are very proud of our contribution to the Artemis II lunar flyby mission. Indeed, the Airbus designed and built ESM, the European Service Module, provides essential propulsion, power and thermal control, ensuring the safety and success of this historic journey into deep space. And now, Thomas will take you through our financials. Thomas?