Airbus Strategizes Higher Dividend Payout Amid Industry Challenges

Airbus has increased its dividend payout target range to reassure investors about future prospects and confirmed its 2025 guidance. The company aims for sustainable growth amidst challenges such as geopolitical tensions and supply chain issues, impacting aircraft deliveries but showing resilience with reduced disruptions since early 2025.

Airbus has announced an increase in the upper range of its dividend payout target, aligning with its commitment to sustainable growth. The world's largest planemaker confirmed its 2025 guidance to reassure investors amid upcoming business updates.

Despite geopolitical tensions and supply chain challenges, Airbus remains resilient in the global aerospace market. The company reaffirmed its cash conversion target over a 5-year period and saw a stock increase by 2% as of 0721GMT.

As the Paris Airshow attracts global attention, Airbus faces ongoing pressure from supply chain disruptions. However, since early 2025, the company has reduced these disruptions by 40%, maintaining optimism about meeting its 820 delivery target for 2025.

(With inputs from agencies.)