Airbus SE - Annual Strategy Dossier - 2023 - Strategic Focus, Key Strategies & Plans, SWOT, Trends & Growth Opportunities, Market Outlook
“Further Consolidating Market Shares in Narrow-Bodies while Focusing on Sustainability Initiatives, Making Deeper Inroads into the U.S. Defense Market and Leading Upcoming, Joint European Defense Programs, like FMTC & ENGRT, Key Medium-Term Strategy Imperatives for Airbus”
The 2023 edition of this Annual Strategy Dossier analyses the overall Strategy Focus and provides insights into the overall Strategy Focus and decrypts the key Strategies & Plans being pursued by Airbus SE for the near to medium term horizon amid a complex, difficult & challenging global macroeconomic environment with commercial aviation, the mainstay of Airbus' business portfolio, still recovering from the pandemic while global defense spending has reached a historic high. The global defense renaissance has been led by the whittling down of traditional, rule-based world order and the return of great power competition among leading geopolitical powers emanating from sustained geopolitical instability with the Russia-Ukraine war showing no signs of abating and the U.S.-China faceoff further escalating.
The ongoing U.S. military assistance to Ukraine and the focus of U.S. defense spending towards competing with near-peer adversaries and maintaining traditional overmatch over adversaries have accelerated the pace of replacement of ageing defense equipment with next generation systems & technologies through the initiation & award of new large scale defense contracts of strategic nature, scale, scope & long term horizon. Europe, under NATO, is treading a similar pathway with focus on getting the defense spending to the 2% of GDP level marking a renaissance for the European defense industrial base after decades of slump. The global defense spending, thus, is projected to reach the record $2.5 trillion level by 2027 as the industry prepares to ramp up production rates to unprecedented levels over near to medium term to meet huge global demand, replenish depleted inventory levels following U.S. & NATO military assistance to Ukraine and for development of next generation capabilities.
Airbus has been edging ahead of Boeing in the global commercial aircraft market with increasing market shares in the narrow body market led primarily by the introduction of longer range variants of the A321 program, namely, A321LR & XLR, which do not have a direct, competing market contenders and Boeing's 737MAX fiasco earlier which led to a cascading set of problems for Boeing. Airbus has been laser-focused & committed to sustainability goals and has been leading the aviation industrial base towards building sustainable aviation technologies for the long-term and working on multiple R&D projects simultaneously. The global defense renaissance has been highly favorable for the industry with surging demand for next generation equipment, capabilities & technologies to replace ageing, legacy systems and to build up overall capacity. The joint Franco-German FCAS program, led by Airbus & Dassault, will be a key, long term growth avenue for the European defense-industrial base accompanied by the proposal for development of next-generation European medium airlifter, under Future Medium Tactical Cargo (FMTC) & European Next-Generation Rotorcraft Technologies (ENGRT) programs. The H160 helicopter program is poised to be the backbone of Airbus' helicopter business going forward with a robust order book for civil & military variants while the operational capability issues with the NH-90 and Tiger need to be ironed out. Another key imperative & growth avenue for Airbus is the further penetration & expansion of presence in the U.S. defense market, wherein, the USAF's upcoming KC-Y Tanker program will be a huge opportunity for th A330MRTT while competing against arch-rival Boeing.
Against this backdrop, the report provides a comprehensive analysis on the company starting with a detailed business and financial snapshot, incorporating charts, tables and comprehensive analysis based on latest financial statements. An insightful & comprehensive SWOT framework analysis is also included; providing a comprehensive scan, assessment & analysis of the prevailing internal as well as external business environment of the company. The framework outlines the company’s core, inherent strengths & weaknesses as part of the internal environment assessment and outlines potential growth opportunities as well as threats as part of the external environment assessment.
The report also incorporates analysis & review of key market, technology & industry trends along with issues & challenges which are likely to impact and shape industry's future over near to medium term. The report also identifies key driving & restraining forces for the industry & assesses their potential degree of impact through a force field analysis. The report concludes by providing a comprehensive outlook & demand growth projections for the Global Aerospace & Defense industry.
Relevance & Usefulness:
The report provides insights & inputs to be incorporated into the broader strategic planning & decision making processes and will be essential from a competitive analysis standpoint as well.
The report will be useful for:
The report will be essential & a key resource for those associated with and having strategic interest in the Global Aerospace & Defense Industry. The report will be especially useful for:-
The 2023 edition of this Annual Strategy Dossier analyses the overall Strategy Focus and provides insights into the overall Strategy Focus and decrypts the key Strategies & Plans being pursued by Airbus SE for the near to medium term horizon amid a complex, difficult & challenging global macroeconomic environment with commercial aviation, the mainstay of Airbus' business portfolio, still recovering from the pandemic while global defense spending has reached a historic high. The global defense renaissance has been led by the whittling down of traditional, rule-based world order and the return of great power competition among leading geopolitical powers emanating from sustained geopolitical instability with the Russia-Ukraine war showing no signs of abating and the U.S.-China faceoff further escalating.
The ongoing U.S. military assistance to Ukraine and the focus of U.S. defense spending towards competing with near-peer adversaries and maintaining traditional overmatch over adversaries have accelerated the pace of replacement of ageing defense equipment with next generation systems & technologies through the initiation & award of new large scale defense contracts of strategic nature, scale, scope & long term horizon. Europe, under NATO, is treading a similar pathway with focus on getting the defense spending to the 2% of GDP level marking a renaissance for the European defense industrial base after decades of slump. The global defense spending, thus, is projected to reach the record $2.5 trillion level by 2027 as the industry prepares to ramp up production rates to unprecedented levels over near to medium term to meet huge global demand, replenish depleted inventory levels following U.S. & NATO military assistance to Ukraine and for development of next generation capabilities.
Airbus has been edging ahead of Boeing in the global commercial aircraft market with increasing market shares in the narrow body market led primarily by the introduction of longer range variants of the A321 program, namely, A321LR & XLR, which do not have a direct, competing market contenders and Boeing's 737MAX fiasco earlier which led to a cascading set of problems for Boeing. Airbus has been laser-focused & committed to sustainability goals and has been leading the aviation industrial base towards building sustainable aviation technologies for the long-term and working on multiple R&D projects simultaneously. The global defense renaissance has been highly favorable for the industry with surging demand for next generation equipment, capabilities & technologies to replace ageing, legacy systems and to build up overall capacity. The joint Franco-German FCAS program, led by Airbus & Dassault, will be a key, long term growth avenue for the European defense-industrial base accompanied by the proposal for development of next-generation European medium airlifter, under Future Medium Tactical Cargo (FMTC) & European Next-Generation Rotorcraft Technologies (ENGRT) programs. The H160 helicopter program is poised to be the backbone of Airbus' helicopter business going forward with a robust order book for civil & military variants while the operational capability issues with the NH-90 and Tiger need to be ironed out. Another key imperative & growth avenue for Airbus is the further penetration & expansion of presence in the U.S. defense market, wherein, the USAF's upcoming KC-Y Tanker program will be a huge opportunity for th A330MRTT while competing against arch-rival Boeing.
Against this backdrop, the report provides a comprehensive analysis on the company starting with a detailed business and financial snapshot, incorporating charts, tables and comprehensive analysis based on latest financial statements. An insightful & comprehensive SWOT framework analysis is also included; providing a comprehensive scan, assessment & analysis of the prevailing internal as well as external business environment of the company. The framework outlines the company’s core, inherent strengths & weaknesses as part of the internal environment assessment and outlines potential growth opportunities as well as threats as part of the external environment assessment.
The report also incorporates analysis & review of key market, technology & industry trends along with issues & challenges which are likely to impact and shape industry's future over near to medium term. The report also identifies key driving & restraining forces for the industry & assesses their potential degree of impact through a force field analysis. The report concludes by providing a comprehensive outlook & demand growth projections for the Global Aerospace & Defense industry.
Relevance & Usefulness:
The report provides insights & inputs to be incorporated into the broader strategic planning & decision making processes and will be essential from a competitive analysis standpoint as well.
The report will be useful for:
- Competitive Assessment, Comparative Analysis & Strategic Planning
- Analysis of degree of Congruence between Emerging Market Landscape & Strategy focus
- Identifying & highlighting areas for making potential Strategic Changes, Adjustments & Realignment
- Analysis & Assessment of Emerging Market, Technology Trends & Developments likely to Shape the Global Aerospace & Defense Industry
- Analysis of Forces Driving as well as restraining the Industry & their overall Dynamics through a Force Field Analysis
- Analysis of Market Evolution with Medium Term Demand Growth Projections & Market Outlook
The report will be essential & a key resource for those associated with and having strategic interest in the Global Aerospace & Defense Industry. The report will be especially useful for:-
- Key Decision-Makers
- Program Managers
- Top Management of Industry Players & Other Companies
- Industry OEMs
- Defense Procurement Executives, Defense Departments, Program Managers
- Suppliers, Vendors, Technology & MRO Services Providers and other Key Players in the Industry Value Chain
- Existing & potential Investors
- Industry & Company Analysts
- M&A Advisory Firms
- Strategy & Management Consulting Firms
- PE Firms, Venture Capitalists and Financing & Leasing Companies
- Researchers and all those associated with the industry in general
SECTION - 1
Business Structure & Snapshot
a) Founded
b) Headquartered
c) Business Segments
d) Employees
e) Business Portfolio
f) Market Capitalization/Ownership Structure
g) Key Executives
h) Shareholding/Ownership Pattern & Structure
SECTION – 2
Financial Performance Analysis – Charts & Analysis: Based on Latest Available Financial Results
1. Revenue Base & Growth Trend
2. Revenues Split by Key Segments
3. Revenues Split by Key Geographic Markets & Regions
4. Gross Earnings & Margin Trend
5. Operating Earnings & Operating Margin Trend
6. Return on Sales Trend
7. Profitability Growth Trend
8. Cash Flow from Operations
9. R&D Expenditure Trend
10. CAPEX Trend
SECTION – 3
SWOT Analysis
Sources of Strengths which could be Leveraged
Weaknesses to Overcome & Offset
Opportunities to Capitalize Upon
Threats to Mitigate
SECTION – 4
Strategic Focus & Priorities
SECTION - 5
Key Strategies & Plans
Business Portfolio Strategies & Plans
Strategies & Plans for Key Programs
Technological and R&D Strategies & Plans
Market Specific Strategies & Plans
Corporate Strategies & Plans
Manufacturing/Production Strategies & Plans
Business Growth Strategies & Plans Organic & Inorganic
Financial Strategies & Plans
Acquisitions, Strategic Alliances & JVs
Other Strategies & Strategic Initiatives
SECTION – 6
Global Aerospace & Defense Industry Force Field Analysis Analysis of Driving & Restraining Forces and their Overall Dynamics
Driving Forces
Restraining Forces
SECTION – 7
Key Trends
Industry Trends
Market Trends
Technology Trends
SECTION – 8
Key Issues, Challenges & Risk Factors
SECTION – 9
Market Outlook Global Aerospace & Defense Market
9.1 Analysis of Emerging Market Scenario for Aerospace & Defense
9.2 Global Defense Budgetary Expenditure – Analysis
9.2.1 Defense Expenditure Split by Regions & Nations
9.2.2 Global Defense Budgetary Expenditure Growth Trend
9.2.3 Global Defense Budgetary Expenditure as Share of World GDP
9.3 Defense Spending Levels across Key Geographic Regions
9.4 Defense Spending Levels across Key Markets Top 5 & Top 10 Nations
9.5 Key Growth & Technology Investment Priority Areas
9.6 Emerging & Game Changer Technologies
9.7 Market Outlook & Growth Projections through 2027
Business Structure & Snapshot
a) Founded
b) Headquartered
c) Business Segments
d) Employees
e) Business Portfolio
f) Market Capitalization/Ownership Structure
g) Key Executives
h) Shareholding/Ownership Pattern & Structure
SECTION – 2
Financial Performance Analysis – Charts & Analysis: Based on Latest Available Financial Results
1. Revenue Base & Growth Trend
2. Revenues Split by Key Segments
3. Revenues Split by Key Geographic Markets & Regions
4. Gross Earnings & Margin Trend
5. Operating Earnings & Operating Margin Trend
6. Return on Sales Trend
7. Profitability Growth Trend
8. Cash Flow from Operations
9. R&D Expenditure Trend
10. CAPEX Trend
SECTION – 3
SWOT Analysis
Sources of Strengths which could be Leveraged
Weaknesses to Overcome & Offset
Opportunities to Capitalize Upon
Threats to Mitigate
SECTION – 4
Strategic Focus & Priorities
SECTION - 5
Key Strategies & Plans
Business Portfolio Strategies & Plans
Strategies & Plans for Key Programs
Technological and R&D Strategies & Plans
Market Specific Strategies & Plans
Corporate Strategies & Plans
Manufacturing/Production Strategies & Plans
Business Growth Strategies & Plans Organic & Inorganic
Financial Strategies & Plans
Acquisitions, Strategic Alliances & JVs
Other Strategies & Strategic Initiatives
SECTION – 6
Global Aerospace & Defense Industry Force Field Analysis Analysis of Driving & Restraining Forces and their Overall Dynamics
Driving Forces
Restraining Forces
SECTION – 7
Key Trends
Industry Trends
Market Trends
Technology Trends
SECTION – 8
Key Issues, Challenges & Risk Factors
SECTION – 9
Market Outlook Global Aerospace & Defense Market
9.1 Analysis of Emerging Market Scenario for Aerospace & Defense
9.2 Global Defense Budgetary Expenditure – Analysis
9.2.1 Defense Expenditure Split by Regions & Nations
9.2.2 Global Defense Budgetary Expenditure Growth Trend
9.2.3 Global Defense Budgetary Expenditure as Share of World GDP
9.3 Defense Spending Levels across Key Geographic Regions
9.4 Defense Spending Levels across Key Markets Top 5 & Top 10 Nations
9.5 Key Growth & Technology Investment Priority Areas
9.6 Emerging & Game Changer Technologies
9.7 Market Outlook & Growth Projections through 2027
