EADS profits down while shareholders get paid
DDP/The Local · 11 Mar 2008, 08:35
Published: 11 Mar 2008 08:35 GMT+01:00
Revenues at EADS fell by one percent to €39.1 billion, the company reported in Amsterdam on Tuesday. Meanwhile losses amounted to €446 million. In 2006, EADS earned €99 million. Their earnings before interest and taxes (EBIT) margin reduced earnings from € 399 million to €52 million.
These numbers mean that EADS company Airbus is performing significantly lower than bank expectations, according to financial news service Dow Jones. Airbus had an EBIT margin of €111 million, and a net loss of €360 million.
According to company data, EADS plans to increase the EBIT margin this year to more than €1.8 billion, and increase profits by €40 million.
The company also said it would give board members a dividend of €0.12 per share.
“To distribute dividends – despite a deficit – is more than a gesture of acknowledgment for the loyalty of shareholders,” said EADS chief financial officer Hans Peter Ring. Despite the challenges, it’s a sign of confidence in the coming year, he said.