WELLINGTON, Fla. --- B/E Aerospace, Inc., the world's leading manufacturer of aircraft cabin interior products and a leading aftermarket distributor of aerospace fasteners, in response to specific inquiries that the company has received, today commented on the impact of delivery schedule changes for Airbus A380 aircraft.
B/E expects A380 delivery delays to negatively impact its revenue and earnings in 2006, particularly its new Super First Class product offering. Notwithstanding the impact on this product line, above-plan performance in several of the company's other product lines is offsetting underperformance of the Super First Class product line. Accordingly, the company confirmed its recently raised 2006 earnings guidance of $1.19 per diluted share (before debt prepayment costs of approximately $0.16 per diluted share).
Commenting on the company's outlook, Mr. Amin J. Khoury, Chairman and Chief Executive Officer of B/E Aerospace, Inc. said, "The size and quality of our backlog and our expanding margins underpin our expectations for a near tripling of pretax earnings for the full year 2006. We are, therefore, reaffirming our earnings guidance of $1.19 per diluted share for 2006, exclusive of the after-tax impact of debt prepayment costs of approximately $0.16 per diluted share."
"Our record backlog, a protracted new aircraft delivery cycle particularly with respect to wide-body aircraft and our expectations for continued margin expansion provide us with excellent visibility into 2007 and beyond and further bolster our confidence in the outlook for the next several years. Consequently, we expect earnings per share to grow at a strong double-digit annual rate in 2007, 2008 and 2009, driven by strong revenue growth and continued margin expansion. As stated earlier, the company plans to provide more specific 2007-2009 financial guidance in late October consistent with its long-term planning cycle," concluded Mr. Khoury.
B/E Aerospace, Inc. is the world's leading manufacturer of aircraft cabin interior products, and a leading aftermarket distributor of aerospace fasteners. B/E designs, develops and manufactures a broad range of products for both commercial aircraft and business jets.
B/E Aerospace Comments on Impact of A380 Delays