Airbus Helicopters had a healthy first half despite a challenging situation in the otherwise lucrative oil-and-gas segment, the company said on the eve of the Helitech show in London that opened today.
Due to enduring low oil prices, “it is a down cycle,” CEO Guillaume Faury said. He alluded to the numerous exploration and even production projects that oil companies have frozen. Sales of the heavy H225 Super Puma, a workhorse for the offshore industry, is thus under pressure.
But Faury also sees the situation as an opportunity for “helicopters that can make a lot of things.” This is the reason why orders for the H175“super medium” twin are beating the company's objective, according to Faury. He had set a target of 20 orders for 2015 and Airbus had received bookings for 28 as of late September.
H175 deliveries, however, have been slow. Only three were delivered in 2014—two to NHV and one, quietly, to Russia's UTair—and none so far in 2015. NHV will take another six H175s by December, but other operators are waiting until next year. Airbus was planning to deliver 18 H175s this year.
The 152 overall deliveries in the first half is much lower than the 200 helicopters shipped in the first six months of 2014. Nevertheless, the company managed to increase its revenues by 5.3 percent. Overall orders declined in units, from 148 to 135 helicopters, but increased in value.
An important indicator for Faury is the book-to-bill ratio. It was close to one in the first half and Faury said he is confident the ratio will be greater than one, as targeted, over the year. Contributing are orders from China, where the opening of the low-altitude airspace is spurring sales, as seen last month. Faury appeared not too worried about the H225 platform, which will “transition from a very active oil market to a very active military market with the H225M.”
Airbus Helicopters' gamut is shrinking a bit at its lower end, as production of the 5,730-pound AS355NP Ecureuil/TwinStar light twin will be terminated after delivery of the ongoing contracts and available aircraft. The decision was driven by “portfolio rationalization with refocus on core products.” Faury asserted the 6,570-pound H135 is the best light twin in the portfolio.
In the middle of the product range, development of the H160 is “moving forward as expected and even faster in some forms,” Faury said. The flight envelope has already been “widely opened,” reaching 170 knots and 10,000 feet. A second prototype will fly by year-end. The engineering team is reaping the benefits of the dynamic helicopter zero and system helicopter zero integration test beds, Faury emphasized.
The X6, which is eventually to replace the H225, is still in a concept phase that involves a customer advisory team. The X6 is to enter into service in the next decade with a 19-seat capacity and will feature fly-by-wire controls. The first artist rendering was unveiled at the Paris Air Show in June.
Hazier is the future of the X9 light twin concept. AIN understands the 4.5-metric-ton/14,700-pound helicopter project was the basis of a joint Airbus Helicopters-Kawasaki Heavy Industries offer for Japan's UHX Army tender. The country chose Bell Helicopter but Faury is insisting he is not giving up, hoping to convince the government to reconsider. Airbus has strong ties with Kawasaki, a partner in the BK117/EC145/H145 program.
In customer support, Faury pledged the percentage of on-time spare parts deliveries is growing. It is now exceeding 93 percent, including AOG and rush orders, and will meet the 95 percent objective by year-end. In AIN’s latest aircraft product support survey, Airbus Helicopters’ rating improved by 1.9 points, to 7.5, year-over-year.
Meanwhile, the company’s Hcare service offer is going digital, as a mission preparation application is set to be available on the Apple App Store.