AIRBUS - 2020 Universal Registration Document
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations / 2.1 Operating and Financial Review
2.1 Operating and Financial Review
The following discussion and analysis is derived from and should be read together with the audited IFRS Consolidated Financial Statements as of and for the years ended 31 December 2020, 2019 and 2018. These Financial Statements have been prepared in accordance with International Financial Reporting Standards (“ IFRS ”) issued by the International Accounting Standards Board as endorsed by the European Union, and with Part 9 of Book 2 of the Dutch Civil Code. When reference is made to “IFRS”, this intends to be EU-IFRS. The following discussion and analysis also contains certain “non-GAAP financial measures”, i.e. financial measures that either exclude or include amounts that are not excluded or included in the most directly comparable measure calculated and presented in accordance with IFRS. Specifically, the Company makes use of the non-GAAP financial measures ( i.e. Alternative Performance Measures) “EBIT Adjusted”, “net cash” and “Free Cash Flow”. The Company uses these non-GAAP financial measures to assess its consolidated financial and operating performance and believes they are helpful in identifying trends in its performance. These measures enhance management’s ability to make decisions with respect to resource allocation and whether the Company is meeting established financial goals. Non-GAAP financial measures have certain limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of the Company’s results as reported under IFRS. Because of these limitations, they should not be considered substitutes for the relevant IFRS measures. The Company also measures and communicates its performance on the basis of “EBIT” (reported). Impact of the COVID-19 pandemic. New variants and the successive waves of the COVID-19 pandemic, the resulting health and economic crisis and actions taken in response to the spread of the pandemic, including government measures, lockdowns, travel limitations and restrictions, have resulted in significant disruption to the Company’s business, operations and supply chain. For further information on COVID-19, see “– Risk Factors – Business-Related Risks – COVID-19 Risks”. The main elements related to the IFRS Consolidated Financial Statements considered as of 31 December 2020 are detailed in the “Notes to the IFRS Consolidated Financial Statements – Note 2: Impact of the COVID-19 Pandemic”. Reporting in Universal Registration Document 2020
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Airbus / Registration Document 2020
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