Financial Statements 2023

2. Notes to the IFRS Consolidated Financial Statements 2.4 Airbus Performance

16.

Total Financial Result

Interest income derived from the Company’s asset management and lending activities is recognised as interest accrues, using the effective interest rate method.

2023

(In € million)

2022

Interest income

728

180

Interest expense

(753)

(412)

thereof Interests on European Governments’ refundable advances

(120)

(133)

Total interest result

(25)

(232)

Change in fair value measurement of financial instruments

39

(346)

Foreign exchange translations on monetary items

37

(99)

Unwinding of discounted provisions

(3)

8

Others

118

419

Total other financial result

191

(18)

Total

166

(250)

Total financial result improved by €+416 million to €166 million compared to €-250 million in 2022. The financial result mainly reflects a positive impact from the revaluation of certain equity investments.

17.

Income Taxes

The expense for income taxes is comprised of the following:

2023

(In € million)

2022

Current tax expense

(892)

(536)

2

Deferred tax expense

(264)

(403)

Total

(1,156)

(939)

Main income tax rates and main changes impacting the Company:

(Rate in %)

2022

2023

2024

> 2025

Netherlands

25.80

25.80

25.80

25.80

France

25.83

25.83

25.83

25.83

Germany

30.00

30.00

30.00

30.00

Spain

25.00

25.00

25.00

25.00

(1)

UK

19.00

25.00

25.00

25.00

A tax law has been enacted in 2022 increasing the rate for income taxes to 25.00% from April 2023 and beyond. (1)

On 19 December 2023, the government of the Netherlands, where the parent company is incorporated, enacted the Pillar Two income taxes legislation effective from 1 January 2024. Based on its assessment, the Company does not expect a material exposure to Pillar Two.

33

Airbus

Financial Statements 2023