GE Aerospace's LEAP Engine Deliveries Soar 41% Amid Aircraft Production Boom

GE Aerospace's partnership with Safran has delivered a significant boost to Boeing and Airbus, as LEAP engine deliveries jumped 41% in the first half of this year compared to the same period last year.

This increase is crucial for both aircraft manufacturers, as they struggle to clear their order backlogs. Boeing currently has a backlog of 4,381 orders for the 737 MAX, which represents 7.8 years of work at its current production rate. Airbus also has an order backlog of around 7,500 A320s, amounting to nearly 9 years of production.

The growth in LEAP engine deliveries is a positive sign for the aerospace industry as a whole. However, it also poses some challenges for GE Aerospace's near-term profitability, as the company sells new engines at a loss with lucrative long-term service agreements attached.