The Boeing Company (NYSE: BA) has reported strong earnings and operating cash flow in the second quarter of 2017, driven by improved operating performance, the company said.
Second-quarter GAAP earnings per share increased to USD 2.89 and core earnings per share increased to USD 2.55. Revenue was USD 22.7 billion, reflecting planned production rates and timing of commercial and defense aircraft deliveries.
For the full year, GAAP earnings per share guidance increased to between USD 11.10 and USD 11.30 from USD 10.35 and USD 10.55 and core earnings per share guidance increased to between USD 9.80 and USD 10.00 from USD 9.20 and USD 9.40, primarily driven by improved performance across the company and a lower-than-expected tax rate.
Commercial Airplanes second-quarter revenue was USD 15.7 billion on planned production rates and timing of deliveries (Table 4). Second-quarter operating margin was 10.0 percent, reflecting solid execution.
During the quarter, Commercial Airplanes delivered the first 737 MAX 8 aircraft and announced the launch of the 737 MAX 10. Demand continues to be healthy with 571 incremental orders and commitments announced at the Paris Air Show, including 56 for widebody aircraft and 361 for the launch of the 737 MAX 10. Also at the Paris Air Show, a number of commercial service agreements were announced that provide further growth opportunity for Boeing Global Services.
Commercial airplanes booked 183 net orders during the quarter. Backlog remains robust with more than 5,700 airplanes valued at USD 424 billion.
Defense, Space & Security second-quarter revenue was USD 6.9 billion. Second-quarter operating margin increased to 12.9 percent, reflecting increased productivity in all three segments.
Boeing Military Aircraft (BMA) second-quarter revenue was USD 2.9 billion, reflecting lower planned C-17 deliveries, and operating margin increased to 13.2 percent on improved performance.
Network & Space Systems (N&SS) second-quarter revenue was USD 1.7 billion, reflecting timing of satellite volume.