Boeing Co. reported a significant reduction in its fourth-quarter losses compared to the previous year, thanks to a 10% revenue increase primarily due to improved commercial volume and performance. Its core loss per share, despite being greater than what analysts had predicted, still showed improvement, as did its quarterly revenues which exceeded expectations.
Boeing, the aerospace and defense behemoth based in Chicago, reported that its net loss attributable to shareholders was a mere $23 million or $0.04 per share, a drastic reduction from last year's $634 million or $1.06 per share. The reported core loss for the quarter was $0.47 per share, down from $1.75 per share loss reported in the same quarter of the previous year.
Analysts from Thomson Reuters had predicted an average loss of $0.78 per share for the quarter, typically not including special items. However, the total revenue growth of 10% to $22.02 billion from the previous year's $19.98 billion, spearheaded by an increase in commercial volume, surpassed expected revenues of $21.10 billion for the quarter.
The company's total backlog at the end of the quarter amounted to $520 billion, with over 5,600 commercial airplanes included in the figure.
Commercial Airplanes saw a 13% year over year revenue growth to $10.48 billion, due to increased deliveries and a favorable mix. Despite the accident involving a 737-9 during Alaska Airlines Flight 1282, Boeing's 737 program continues to deliver airplanes at a production rate of 38 per month. The 787 program's production rate currently stands at five per month.
During the quarter, Commercial Airplanes delivered 157 airplanes which is a 3% increase from the previous year’s 152 airplanes. The backlog included orders for over 5,600 airplanes, valued at $441 billion. It also received net orders for 611 new airplanes, including 411 737, 98 777X, and 83 787 airplanes. Additionally, the company started certification flight testing on the 737-10 and resumed production of the 777X program.
The company's Defense, Space & Security revenue also saw a 9% increase to $6.75 billion from the previous year's $6.18 billion.
Global Services revenue grew 6% year-over-year to $4.85 billion, which was mainly down to higher commercial services volume and a favorable mixture.
