Boeing shares rise on strong results

Boeing shares rise on strong results

American aerospace giant Boeing has reported second-quarter net income of $0.9 billion, or $1.25 per share, on revenue of $16.5 billion for the second quarter of financial 2011.

This represents a 20 per cent increase in net income from the figure of $787 million recorded a year ago.

An operating margin of 9.3 per cent reflects higher commercial airplanes volume and strong core performance across the company’s businesses, partially offset by higher pension expense, Boeing said in a statement.

The company increased its 2011 earnings per share guidance to between $3.90 and $4.10 per share reflecting the strong core performance.

Boeing up following strong results

Total company 2011 revenue and cash flow guidance is unchanged.

“Strong operational performance drove double-digit margins at both of our major businesses and produced outstanding results in the quarter,” said Jim McNerney, Boeing chairman, president and chief executive officer.

“We also made major progress toward certification and delivery of the 787 Dreamliner and 747-8 and continued our disciplined increases in commercial airplane production rates. 

“Our outlook for the year has strengthened as our team continues its relentless focus on productivity improvement, cash management and program execution.”

Boeing delivered 118 commercial aircraft in the second quarter, up from 114 for the same period last year, generating $920 in profit.

Commercial airplanes also booked a further 65 net orders during the quarter and 171 during the first half of 2011. 

Backlog remains strong with more than 3,300 airplanes valued at $262 billion.