Boeing reported double-digit increases in its first-quarter financial performance and reaffirmed its 2006 and 2007 guidance.It emphasised its outlook for continued revenue and margin growth and strong cash flow.
Boeing’s first-quarter net income rose 29 percent to $692 million from $535 million a year ago, and earnings per share rose 33 percent to $0.88 per share from $0.66 per share last year.
First-quarter results include a benefit of $0.03 per share due to tax settlements. Last year’s results included a tax benefit of $0.14 per share, a charge of $0.07 per share related to divestitures, and a benefit of $0.02 per share due to a change in accounting method.
Without those items, adjusted earnings per share* grew 49 percent from $0.57 in the first quarter of 2005. Reconciliations of GAAP earnings per share to adjusted earnings per share* are attached to this release.
Revenue for the quarter increased 12 percent to $14.3 billion from $12.7 billion, operating cash flow grew 46 percent to $2.1 billion and the company’s operating margin rose to 6.7 percent from 5.4 percent.
“Strong overall performance, combined with a significant increase in commercial airplane deliveries, drove this quarter’s results,” said Chairman, President, and Chief Executive Jim McNerney.
“Going forward, our strong market position and continued focus on growth and productivity should enable us to deliver financial results that reflect the quality of our people and our technologies.”
Boeing’s backlog at quarter end was a record $213 billion, up 42 percent from a year ago and 4 percent in the quarter. The growth primarily reflects the record 1,002 commercial airplane orders won during 2005 and the additional 176 orders received during the first quarter of 2006.