Boeing Q3 revenue up 4% at $16bn; defence segment loss at $2.8bn
Boeing reported deliveries of 112 commercial airplanes, an increase of 32% from Q32021.
NYSE-listed The Boeing Company reported a 4 percent increase in third-quarter revenue of $16 billion on higher commercial volume.
GAAP loss per share was $5.49, and Boeing generated an operating cash flow of $3.2 billion, says an official release.
"We continue to make important strides in our turnaround and remain focused on our performance," says Dave Calhoun, President and Chief Executive Officer, Boeing. "We generated strong cash in the quarter and are on a solid path to achieving positive free cash flow for 2022. At the same time, revenue and earnings were significantly impacted by losses on our fixed-price defence development programmes. We're squarely focused on maturing these programmes, mitigating risks and delivering for our customers and their important missions. We remain in a challenging environment and have more work ahead to drive stability, improve our performance and ensure we're consistently delivering on our commitments. Despite the challenges, I'm proud of our team and the progress we've made to strengthen our company."
Commercial airplanes delivers up 32%
Boeing reported deliveries of 112 commercial airplanes, an increase of 32 percent from Q32021. Third-quarter revenue increased 40 percent to $6.3 billion, "driven by the resumption of 787 deliveries and higher 737 deliveries. Operating margin of (10.3) percent also reflects lower abnormal costs as compared to the third quarter of 2021, partially offset by higher period expenses, including R&D expense."
During the quarter, the company secured net orders for 227 aircraft including 167 737 airplanes, 27 767 airplanes, 18 777 airplanes, and 15 787 airplanes, the release added. "Backlog included over 4,300 airplanes valued at $307 billion."
Defence, Space & Security third-quarter revenue decreased to $5.3 billion and third-quarter operating margin decreased to (52.7) percent, primarily due to $2.8 billion of losses on certain fixed-price development programmes, driven by higher estimated manufacturing and supply chain costs, as well as technical challenges, the release added.
Global Services Q3 revenue increased to $4.4 billion (5 percent) and operating margin increased to 16.5 percent, primarily driven by higher commercial services volume and favourable mix, partially offset by lower government services volume, the release said.
For the first nine months of the year, revenue declined 2 percent to $47 billion, net loss zoomed to $4.4 billion and loss per share increased to $7.24.