The Boeing Company reported fourth-quarter revenue of $ 25,4 billion with GAAP earnings per share of $ 5,18 and core earnings per share (non-GAAP) of $ 4,80 reflecting record deliveries and high performance, as well as a favorable tax reform of $ 1,74 per action.
Revenues amounted to $ 93,4 billion for the full year, reflecting the mix of deliveries with GAAP earnings per share of $ 13,43 and core earnings per share (non-GAAP) * of $ 12,04, reflecting strong execution and a favorable tax reform.
"Throughout Boeing, our teams have achieved a record year of financial and operational performance, focusing on the disciplined execution of production and development programs, growth in services and the provision of value to customers," said the Chairman, Chairman and Managing Director of Boeing, Dennis Muilenburg. "This performance allows more investment in our human resources and our business, and a greater return of liquidity to shareholders."
"In the 2017 we delivered the first 737 MAX, launched the 737 MAX 10 and completed the first flight of the 787-10, all delivering more commercial aircraft than any other moment in our history.We operated the first KC-46 Tanker flight from deliver to the US Air Force, initiated a pre-contract for the Ground Based Strategic Deterrent program and a contract to supply 36 fighter F-15 to Qatar.We launched Boeing Global Services in the year, to provide a higher cycle value life and achieved growth that surpassed that of the market. "
"We have been actively positioning ourselves for future markets and growth, developing new products and services, investing to build vertical capabilities, starting the innovative HorizonX organization and introducing new capabilities, including the acquisition of Aurora Flight Sciences. Looking ahead, our team remains focused on winning through innovation, pushing growth and productivity and expanding our global aerospace position, delivering the best value to our customers, our employees and our shareholders. "
Liquidity and investments in tradable securities totaled $ 10,0 billion, unchanged since the beginning of the quarter. The debt was $ 11,1 billion, compared to $ 10,8 billion at the start of the quarter. The total order backlog of the company at the end of the quarter was $ 488 billion, compared to $ 474 billion at the start of the quarter, and included net orders for the quarter of $ 40 billion.
Segment results
Commercial Airplanes
Commercial Airplanes fourth-quarter revenue rose to $ 15,5 billion thanks to higher volume mix and delivery. The operating margin for the fourth quarter rose to 11,5%, reflecting strong performance. During the quarter, Commercial Airplanes delivered a record of 209 airplanes, and the 787 program launched the first 787-10 aircraft that should be delivered to the Singapore Airlines launch customer. The 737 program delivered 44 MAX aircraft during the quarter and managed to get over 4.300 orders for the 737 MAX from the launch, including a recent order from flydubai for 175 aircraft. The development of the 777X meets the expected times, as production of the first flight test of the 777X began this quarter. Commercial Airplanes registered 414 net orders during the quarter. The order backlog remains solid, with over 5.800 airplanes worth € 421 billion.
Defense, Space & Security
Defense, Space & Security's fourth quarter revenue increased to $ 5,5 billion primarily from higher arms deliveries, and fourth quarter operating margin was 10,0%. During the quarter, Defense, Space & Security signed a contract with the US Air Force to deliver 36 advanced F-15 fighter jets to Qatar. The KC-46 Tanker program has received a contract to supply Japan's first international KC-46 tanker, and has received FAA certification for the 767-2C aircraft, confirming that the fundamental design of the KC-46 Tanker is safe and reliable. In addition, we have continued to progress in the Commercial Crew program, as we have successfully completed the Design Certification Review, which is a pre-docking requirement at the International Space Station (ISS). Defense, Space & Security's order book was $ 50 billion, of which 40% represent orders from international clients.
Global Services
Global Services' fourth-quarter revenue increased to $ 4,0 billion, reflecting the growth of our entire portfolio. The operating margin for the fourth quarter was 15,4%, reflecting the mix of commercial parties. During the quarter, Global Services got a contract for F-15 Qatar Sustainment, signed an agreement with All Nippon for the 787 Landing Exchange program, and India selected BGS for P-8I Poseidon training. Global Services began flight tests on the first 737-800 Boeing Converted Freighter and received an order from GECAS for seven conversions. We continued to expand our digital solutions as a key growth driver, with our portfolio reaching around $ 1 billion in annual revenue in the quarter.
Outlook
The Company is adopting two new accounting standards, as previously planned, in the first quarter of the 2018, the revenue recognition standard (ASC 606) and the changes to the pension and post-retirement accounting (ASC 715). Additional attachments are included on the 15-18 pages, with the correct 2017 and 2016 restated results with the adoption of ASC 606 and ASC 715. The Company has provided this information comparable in the annexes and below to help investors understand the financial outlook of 2018.
Boeing
The Boeing Company is the world's largest aerospace industry and the largest manufacturer of commercial and military aircraft in all. In addition, Boeing designs and builds helicopters, electronic and defense systems, missiles, satellites, launch vehicles and advanced information and communication systems. As the main provider of NASA, Boeing is the prime contractor for the International Space Station. The company also provides numerous support services to airlines and the armed forces. Boeing provides products and support services to customers in 150 countries and is one of the largest US export sales representatives. Based in Chicago, Boeing has more than 150.000 employees in the United States and more than 65 countries; has achieved 93,4 billions of dollars in the 2017.
Boeing and Italy
Boeing has close relations with the Italian aerospace and defense industry, with the armed forces and with the airlines. The collaboration includes partnerships with Leonardo for the 787 Dreamliner and for the new CH-47F helicopters for the Army. Other collaborative activities concern GE Avio and UmbraGroup. Eight Italian airlines operate with 58 Boeing aircraft. Aircraft Boeing AV-8B are in service with the Navy, while Army Chinook helicopters have participated in humanitarian aid operations on several continents. The four KC-767A refueling flight planes, in a combi configuration, of the Air Force have exceeded the 20.000 operating hours of flight. Boeing has about 150 employees in Italy - located between Rome, Naples, Foggia, Grottaglie (TA), Milan, Viterbo and Sigonella (SR) - who work in managing relationships with partners and suppliers, in operational services, in commercial activities, in marketing and communication.
(photo: Air National Guard)
