Boeing has seen its year-to-date (YTD) profit increase by four per cent to $4.1 billion despite earnings from operations for the Commercial Airplanes division falling five per cent to $4.6 billion.
For Boeing as a whole, YTD revenue increased by nine per cent to $72.5 billion from $66.3 billion in the same period of 2014. In the third quarter, revenue increased by nine per cent from $23.8 billion in 2014 to $25.8 billion in 2015. Profit increased by 25 per cent in the third quarter to $1.7 billion from $1.3 billion.
Boeing president and chief executive officer, Dennis Muilenburg says: “By continuing to profitability deliver on our large and diverse backlog, we are driving strong growth in revenue, earnings and cash flow.”
“Solid operating performance across our commercial and defence businesses during the quarter also supported our continued investment in innovation and our people, and our commitment to return cash to shareholders.”
In the Commercial Airplanes division, revenue between January and September increased by 16 per cent to $49.9 billion from $43.1 billion in 2014. In the third quarter, revenue increased by 10 per cent to $17.7 billion from $16.1 billion. Earnings from operations between January and September fell by five per cent to $4.6 billion from $4.8 billion in 2014. In the third quarter, earnings from operations dipped by two per cent from $1.8 billion to $1.7 billion.
Boeing says its Commercial Airplanes operating margin fell by 1.2 percentage points to 10 per cent in the quarter because of higher research and development. During the quarter Boeing began the final assembly of the 737 MAX and completed firm configuration for the 777X, with the first deliveries due in 2020.
The manufacturer delivered 580 aircraft in the first nine months, up 10 per cent from 528 in the same period of 2014. In the third quarter, deliveries increased by seven per cent to 199 aircraft from 186 in 2014.