Business

October 24, 2012

Pension expense hurts Boeing third quarter net

Boeing said its net income this year will be bigger than it had expected as deliveries of commercial airplanes picks up.

Higher pension expenses hurt Boeing’s third-quarter profit, but other measures for the big airplane maker and defense contractor were strong. Profits rose in both its commercial and defense units. And it reaffirmed plans to deliver 585 to 600 commercial planes this year.

For the quarter that ended Sept. 30, Boeing’s net income fell 6 percent to $1.03 billion, from $1.1 billion a year ago. The profit of $1.35 per share would have been higher by 18 cents per share if not for increased pension expenses. During the same period last year, it earned $1.46 per share.

Analysts surveyed by FactSet were expecting earnings of $1.12 per share for the most recent quarter.

Revenue rose 13 percent to $20 billion as the pace of commercial airplane deliveries picked up. That matched analyst expectations.

Chicago-based Boeing Co. now expects to earn $4.80 to $4.95 per share this year, up from previous guidance of $4.40 to $4.60 per share. Analysts had been expecting $4.72 per share.

Boeing’s commercial airplanes unit saw operating earnings rise 6 percent to $1.15 billion for the quarter. It delivered 149 planes during the most recent quarter, up from 127 a year ago. Boeing delivered its first 787 last year and has been speeding up deliveries in earnest. It is also speeding production of its profitable 777. Revenue from commercial planes jumped 28 percent to $12.19 billion in the most recent quarter.

Earnings in Boeing’s defense, space, and security unit rose slightly to $827 million. Revenue fell 4 percent to $7.84 billion. Defense contractors in general have been struggling with tighter military spending, and the threat of more reductions to come, in both the U.S. and overseas.

 




All of this week's top headlines to your email every Friday.


 
 

 

Headlines August 1, 2014

News: Military downsizing leaves U.S. too weak to counter global threats, panel finds - An independent panel appointed by the Pentagon and Congress said July 31 that President Obama’s strategy for sizing the armed services is too weak for today’s global threats. Defense industry funds flow to contenders for key House chairmanships - Four of the top...
 
 

News Briefs August 1, 2014

China allows foreign reporters at news conference Foreign reporters are being allowed to attend China’s Defense Ministry briefings for the first time, marking a small milestone in the increasingly confident Chinese military’s efforts to project a more transparent image. Restrictions still apply and there is no sign of an improvement in the generally paltry amount...
 
 
Army photograph by John Andrew Hamilton

Rapid Equipping Force, PEO Soldier test targeting device at White Sands Missile Range

Army photograph by John Andrew Hamilton SFC Justin Rotti, a combat developer from the Training and Doctrine Command Fire Cell, Fires Center of Excellence, uses a developmental hand held precision targeting device during a test ...
 

 

NASA awards modification for geophysics, geodynamics, space geodesy support contract

NASA has awarded a modification to Stinger Ghaffarian Technologies Inc. of Greenbelt, Md. to continuing working the the Geophysics, Geodynamics and Space Geodesy Support Services contract. The maximum ordering value of the GGSG contract will increase to $76.8 million. The previous amount was $49.5 million. The increase in the maximum ordering value of the contract...
 
 
boeing-japan

Boeing, All Nippon Airways finalize order for 40 wide-body airplanes

  Boeing and All Nippon Airways July 31 finalized an order for 40 widebody airplanes – 20 777-9Xs, 14 787-9 Dreamliners and six 777-300ERs (Extended Range) – as part of the airline’s strategic long-haul fleet ren...
 
 

Excalibur Ib enters full rate production, receives $52 million award

TUCSON, Ariz., July 31, 2014 /PRNewswire/ — Raytheon’s Excalibur Ib precision guided projectile has entered full rate production. U.S. Army approval of FRP completes Excalibur Ib’s low rate initial production phase. †Additionally, the U.S. Army has awarded Raytheon $52 million for continued Excalibur Ib production. “The full rate production decision is the culmination ...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>