PoliGazette » Boeing Profit Jumps 38% as Orders Grow

Boeing Profit Jumps 38% as Orders Grow

Filed under: Economy, United States — Michael van der Galien, Editor-in-Chief on April 23, 2008 @ 5:47 pm CEST

Finally good news from the economical front: ‘Boeing Co., the world’s second biggest commercial airplane manufacturer, said Wednesday that it earned $1.2 billion in the first quarter, a 38 percent increase from a year ago as its backlog of orders grew to a new record high.’

The earnings beat Wall Street estimates while it sales missed expectations. Its shares rose more than 2 percent in premarket trading.

The aerospace company said its profit amounted to $1.62 per share for the quarter ending March 31. That compares with $877 million, or $1.13 per share, a year earlier.

Revenue rose 4 percent to $16 billion from $15.37 billion a year ago.

On average, analysts surveyed by Thomson Financial expected Boeing to earn $1.35 per share on $16.5 billion in revenue.

”We’re off to a good start in what we expect to be another strong year of financial performance for Boeing,” Chairman and Chief Executive Jim McNerney said in a statement.

Especially the company’s commercial airplane segment is doing well. It saw it profits growing 39 percent to $983 million in the January-through-March quarter.

The defense unit of the company also does well, albeit less well; its profit grew 10%.

Next year promises to be another great year for Boeing: ‘the company predicted it will earn between $6.80 and $7.00 per share and is on track to deliver between 500 and 505 planes, including 25 of its thrice-delayed 787 jetliner.’

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