Boeing has reported a 3% increase in fourth quarter revenue to $24.47 billion; full year revenue rose by 5% to $90.762bn. Commercial Airplanes fourth-quarter revenue increased 15% to a record $16.8 billion on higher delivery volume and mix. Fourth-quarter operating margin was 9.3%, reflecting higher planned period costs and the dilutive impact of 787 deliveries partially offset by the delivery volume, Boeing said.
Earnings per share for quarter beat estimate with a 23% increase to $2.31 – full year EPS was up 22% to $8.60.
Commercial Airplanes booked 432 net orders during the quarter with a record 1,432 orders in 2014. Backlog remains strong with nearly 5,800 airplanes valued at a record $440 billion.
"Strong operating performance in the final quarter of 2014 propelled us to some of our best-ever results and sealed a fifth consecutive year of core operating earnings growth," said Boeing Chairman and Chief Executive Officer Jim McNerney. "Our Commercial Airplanes business successfully increased production rates and set an industry record for annual deliveries while also growing its backlog to new highs on record new orders for the year.”
"For 2015, we will continue to build on our commercial airplanes market leadership, strengthening and repositioning our defense, space and security business and working to better meet the needs of our customers by focusing on improving productivity, executing to development plans and delivering our industry-leading portfolio of innovative aerospace products and services," he added.
Boeing expects to deliver 750 to 755 commercial jets this year, up from a record 723 last year.
Stepping up production rates to meet demand, Boeing delivered 195 commercial jets in the fourth quarter, up from 172 a year earlier.
Costs for the 787 rose nearly $1 billion in 2014, to $26.1 billion, which means Boeing is still losing money on each aircraft.