10-KPeriod: FY2009

BOEING CO Annual Report, Year Ended Dec 31, 2009

Filed February 8, 2010For Securities:BABA-PA

Summary

Boeing's 2009 Form 10-K reveals a company navigating a dynamic aerospace landscape. The report details operations across its Commercial Airplanes and Integrated Defense Systems segments, highlighting the ongoing development and delivery of key aircraft programs. Investors should note the company's focus on managing program execution, cost control, and technological innovation as primary drivers of future performance and profitability in a competitive global market. Financial performance in 2009 reflects the cyclical nature of the aerospace industry, influenced by commercial aircraft order backlogs and defense spending priorities. Boeing emphasizes its strong position in both civil and military aviation, supported by a substantial order book. The company's ability to effectively manage its extensive supply chain, technological risks, and regulatory environment will be crucial for sustained shareholder value.

Financial Highlights

55 data points
Beta

Revenue

$68.28B

17.2% Gross Margin

Net Income

$1.31B

1.9% Net Margin

EPS (Diluted)

$1.84

Total Assets

$62.05B

Cash & Equivalents

$9.21B

Free Cash Flow

$4.42B

Financial Statements
Beta
Revenue$68.28B
Cost of Revenue$56.54B
Gross Profit$11.74B
R&D Expenses$6.51B
Operating Income$2.10B
Net Income$1.31B
EPS (Basic)$1.86
EPS (Diluted)$1.84
Shares Outstanding (Basic)709.60M
Shares Outstanding (Diluted)713.40M

Key Highlights

  • 1Boeing operates through two main segments: Commercial Airplanes and Integrated Defense Systems, with significant revenue generated from both.
  • 2The company reported a substantial backlog of commercial aircraft orders, indicating future revenue potential.
  • 3Risk factors include the lengthy and complex development cycles of aircraft, potential program delays, and technological uncertainties.
  • 4Financial performance is subject to global economic conditions, airline profitability, and defense budget allocations.
  • 5The report details efforts in managing operational costs, supply chain complexities, and research and development for new technologies.
  • 6Boeing's legal proceedings and regulatory compliance are significant considerations for operational continuity and financial impact.

Frequently Asked Questions

Boeing's primary business segments were Commercial Airplanes, which designs, manufactures, and markets jet airliners, and Integrated Defense Systems, which provides network-centric solutions and services for defense, intelligence, and homeland security customers.

Key risks highlighted include the inherent complexities and long lead times in aerospace product development, potential production disruptions, reliance on a global supply chain, fluctuations in defense spending, and the impact of global economic conditions on commercial aircraft demand.

Management's Discussion and Analysis (MD&A) section provides insights into revenues, costs, profitability, and liquidity, likely discussing the performance of each segment, the impact of new programs, and the company's strategies for managing financial resources and debt.

The order backlog for Commercial Airplanes represents the value of firm orders for aircraft that have not yet been delivered. A strong backlog is a key indicator of future revenue and provides a degree of visibility into the company's business performance over the medium to long term.