Summary
Boeing's third-quarter 2012 report shows a significant increase in revenue driven by strong performance in the Commercial Airplanes segment, up 37% year-over-year due to higher new airplane deliveries. This growth contributed to a rise in overall earnings from operations. However, the Defense, Space & Security (BDS) segment experienced mixed results, with overall revenue slightly up year-over-year for the nine-month period but down for the quarter, impacted by declines in the Network & Space Systems division. The company's financial position remains solid, with a substantial contractual backlog of $357.7 billion, indicating a strong future revenue pipeline. Boeing also reported a healthy cash position, though cash used in investing activities increased significantly due to higher investments in commercial airplane program inventory, particularly for the 787 program. The company's liquidity appears adequate, with significant unused borrowing capacity on its credit facilities.
Financial Highlights
52 data points| Revenue | $20.01B |
| Cost of Revenue | $16.80B |
| Gross Profit | $3.21B |
| R&D Expenses | $853.00M |
| Operating Income | $1.56B |
| Net Income | $1.03B |
| EPS (Basic) | $1.36 |
| EPS (Diluted) | $1.35 |
| Shares Outstanding (Basic) | 759.50M |
| Shares Outstanding (Diluted) | 762.80M |
Key Highlights
- 1Total revenues increased by 21% for the nine months and 13% for the three months ended September 30, 2012, compared to the prior year periods.
- 2The Commercial Airplanes segment saw a substantial revenue increase of 37% for the nine months and 28% for the three months, driven by higher new airplane deliveries.
- 3Total contractual backlog reached $357.7 billion, indicating strong future order fulfillment.
- 4Earnings from operations for the nine months increased by $435 million, primarily due to higher Commercial Airplanes earnings and favorable litigation resolution.
- 5The Defense, Space & Security segment's revenues for the nine months increased slightly, but decreased for the three-month period, with mixed performance across its sub-segments.
- 6Cash provided by operating activities significantly increased to $3,341 million for the nine months ended September 30, 2012, up from $1,092 million in the prior year.
- 7Boeing Capital's revenue and earnings decreased year-over-year, largely due to lower lease income and revised contractual terms with certain lessees.