Boeing Reports Second Quarter Net Income of $567 Million on 44 Percent Revenue Increase to $17 B
Boeing has reported a second quarter net income of $567 million or $1.00 per share on a 44 percent year-over-year increase in revenue to $17 billion. The company added 180 net orders during the quarter, growing their commercial airplanes backlog to $285 billion.
On Wednesday (July 28, 2021), Boeing reported their second quarter financial results for the period ending June 30, 2021. The company reported a first quarter net income of $567 million or $1.00 per share on a year-over-year revenue increase of 44 percent to $17 billion. During the second quarter, Boeing added 180 net orders, growing the value of their commercial airplanes backlog to $285 billion. The company ended the quarter with cash and marketable securities totaling $21.3 billion, undrawn credit facilities of $14.8 billion, and total consolidated debt of $63.6 billion.
In Wednesday’s announcement, Boeing’s President and Chief Executive Officer, David Calhoun, said,
“We continued to make important progress in the second quarter as we focus on driving stability across our operations and transforming our business for the future. While our commercial market environment is improving, we're closely monitoring COVID-19 case rates, vaccine distribution and global trade as key indicators for our industry's stability. As we continue to position for a robust recovery, we remain committed to safety and quality, while investing in our people, products and technology. I am proud of our team's resilience and commitment as we work to rebuild trust, improve our performance and deliver for our commercial, defense, space and services customers.”
During the second quarter, Boeing Commercial Airplanes secured orders for 200 737s from United Airlines, 34 737s from Southwest Airlines and a total of 31 freighters. Commercial Airplanes delivered 79 aircraft in Q2 and ended the quarter with a backlog of 4,100 airplanes valued at $285 billion. Boeing's total company backlog at June 30, 2021 was $363 billion.
Boeing continues to make progress on the safe global return of the 737 MAX aircraft. Since the FAA’s November 2020 approval for return to service, Boeing has delivered 130 737 MAX aircraft and airlines have returned 190 previously grounded airplanes to service. Currently, 30 airlines are operating the MAX, safely flying nearly 95,000 revenue flights, while accumulating over 218,000 flights hours. Boeing is currently producing 16 737s per month and expects to gradually increase production to 31 per month by early 2022. The company is engaged in discussions with the FAA regarding the verification methodology for the 787. Boeing has identified additional rework on undelivered 787s and will therefore temporarily reduce the production rate to less than five per month. As a result, the company expects to deliver less than half the 787s in inventory this year.
Boeing (NYSE: BA) is the world’s largest aerospace company and leading supplier of commercial airplanes, defense, space and security systems, as well as global services. The aerospace giant tops the list of the largest U.S. exporters, providing a significant positive impact to America’s annual GDP. Boeing supports government and commercial customers in over 150 countries and employs more than 160,000 team members worldwide. As Boeing continues to deliver for customers, they are committed to their legacy of aerospace leadership in technology and innovation and will continue investing in their people for future growth.
In pre-market trading Wednesday morning (July 28, 2021), shares in Boeing (NYSE: BA) were up 5.38% at $234.23/share (8:40 AM EDT)