Boeing Q2 revenue up 18% on higher deliveries

NYSE-listed Boeing reported an 18 percent increase in second quarter revenue at $19.8 billion and net loss of $149 million compared to a profit of $160 million in Q22022.

"Second quarter results reflect higher commercial volume and lower defence margins. Boeing generated operating cash flow of $2.9 billion and free cash flow of $2.6 billion," says an official release.

Dave Calhoun, President and Chief Executive Officer, Boeing says: "We had a solid second quarter with improved deliveries and strong free cash flow generation. We are well positioned to meet the operational and financial goals we set for this year and for the long term. While we have more work ahead, we are making progress in our recovery and driving stability in our factories and the supply chain to meet our customer commitments. With demand strong, we're steadily increasing our production rates across key programs and growing investments in our people, products and technologies."

Commercial airplanes deliveries increased 12 percent to 136 and revenue was up 41 percent to $8.8 billion, "driven by higher 787 deliveries." Loss from operations increased to $383 million.

"The 737 programme is transitioning production to 38 per month and plans to reach 50 per month in the 2025/2026 timeframe. The programme still expects to deliver 400-450 airplanes this year.

"The 787 programme increased production to four per month with plans to ramp to five per month in late 2023 and 10 per month in the 2025/2026 timeframe. The programme still expects to deliver 70-80 airplanes this year.

"During the quarter, commercial airplanes booked 460 net orders, including 220 for Air India and 39 for Riyadh Air, and secured a commitment from Ryanair for up to 300 737 MAX airplanes. Backlog includes over 4,800 airplanes valued at $363 billion."

Defense, Space & Security
Defense, Space & Security second quarter revenue was $6.2 billion. "Second quarter operating margin was (8.5) percent, primarily driven by losses on certain fixed-price development programmes as well as continued operational impacts of labour instability and supply chain disruption on other programmes.

"During the quarter, Defense, Space & Security completed the U.S. Air Force first flight of the T-7A Red Hawk, began construction on the Advanced Coatings Centre in St. Louis and captured an award from the U.S. Army for 19 CH-47 Chinooks. Backlog at Defense, Space & Security was $58 billion, of which 31 percent represents orders from customers outside the U.S."

H1 revenue up 23%
Boeing recorded a 23 percent increase in revenue at $37.7 billion for the first half of 2023 with net loss declining to $574 million from $1.1 billion in H12022. Commercial airplanes deliveries increased 23 percent to 266 compared to 216 in the first half of 2022.