Boeing Co., made an official statement today, posting its second-quarter results, that surpassed analysts expectations. The company, which is currently the largest plane manufacturer in the world, also raised its full-year profit projection.
Boeing Co. made a statement today, saying that it expects its full-year earnings excluding some pension costs to be between 7.90 and 8.10 dollars per share. This forecast is higher than the previous projection made by the company that amounted to a range of 7.15 to 7.35 dollars. The forecast increase reflects 408 million dollars in tax benefits as well as a charge of 272 million dollars tied to the KC-46A Tanker program.
Mr. Jim McNerney, who currently occupies the position of a Chief Executive Officer of the company commented for the Wall Street Journal: “While challenges resolving engineering and systems installation issues on our tanker test aircraft are resulting in higher spending to maintain schedule, the issues are well understood and we remain on path to begin flight testing fully provisioned tankers the first part of next year.”
Besides announcing its full-year profit forecast for 2014, Boeing Co. also revealed its results over the second fiscal quarter. The company said that its net income increased by 52% from 1.09 billion dollars, or 1.41 dollars per share over the same period a year ago, to 1.65 billion dollars, or 2.24 dollars per share over the three months ended June 30th.
Boeing Co. also shared that its core earnings excluding some pension and other expenses increased from 1.67 to 2.42 dollars per share. The company announced a 1% increase in its revenue that amounted to 22.05 billion dollars.
Thanks to the improving financial situation at global airlines and persistently high fuel prices, the passenger jets demand has increased over the last few years. Boeing Co. also benefited from this fact, and managed to deliver a total of 181 jets to its customers from April through June 2014.
Boeing Co. was 1.12% up to close at 129.74 dollars per share yesterday, marking a one-year change of +20.36%. According to the information published on CNN Money, the 23 analysts offering 12-month price forecasts for Boeing Co. have a median target of 157.00, with a high estimate of 175.00 and a low estimate of 127.00. The median estimate represents a +21.01% increase from the last price of 129.74.
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