Boeing’s fourth quarter net income more than doubled to $460m from $186m a year ago, while revenue increased by seven per cent to $14.2bn from $13.3bn.The company's operating margin increased to 3.2 per cent from 0.2.
Within its commercial arm, Boeing’s contractual backlog, buoyed by orders for the newly launched 747-8 program and the 787 Dreamliner, rose 37 per cent for the quarter and 89 per cent for the year to $124bn. For the Dreamliner, 27 customers had booked a total of 379 orders, of which 291 represent firm orders.
Due to strong growth in Aircraft & Weapon Systems and Support Systems, Boeings Integrated Defense Systems (IDS) revenues increased seven per cent to $8.1bn, with operating margins increasing to 11.4 per cent from 8.9 per cent. Furthermore strong performances across a number of key programmes such as the C-17 and F/A-18 ensured that Aircraft & Weapon systems’s revenue increased 18 per cent to $3.1bn.
One anomaly was the performance of is Network Systems, where revised cost and fee estimates resulted in an earnings loss for operations of 40 per cent registering just $165m in revenue in the fourth quarter as opposed to $276m the previous year.
The company’s outlook remains confident, however, with increased R&D spending over the next two years of between $2.6bn and $2.8bn in 2006 and $2.7bn and $2.9bn in 2007. This positive trend continues within its commercial arm, where delivery forecasts for 2006 remain at approximately 395 airplanes - an increase of 35 per cent from 2005. Boeing expects to deliver between 440 and 445 aircraft in 2007.
Study finds adverse impact of bio materials on earthworms
Try to solve one problem and several more occur! Whatever we do harms something somewhere.