The Boeing Company (NYSE:BA) released the results from its first fiscal quarter, posting adjusted earnings of $1.76 per share—a 14% increase—on revenue of $20.47 billion, an 8% increase. Analysts had been expecting the aircraft maker to report earnings per share of $1.56 on $20.2 billion in revenue.

Boeing 787-9

Reported earnings per share declined to $1.28.

Boeing’s comparables

According to this morning’s earnings release, The Boeing Company (NYSE:BA) saw higher commercial volumes during the first quarter of this year. The company noted that last year’s first quarter included a 19 cent per share benefit from a 2012 research and development tax credit that was recorded in the first quarter of last year.

Non-GAAP core operating earnings rose 12% to $2.1 billion, while the company’s core non-GAAP operating margin rose to 10.2%. The Boeing Company (NYSE:BA)’s GAAP earnings from operations included non-cash charges of $334 million or 29 cents per share for changes to the company’s retirement plans.

Breaking down Boeing’s results

The Boeing Company (NYSE:BA) reported $7.6 billion and a 10.2% operating margin for its Defense, Space & Security division. The company’s Military Aircraft division recorded a decline in revenue to $3.5 billion due to fewer P-8 deliveries a lack of revenue from F-18 development milestones, which Boeing had last year in the quarter.

In Network & Space Systems, The Boeing Company (NYSE:BA) reported $1.9 billion in revenue due to lower satellites volume. The aircraft maker’s Global Services & Support saw an increase in revenue to $2.3 billion as volumes in maintenance, modifications and upgrades rose. The company reported a $66 billion backlog in its Defense, Space & Security division. Of that, 35% includes international orders.

Boeing raises guidance

The Boeing Company (NYSE:BA) also raised guidance for the year, saying it now expects adjusted earnings per share to be between $7.15 and $7.35 a share for the full fiscal year. The previous guidance was between $7 and $7.20 per share. The increase reflects a benefit of a tax settlement which Boeing expects to recognize in the current quarter.

The aircraft maker reaffirmed its GAAP earnings per share guidance of between $6.10 and $6.30 per share, as it expects the benefit from the tax settlement to be offset by changes to its retirement plans. The company guided for $3.2 billion in pension expenses, an increase from $3.1 billion. The company also reaffirmed its previous guidance for revenue, operating cash flow and deliveries.

“Disciplined execution across our production and development programs produced strong first quarter results,” said The Boeing Company (NYSE:BA) Chairman and CEO Jim McNerney in a statement. “We measurably increased revenue, core operating earnings and cash flow, and expanded core operating margins. This financial and operational strength enabled the return of more than $3 billion to shareholders in the quarter through share repurchase and an increased dividend, even as we continued to invest in our future.”