Boeing Co Smashes Earnings Estimates

Shares of Boeing rose as much as 4% after this morning’s earnings report, climbing as high as $137.80 per share in premarket trading

Boeing released the earnings results from its fourth quarter before opening bell this morning, posting non-GAAP core earnings of $2.31 per share on $24.47 billion in revenue, compared to last year’s revenue of $23.8 billion. Analysts had been expecting the aerospace company to post earnings of $2.11 per share on $23.9 billion in revenue.

In the same quarter last year, Boeing reported earn

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Key metrics from Boeing’s earnings report

Net earnings were $2.02 per share, compared to $1.61 per share in the same quarter a year ago. For the full year, Boeing’s core earnings rose 22% to $8.60 per share, while revenue rose to $90.8 billion. GAAP earnings were $7.38 per share for the full year. Boeing’s backlog hit a new record of $502 billion, including $152 billion in net orders taken through the year, which is another record. Operating cash flow rose to $5 billion for the quarter.

Boeing’s Commercial Airplanes segment saw revenue rise 15% to $16.8 billion in the fourth quarter due to mix and higher deliveries. Revenue from the Defense, Space & Security segment fell to $7.6 billion from $8.6 billion last year. The company cited lower planned F-15 and C-17 deliveries.

“Strong operating performance in the final quarter of 2014 propelled us to some of our best-ever results and sealed a fifth consecutive year of core operating earnings growth,” said Boeing Chairman and CEO Jim McNerney in a statement this morning.

Boeing provides guidance

For this year, Boeing expects to see revenue of between $94.5 billion and $96.5 billion, which is well ahead of the FactSet consensus estimate of $93.25 billion for the full year. The aerospace contractor expects core earnings to be between $8.20 and $8.40 per share for the year, which is weak compared to the consensus estimate of $8.66 per share.

Boeing expects commercial deliveries to be between $750 and 755 for this year and operating cash flow to be more than $9 billion for the year.