Boeing forecasted an increase in cash flow in 2017 to more than $6.2 billion, at the top end of its expectations from its $4.3 billion at the end of 2014.
The results for Boeing show a strong performance at the end of the year across all its businesses. However, analysts said more strength was seen in defense, where its profit margins had widened. Commercial aircraft margins in contrast narrowed, as Boeing was able to deliver more of its 787 Dreamliners, which are still costly to manufacture.
Despite concerns, Boeing’s solid cash flow for 2015 guidance gives suggestion to confidence on lower unit costs for the 787, said one JPMorgan analyst.
The forecast for cash for 2015 was robust and gives the aircraft maker flexibility to give money back to shareholders, said another industry analyst.
For 2015, the biggest plane maker in the world forecast its core earnings, excluding its pension and other costs, of between $8.21 and $8.40 per shares, which was below the markets estimate that was $8.64. Wall Street expected an outlook of weaker profit due to tax items that helped boosting results in 2014.
Net profit increased to $1.46 billion equal to $2.02 a share during the quarter compared to $1.23 billion equal to $1.60 a share during the same period a one year ago.
Core earnings were up to $2.30 a share from last year’s $1.88 a share. This most recent result beat the $2.11 a share average by Wall Street.
Boeing added orders worth $12 billion to its backlog in production during the quarter, which pushed the backlog from $490 billion to over $502 billion.
Jetliner delivers were up from 648 in 2013 to 723 in 2014 topping those o Airbus its biggest rival.
For 2015, Boeing announced it would deliver between 700 and 755 jetliners.