10:09 AM, Jan 30, 2019 — Boeing Company (BA) shares rallied on Wednesday as the airplane maker easily beat Wall Street’s expectations with its fourth-quarter results and offered a view for a stronger 2019.
The company said core earnings per share jumped to $5.48 from $5.07 a year earlier, well ahead of the consensus on Capital IQ for $4.55. Revenue climbed 14% to $28.3 billion, also beating analysts’ views for $26.8 billion.
The results were a high for the Chicago-based company, and came amid record commercial deliveries, higher volume in defense and services, and a strong operating performance that outweighed a favorable tax impact in the prior year’s quarter.
Boeing’s shares jumped 4.9% in early trading, adding to an upbeat day for the blue-chip Dow Jones Industrial Average.
Commercial airplane deliveries rose 14% in the quarter to 238, and were up 6% over the full year to 806. Revenue in the segment was up 12% while defense, space and security revenue rose 16% and global services surged 29%.
“Across the enterprise our team delivered strong core operating performance and customer focus, driving record revenues, earnings and cash flow and further extending our global aerospace industry leadership in 2018,” said Dennis Muilenburg, Boeing’s chief executive.
Boeing is expecting 2019 revenue of $109.5 to $111.5 billion, which would be up from 2018’s total revenue of $101.1 billion. Core earnings per share are seen between $19.90 and $20.10, compared with $16.01 in 2018. The company also sees between 895 to 905 commercial airplane deliveries this year.
“Our One Boeing focus, clear strategies for growth, and leading positions in large and growing markets, give us confidence for continued strong performance, revenue expansion and solid execution across all three businesses, which is reflected in our 2019 guidance,” Muilenburg said.
Companies: Boeing Company (The)
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