On Wednesday, Boeing posted its earnings for the third quarter before the opening bell on Wall Street. Shares of the airplane maker were up over 0.3% during premarket trading.
The defense and aerospace giant posted on Wednesday a drop of 19% in profit for its third quarter compared to last year, as its higher revenue was offset by a higher increase of expenses and costs.
However, both its revenue as well as adjusted earnings were able to beat expectations on Wall Street. Looking forward to its fiscal 2017, Boeing increased its outlook for its earnings and reaffirmed its current revenue forecast, but shares of the company dropped by 1% in premarket trading.
Net earnings at Boeing for the third quarter reached $1.85 billion equal to $3.06 a share, which was down from over $2.28 billion equal to $3.60 a share for the same period one year ago.
However, the aircraft maker’s total revenues during the quarter were up 2% to reach $24.3 billion compared to $23.9 billion for the same period last year. Wall Street was expecting revenues to reach $23.92 billion.
Total expenses and costs increased and ended the quarter at $19.99 billion compared to $19.91 billion during the same period last year.
The revenue in the company’s Commercial Airplanes’ segment during the quarter was down 1% from $15.2 billion in 2016 to $14.99 billion. That reflected the planned rates of production and its delivery mix.
The aerospace giant delivered 202 planes during the three-month period, which was up 7% from one year ago when it delivered 188 during the same three-month period.
Commercial Airplanes signed 177 new net orders during the three months, and it had a backlog that was close to 5,700 airplanes that were valued at over $412 billion.
Its segment of Defense, Space & Security saw revenue for the three months drop 5% from $5.75 billion in 2016 to $5.47 billion.
Looking forward to its fiscal 2017, Boeing increased its outlook on earnings per share to $11.20 to $11.40 from its prior range of between $11.10 and $11.30 a share.
In addition, Boeing increased its core earnings per share outlook to a range of $9.80 to $10.10 from its previous of between $9.80 and $10.00.
Boeing reaffirmed an outlook for its revenue for the full-year of between $90.5 billion and $92.5 billion.
Analysts expected that earnings per share will be $10.04 for its year end with revenue reaching $92.14 billion.