Boeing Reports
First-Quarter Results
CHICAGO, April 28, 2021 /PRNewswire/ --
- Continued progress on safe return to service of 737 MAX;
resumed 787 deliveries in late March
- Revenue of $15.2 billion, GAAP
loss per share of ($0.92) and core
(non-GAAP)* loss per share of ($1.53)
- Operating cash flow of ($3.4)
billion; cash and marketable securities of $21.9 billion
- Total backlog grew to $364
billion; Commercial Airplanes added 76 net orders
Table 1. Summary Financial Results |
First
Quarter |
|
|
(Dollars in Millions, except per share
data) |
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
Revenues |
$15,217 |
|
$16,908 |
|
(10)% |
|
|
|
|
|
|
GAAP |
|
|
|
|
|
Loss From Operations |
($83) |
|
($1,353) |
|
NM |
Operating Margin |
(0.5)% |
|
(8.0)% |
|
NM |
Net Loss |
($561) |
|
($641) |
|
NM |
Loss Per Share |
($0.92) |
|
($1.11) |
|
NM |
Operating Cash Flow |
($3,387) |
|
($4,302) |
|
NM |
Non-GAAP* |
|
|
|
|
|
Core Operating Loss |
($353) |
|
($1,700) |
|
NM |
Core Operating Margin |
(2.3)% |
|
(10.1)% |
|
NM |
Core Loss Per Share |
($1.53) |
|
($1.70) |
|
NM |
|
*Non-GAAP measure; complete
definitions of Boeing's non-GAAP measures are on page 6, "Non-GAAP
Measures Disclosures." |
The Boeing Company [NYSE: BA] reported first-quarter revenue of
$15.2 billion, primarily driven
by lower 787 deliveries and commercial services volume, partially
offset by higher 737 deliveries and higher KC-46A Tanker revenue
(Table 1). GAAP loss per share of ($0.92) and core loss per share (non-GAAP)* of
($1.53) reflect year-over-year KC-46A
Tanker improvement, higher 737 deliveries, and lower commercial
airplanes period costs, partially offset by lower tax benefits and
higher interest expense. Boeing recorded operating cash flow of
($3.4) billion.
"I am proud of the progress our global team made across our
business in the first quarter as we continued to transform our
enterprise, strengthen our safety processes, and sustain critical
investments for our future," said Boeing President and Chief
Executive Officer Dave Calhoun.
"While the global pandemic continues to challenge the overall
market environment, we view 2021 as a key inflection point for our
industry as vaccine distribution accelerates and we work together
across government and industry to help enable a robust recovery.
Our balanced commercial, defense, space and services portfolio
continues to provide critical stability for our business – and we
remain focused on safety, quality and integrity as we deliver on
our customer commitments."
Table 2. Cash Flow |
First
Quarter |
(Millions) |
2021 |
|
2020 |
Operating Cash Flow |
($3,387) |
|
($4,302) |
Less Additions to Property, Plant &
Equipment |
($291) |
|
($428) |
Free Cash Flow* |
($3,678) |
|
($4,730) |
|
*Non-GAAP measure; complete
definitions of Boeing's non-GAAP measures are on page 6, "Non-GAAP
Measures Disclosures." |
Operating cash flow improved to ($3.4)
billion in the quarter, reflecting timing of receipts
and expenditures and higher 737 deliveries, partially offset by
lower 787 deliveries and lower advance payments (Table 2).
Table 3. Cash, Marketable Securities and Debt
Balances |
Quarter-End |
(Billions) |
Q1 21 |
|
Q4 20 |
Cash |
$7.0 |
|
$7.8 |
Marketable Securities1 |
$14.9 |
|
$17.8 |
Total |
$21.9 |
|
$25.6 |
Debt Balances: |
|
|
|
The Boeing Company, net of intercompany loans to
BCC |
$62.0 |
|
$62.0 |
Boeing Capital, including intercompany loans |
$1.6 |
|
$1.6 |
Total Consolidated Debt |
$63.6 |
|
$63.6 |
|
1 Marketable
securities consists primarily of time deposits due within one year
classified as "short-term investments." |
Cash and investments in marketable securities decreased to
$21.9 billion, compared to
$25.6 billion at the beginning of the
quarter, primarily driven by operating cash outflows (Table
3). The company refinanced $9.8
billion of debt in the quarter. Additionally, the company
increased its revolving credit facilities by $5.3 billion to a total of $14.8 billion, which remain undrawn.
Total company backlog at quarter-end was $364 billion.
Segment Results
Commercial Airplanes
Table 4. Commercial Airplanes |
First
Quarter |
|
|
(Dollars in Millions) |
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
Commercial Airplanes Deliveries |
77 |
|
50 |
|
54% |
|
|
|
|
|
|
Revenues |
$4,269 |
|
$6,205 |
|
(31)% |
Loss from Operations |
($856) |
|
($2,068) |
|
NM |
Operating Margin |
(20.1)% |
|
(33.3)% |
|
NM |
Commercial Airplanes first-quarter revenue decreased to
$4.3 billion, driven by lower
787 deliveries, partially offset by higher 737 deliveries (Table
4). First-quarter operating margin improved to (20.1) percent,
primarily due to higher 737 deliveries and lower period costs.
Boeing is continuing to make progress on the safe return to
service of the 737 MAX worldwide. In addition, we are working
closely with the FAA and our customers to address electrical issues
identified in certain locations in the flight deck of select 737
MAX airplanes. Since the FAA's approval to return the 737 MAX to
operations in November 2020, Boeing
has delivered more than 85 737 MAX aircraft and 21 airlines have
returned their fleets to service, safely flying more than 26,000
revenue flights totaling over 58,500 flight hours (as of
April 26, 2021). The 737 program is
currently producing at a low rate and continues to expect to
gradually increase production to 31 per month in early 2022 with
further gradual increases to correspond with market demand. The
company will continue to assess the production rate plan as it
monitors the market environment and engages in customer
discussions.
The company also resumed 787 deliveries in late March, following
comprehensive reviews to ensure each airplane meets the company's
highest standards. During the quarter, the 787 program consolidated
final assembly to Boeing South Carolina and transitioned to the
previously announced production rate of 5 aircraft per month.
Commercial Airplanes continues to work closely with global
regulators on all aspects of 777X development, including its
rigorous test program, and the company still expects to deliver the
first 777X in late 2023. As previously announced, the combined
777/777X production rate is transitioning to 2 aircraft per
month.
Commercial Airplanes secured orders for 100 737 aircraft from
Southwest Airlines, 25 737 aircraft from United Airlines, 23 737
aircraft from Alaska Airlines, and four 747 freighter aircraft from
Atlas Air. Commercial Airplanes delivered 77 airplanes during the
quarter and backlog included over 4,000 airplanes valued at
$283 billion.
Defense, Space & Security
Table 5. Defense, Space & Security |
First
Quarter |
|
|
(Dollars in Millions) |
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
Revenues |
$7,185 |
|
$6,042 |
|
19% |
Earnings from Operations |
$405 |
|
($191) |
|
NM |
Operating Margin |
5.6% |
|
(3.2)% |
|
NM |
Defense, Space & Security first-quarter revenue increased to
$7.2 billion and first-quarter
operating margin increased to 5.6 percent, primarily reflecting
higher KC-46A Tanker revenue due to orders for 27 aircraft and the
absence of charges related to the program, partially offset by a
pre-tax charge of $318 million on the
VC-25B program largely due to COVID-19 impacts and performance
issues at a key supplier.
During the quarter, Defense, Space & Security was awarded
Lots 6 and 7 contracts for 27 KC-46A Tanker aircraft for the U.S.
Air Force, a contract for 11 P-8A Poseidon aircraft for the U.S.
Navy and the Royal Australian Air Force, and contracts for six Bell
Boeing V-22 Osprey rotorcraft for the U.S. Navy and the U.S. Air
Force. Defense, Space & Security completed first flight and
delivery of the F-15EX for the U.S. Air Force, successfully
conducted the Space Launch System Green Run hot fire test, and
began production of the T-7A Red Hawk Advanced Trainer. Other
highlights for the quarter include first flight of the uncrewed
Loyal Wingman aircraft for the Royal Australian Air Force and the
first flight of the Japan KC-46 Tanker aircraft.
Backlog at Defense, Space & Security was $61 billion, of which 31 percent represents
orders from customers outside the U.S.
Global Services
Table 6. Global Services |
First
Quarter |
|
|
(Dollars in Millions) |
2021 |
|
2020 |
|
Change |
|
|
|
|
|
|
Revenues |
$3,749 |
|
$4,628 |
|
(19)% |
Earnings from Operations |
$441 |
|
$708 |
|
(38)% |
Operating Margin |
11.8% |
|
15.3% |
|
(3.5) Pts |
Global Services first-quarter revenue decreased to $3.7 billion and first-quarter operating margin
decreased to 11.8 percent primarily driven by lower commercial
services volume due to COVID-19.
During the quarter, Global Services was awarded a ground support
equipment and logistics contract for the Royal Moroccan Air Force,
as well as a contract for F/A-18 and AV-8B avionics equipment
repair for the U.S. Navy. Global Services also delivered the
50th 737-800 Boeing Converted Freighter and inducted the
EA-18G Growler for the U.S. Navy Modification Program.
Additional Financial Information
Table 7. Additional Financial
Information |
First
Quarter |
(Dollars in Millions) |
2021 |
|
2020 |
Revenues |
|
|
|
Boeing Capital |
$60 |
|
$65 |
Unallocated items, eliminations and other |
($46) |
|
($32) |
(Loss)/Earnings from Operations |
|
|
|
Boeing Capital |
$21 |
|
$24 |
FAS/CAS service cost adjustment |
$270 |
|
$347 |
Other unallocated items and eliminations |
($364) |
|
($173) |
Other income, net |
$190 |
|
$112 |
Interest and debt expense |
($679) |
|
($262) |
Effective tax rate |
1.9% |
|
57.4% |
At quarter-end, Boeing Capital's net portfolio balance was
$1.9 billion. The change in loss from
other unallocated items and eliminations was primarily due to
increased deferred compensation and share-based plan expense as
compared to the first quarter 2020. Interest and debt expense
increased due to higher debt balances. The first quarter 2021
effective tax rate primarily reflects a benefit from the impact of
pre-tax losses largely offset by adjustments to the valuation
allowance and true-ups to tax benefits previously recorded in
2020.
Non-GAAP Measures Disclosures
We supplement the reporting of our financial information
determined under Generally Accepted Accounting Principles in
the United States of America
(GAAP) with certain non-GAAP financial information. The non-GAAP
financial information presented excludes certain significant items
that may not be indicative of, or are unrelated to, results from
our ongoing business operations. We believe that these non-GAAP
measures provide investors with additional insight into the
company's ongoing business performance. These non-GAAP measures
should not be considered in isolation or as a substitute for the
related GAAP measures, and other companies may define such measures
differently. We encourage investors to review our financial
statements and publicly-filed reports in their entirety and not to
rely on any single financial measure. The following definitions are
provided:
Core Operating Earnings, Core Operating Margin and Core Earnings
Per Share
Core operating earnings is defined as GAAP earnings from
operations excluding the FAS/CAS service cost
adjustment. The FAS/CAS service cost
adjustment represents the difference between the
Financial Accounting Standards (FAS) pension and postretirement
service costs calculated under GAAP and costs allocated to the
business segments. Core operating margin is defined as core
operating earnings expressed as a percentage of revenue. Core
earnings per share is defined as GAAP diluted earnings per
share excluding the net earnings per share impact of
the FAS/CAS service cost adjustment
and Non-operating pension and postretirement expenses.
Non-operating pension and postretirement expenses represent the
components of net periodic benefit costs other than service cost.
Pension costs, comprising service and prior service costs computed
in accordance with GAAP are allocated to Commercial Airplanes and
BGS businesses supporting commercial customers. Pension costs
allocated to BDS and BGS businesses supporting government customers
are computed in accordance with U.S. Government Cost Accounting
Standards (CAS), which employ different actuarial assumptions and
accounting conventions than GAAP. CAS costs are allocable to
government contracts. Other postretirement benefit costs are
allocated to all business segments based on CAS, which is generally
based on benefits paid. Management uses core operating earnings,
core operating margin and core earnings per share for purposes of
evaluating and forecasting underlying business performance.
Management believes these core earnings measures provide investors
additional insights into operational performance as they exclude
non-service pension and post-retirement costs, which primarily
represent costs driven by market factors and costs not allocable to
government contracts. A reconciliation between the GAAP and
non-GAAP measures is provided on page 13.
Free Cash Flow
Free cash flow is GAAP operating cash
flow reduced by capital expenditures for property,
plant and equipment. Management believes free cash flow
provides investors with an important perspective on the cash
available for shareholders, debt repayment, and acquisitions after
making the capital investments required to support ongoing business
operations and long term value creation. Free cash flow does not
represent the residual cash flow available for discretionary
expenditures as it excludes certain mandatory expenditures such as
repayment of maturing debt. Management uses free cash flow as a
measure to assess both business performance and overall liquidity.
Table 2 provides a reconciliation of free cash flow to GAAP
operating cash flow.
Caution Concerning
Forward-Looking Statements
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of
1995. Words such as "may," "should," "expects," "intends,"
"projects," "plans," "believes," "estimates," "targets,"
"anticipates," and similar expressions generally identify these
forward-looking statements. Examples of forward-looking statements
include statements relating to our future financial condition and
operating results, as well as any other statement that does not
directly relate to any historical or current fact. Forward-looking
statements are based on expectations and assumptions that we
believe to be reasonable when made, but that may not prove to be
accurate. These statements are not guarantees and are subject to
risks, uncertainties, and changes in circumstances that are
difficult to predict. Many factors could cause actual results to
differ materially and adversely from these forward-looking
statements. Among these factors are risks related to: (1) the
COVID-19 pandemic and related industry impacts, including with
respect to our operations, our liquidity, the health of our
customers and suppliers, and future demand for our products and
services; (2) the 737 MAX, including the timing and conditions of
remaining 737 MAX regulatory approvals, lower than planned
production rates and/or delivery rates, and increased
considerations to customers and suppliers; (3) general conditions
in the economy and our industry, including those due to regulatory
changes; (4) our reliance on our commercial airline customers; (5)
the overall health of our aircraft production system, planned
commercial aircraft production rate changes, our commercial
development and derivative aircraft programs, and our aircraft
being subject to stringent performance and reliability standards;
(6) changing budget and appropriation levels and acquisition
priorities of the U.S. government; (7) our dependence on U.S.
government contracts; (8) our reliance on fixed-price contracts;
(9) our reliance on cost-type contracts; (10) uncertainties
concerning contracts that include in-orbit incentive payments; (11)
our dependence on our subcontractors and suppliers, as well as the
availability of raw materials; (12) changes in accounting
estimates; (13) changes in the competitive landscape in our
markets; (14) our non-U.S. operations, including sales to non-U.S.
customers; (15) threats to the security of our or our customers'
information; (16) potential adverse developments in new or pending
litigation and/or government investigations; (17) customer and
aircraft concentration in our customer financing portfolio; (18)
changes in our ability to obtain debt financing on commercially
reasonable terms and at competitive rates; (19) realizing the
anticipated benefits of mergers, acquisitions, joint
ventures/strategic alliances or divestitures; (20) the adequacy of
our insurance coverage to cover significant risk exposures; (21)
potential business disruptions, including those related to physical
security threats, information technology or cyber-attacks,
epidemics, sanctions or natural disasters; (22) work stoppages or
other labor disruptions; (23) substantial pension and other
postretirement benefit obligations; and (24) potential
environmental liabilities.
Additional information concerning these and other factors can be
found in our filings with the Securities and Exchange Commission,
including our most recent Annual Report on Form 10-K, Quarterly
Reports on Form 10-Q and Current Reports on Form 8-K. Any
forward-looking statement speaks only as of the date on which it is
made, and we assume no obligation to update or revise any
forward-looking statement, whether as a result of new information,
future events, or otherwise, except as required by law.
Contact: |
|
|
|
|
|
Investor Relations: |
|
Maurita Sutedja or Keely Moos (312) 544-2140 |
Communications: |
|
Michael Friedman media@boeing.com |
The Boeing Company
and Subsidiaries |
Consolidated
Statements of Operations |
(Unaudited) |
|
|
Three months
ended
March 31 |
(Dollars in millions, except per share
data) |
2021 |
|
2020 |
Sales of products |
$12,518 |
|
$14,191 |
Sales of services |
2,699 |
|
2,717 |
Total revenues |
15,217 |
|
16,908 |
|
|
|
|
Cost of products |
(11,632) |
|
(14,713) |
Cost of services |
(2,167) |
|
(2,043) |
Boeing Capital interest expense |
(9) |
|
(12) |
Total costs and expenses |
(13,808) |
|
(16,768) |
|
1,409 |
|
140 |
Income/(loss) from operating investments, net |
37 |
|
(2) |
General and administrative expense |
(1,032) |
|
(873) |
Research and development expense, net |
(499) |
|
(672) |
Gain on dispositions, net |
2 |
|
54 |
Loss from operations |
(83) |
|
(1,353) |
Other income, net |
190 |
|
112 |
Interest and debt expense |
(679) |
|
(262) |
Loss before income taxes |
(572) |
|
(1,503) |
Income tax benefit |
11 |
|
862 |
Net loss |
(561) |
|
(641) |
Less: net loss attributable to noncontrolling
interest |
(24) |
|
(13) |
Net loss attributable to Boeing
Shareholders |
($537) |
|
($628) |
|
|
|
|
Basic loss per share |
($0.92) |
|
($1.11) |
|
|
|
|
Diluted loss per share |
($0.92) |
|
($1.11) |
|
|
|
|
Weighted average diluted shares
(millions) |
585.4 |
|
565.9 |
The Boeing Company
and Subsidiaries |
Consolidated
Statements of Financial Position |
(Unaudited) |
|
(Dollars in millions, except per share
data) |
March 31
2021 |
|
December 31
2020 |
Assets |
|
|
|
Cash and cash equivalents |
$7,059 |
|
$7,752 |
Short-term and other investments |
14,861 |
|
17,838 |
Accounts receivable, net |
2,356 |
|
1,955 |
Unbilled receivables, net |
8,785 |
|
7,995 |
Current portion of customer financing, net |
93 |
|
101 |
Inventories |
82,668 |
|
81,715 |
Other current assets, net |
4,123 |
|
4,286 |
Total current assets |
119,945 |
|
121,642 |
Customer financing, net |
1,895 |
|
1,936 |
Property, plant and equipment, net of accumulated
depreciation of $20,792 and $20,507 |
11,643 |
|
11,820 |
Goodwill |
8,074 |
|
8,081 |
Acquired intangible assets, net |
2,773 |
|
2,843 |
Deferred income taxes |
79 |
|
86 |
Investments |
980 |
|
1,016 |
Other assets, net of accumulated amortization of
of $917 and $729 |
4,646 |
|
4,712 |
Total assets |
$150,035 |
|
$152,136 |
Liabilities and equity |
|
|
|
Accounts payable |
$12,410 |
|
$12,928 |
Accrued liabilities |
20,553 |
|
22,171 |
Advances and progress billings |
50,908 |
|
50,488 |
Short-term debt and current portion of long-term
debt |
6,021 |
|
1,693 |
Total current liabilities |
89,892 |
|
87,280 |
Deferred income taxes |
908 |
|
1,010 |
Accrued retiree health care |
4,077 |
|
4,137 |
Accrued pension plan liability, net |
13,968 |
|
14,408 |
Other long-term liabilities |
1,477 |
|
1,486 |
Long-term debt |
57,554 |
|
61,890 |
Total liabilities |
167,876 |
|
170,211 |
Shareholders' equity: |
|
|
|
Common stock, par value $5.00 – 1,200,000,000
shares authorized; 1,012,261,159 shares issued |
5,061 |
|
5,061 |
Additional paid-in capital |
8,155 |
|
7,787 |
Treasury stock, at cost - 427,806,081 and
429,941,021 shares |
(52,395) |
|
(52,641) |
Retained earnings |
38,073 |
|
38,610 |
Accumulated other comprehensive loss |
(16,952) |
|
(17,133) |
Total shareholders' deficit |
(18,058) |
|
(18,316) |
Noncontrolling interests |
217 |
|
241 |
Total equity |
(17,841) |
|
(18,075) |
Total liabilities and equity |
$150,035 |
|
$152,136 |
The Boeing Company
and Subsidiaries |
Consolidated
Statements of Cash Flows |
(Unaudited) |
|
|
Three months
ended
March 31 |
(Dollars in millions) |
2021 |
|
2020 |
Cash flows – operating
activities: |
|
|
|
Net loss |
($561) |
|
($641) |
Adjustments to reconcile net loss to net cash
(used)/provided by operating activities: |
|
|
|
Non-cash items – |
|
|
|
Share-based plans expense |
321 |
|
55 |
Treasury shares issued for 401(k)
contribution |
306 |
|
|
Depreciation and amortization |
536 |
|
556 |
Investment/asset impairment charges, net |
16 |
|
26 |
Gain on dispositions, net |
(2) |
|
(54) |
Other charges and credits, net |
35 |
|
97 |
Changes in assets and liabilities – |
|
|
|
Accounts receivable |
(394) |
|
(54) |
Unbilled receivables |
(790) |
|
(402) |
Advances and progress billings |
421 |
|
1,337 |
Inventories |
(680) |
|
(2,973) |
Other current assets |
153 |
|
328 |
Accounts payable |
(819) |
|
(1,030) |
Accrued liabilities |
(1,615) |
|
(583) |
Income taxes receivable, payable and deferred |
(34) |
|
(892) |
Other long-term liabilities |
(84) |
|
(69) |
Pension and other postretirement plans |
(265) |
|
(179) |
Customer financing, net |
46 |
|
23 |
Other |
23 |
|
153 |
Net cash used by operating
activities |
(3,387) |
|
(4,302) |
Cash flows – investing activities: |
|
|
|
Property, plant and equipment additions |
(291) |
|
(428) |
Property, plant and equipment reductions |
2 |
|
58 |
Contributions to investments |
(9,688) |
|
(244) |
Proceeds from investments |
12,738 |
|
227 |
Other |
3 |
|
8 |
Net cash provided/(used) by investing
activities |
2,764 |
|
(379) |
Cash flows – financing activities: |
|
|
|
New borrowings |
9,814 |
|
17,433 |
Debt repayments |
(9,847) |
|
(5,854) |
Stock options exercised |
23 |
|
21 |
Employee taxes on certain share-based payment
arrangements |
(38) |
|
(162) |
Dividends paid |
|
|
(1,158) |
Net cash (used)/provided by financing
activities |
(48) |
|
10,280 |
Effect of exchange rate changes on cash and cash
equivalents, including restricted |
(18) |
|
(47) |
Net (decrease)/increase in cash & cash
equivalents, including restricted |
(689) |
|
5,552 |
Cash & cash equivalents, including restricted,
at beginning of year |
7,835 |
|
9,571 |
Cash & cash equivalents, including
restricted, at end of period |
7,146 |
|
15,123 |
Less restricted cash & cash equivalents,
included in Investments |
87 |
|
84 |
Cash and cash equivalents at end of
period |
$7,059 |
|
$15,039 |
The Boeing Company
and Subsidiaries |
Summary of Business
Segment Data |
(Unaudited) |
|
|
Three months
ended
March 31 |
(Dollars in millions) |
2021 |
|
2020 |
Revenues: |
|
|
|
Commercial Airplanes |
$4,269 |
|
$6,205 |
Defense, Space & Security |
7,185 |
|
6,042 |
Global Services |
3,749 |
|
4,628 |
Boeing Capital |
60 |
|
65 |
Unallocated items, eliminations and other |
(46) |
|
(32) |
Total revenues |
$15,217 |
|
$16,908 |
Loss from operations: |
|
|
|
Commercial Airplanes |
($856) |
|
($2,068) |
Defense, Space & Security |
405 |
|
(191) |
Global Services |
441 |
|
708 |
Boeing Capital |
21 |
|
24 |
Segment operating earnings/(loss) |
11 |
|
(1,527) |
Unallocated items, eliminations and other |
(364) |
|
(173) |
FAS/CAS service cost adjustment |
270 |
|
347 |
Loss from operations |
(83) |
|
(1,353) |
Other income, net |
190 |
|
112 |
Interest and debt expense |
(679) |
|
(262) |
Loss before income taxes |
(572) |
|
(1,503) |
Income tax benefit |
11 |
|
862 |
Net loss |
(561) |
|
(641) |
Less: Net loss attributable to noncontrolling
interest |
(24) |
|
(13) |
Net loss attributable to Boeing
Shareholders |
($537) |
|
($628) |
Research and development expense, net: |
|
|
|
Commercial Airplanes |
$269 |
|
$425 |
Defense, Space & Security |
163 |
|
163 |
Global Services |
25 |
|
30 |
Other |
42 |
|
54 |
Total research and development expense,
net |
$499 |
|
$672 |
Unallocated items, eliminations and
other: |
|
|
|
Share-based plans |
($128) |
|
($18) |
Deferred compensation |
(52) |
|
193 |
Amortization of previously capitalized
interest |
(22) |
|
(23) |
Research and development expense, net |
(42) |
|
(54) |
Eliminations and other unallocated items |
(120) |
|
(271) |
Sub-total (included in core operating
loss) |
(364) |
|
(173) |
Pension FAS/CAS service cost adjustment |
193 |
|
255 |
Postretirement FAS/CAS service cost
adjustment |
77 |
|
92 |
FAS/CAS service cost adjustment |
$270 |
|
$347 |
Total |
($94) |
|
$174 |
The Boeing Company
and Subsidiaries |
Operating and
Financial Data |
(Unaudited) |
|
Deliveries |
Three months
ended
March 31 |
|
Commercial Airplanes |
2021 |
|
|
2020 |
|
|
737 |
63 |
|
|
5 |
|
|
747 |
1 |
|
|
— |
|
|
767 |
5 |
|
|
10 |
|
|
777 |
6 |
|
|
6 |
|
|
787 |
2 |
|
|
29 |
|
|
Total |
77 |
|
|
50 |
|
Note: Aircraft accounted for as
revenues by BCA and as operating leases in consolidation identified
by parentheses |
|
|
|
|
|
|
Defense, Space & Security |
|
|
|
|
|
AH-64 Apache (New) |
9 |
|
|
2 |
|
|
AH-64 Apache (Remanufactured) |
15 |
|
|
14 |
|
|
CH-47 Chinook (New) |
3 |
|
|
9 |
|
|
CH-47 Chinook (Renewed) |
3 |
|
|
1 |
|
|
F-15 Models |
3 |
|
|
— |
|
|
F/A-18 Models |
4 |
|
|
5 |
|
|
KC-46A Tanker |
2 |
|
|
5 |
|
|
P-8 Models |
3 |
|
|
3 |
|
Total backlog (Dollars
in millions) |
March 31
2021 |
|
December 31
2020 |
Commercial Airplanes |
$282,621 |
|
$281,588 |
Defense, Space & Security |
61,269 |
|
60,847 |
Global Services |
19,614 |
|
20,632 |
Unallocated items, eliminations and
other |
349 |
|
337 |
Total backlog |
$363,853 |
|
$363,404 |
|
|
|
|
|
Contractual backlog |
$341,692 |
|
$339,309 |
Unobligated backlog |
22,161 |
|
24,095 |
Total backlog |
$363,853 |
|
$363,404 |
The Boeing Company and
Subsidiaries
Reconciliation of Non-GAAP Measures
(Unaudited)
The tables provided below reconcile the non-GAAP financial
measures core operating loss, core operating margin, and core loss
per share with the most directly comparable GAAP financial
measures, loss from operations, operating margin, and diluted loss
per share. See page 6 of this release for additional information on
the use of these non-GAAP financial measures.
(Dollars in millions, except per share
data) |
First Quarter
2021 |
|
First Quarter 2020 |
|
$ millions |
Per Share |
|
$ millions |
Per Share |
Revenues |
15,217 |
|
|
16,908 |
|
Loss from operations (GAAP) |
(83) |
|
|
(1,353) |
|
Operating margin (GAAP) |
(0.5)% |
|
|
(8.0)% |
|
|
|
|
|
|
|
FAS/CAS service cost adjustment: |
|
|
|
|
|
Pension FAS/CAS service cost adjustment |
(193) |
|
|
(255) |
|
Postretirement FAS/CAS service cost
adjustment |
(77) |
|
|
(92) |
|
FAS/CAS service cost adjustment |
(270) |
|
|
(347) |
|
Core operating loss (non-GAAP) |
($353) |
|
|
($1,700) |
|
Core operating margin (non-GAAP) |
(2.3)% |
|
|
(10.1)% |
|
|
|
|
|
|
|
Diluted loss per share (GAAP) |
|
($0.92) |
|
|
($1.11) |
Pension FAS/CAS service cost adjustment |
($193) |
(0.33) |
|
($255) |
(0.45) |
Postretirement FAS/CAS service cost
adjustment |
(77) |
(0.13) |
|
(92) |
(0.16) |
Non-operating pension expense |
(177) |
(0.30) |
|
(87) |
(0.16) |
Non-operating postretirement expense |
(5) |
(0.01) |
|
13 |
0.02 |
Provision for deferred income taxes on
adjustments 1 |
95 |
0.16 |
|
88 |
0.16 |
Subtotal of adjustments |
($357) |
($0.61) |
|
($333) |
($0.59) |
Core loss per share (non-GAAP) |
|
($1.53) |
|
|
($1.70) |
|
|
|
|
|
|
Weighted average diluted shares (in
millions) |
|
585.4 |
|
|
565.9 |
|
1 The income tax impact is
calculated using the U.S. corporate statutory tax rate. |
|
|
|
|
|
|
|