Boeing’s increased rate of commercial jet manufacturing is starting to pay off for shareholders.
In the first three months of this year, 161 new airplanes rolled off the company’s assembly lines — more jets than the same period last year. That increased rate contributed to a $965 million profit for Chicago-based Boeing Co. post in the first quarter.
The net income was actually down 12.7 percent from last year’s $1.1 billion first quarter profit, but that is because Boeing took a $330 million accounting write-off related to changes in its retirement plans. The company also noted that its 2013 earnings were inflated by a one-time research and development tax credit.
Net income per share dropped to $1.28 per share from $1.44 during last year’s first quarter. But adjusted to exclude the write-off, earnings were $1.76 per share, beating the estimate of $1.56 per share from Wall Street analysts surveyed by FactSet. Shares rose $2.38, or 1.9 percent, to $129.93 in midday trading.
The company reported $20.47 billion in revenue, more than the $20.15 billion expected by Wall Street.
— The Associated Press