The Boeing Company (NYSE:BA) has reported a reduced fourth-quarter loss as demand builds across its portfolio and said it is on course to restoring operational and financial strength.
The aerospace giant revealed that revenues jumped 35% to $20 billion for the three months to December 31, lifting total revenue for fiscal 2022 by 7% to $66.6 billion.
Operating cash flow improved to $3.5 billion for the quarter, reflecting higher commercial deliveries and timing of receipts and expenditures, the company said. This helped it generate positive full-year free cash flow for the first time since 2018, which the company's president and CEO Dave Calhoun told employees was an important metric in the company’s recovery.
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Still, it reported a core operating loss of $650 million, down from $4.54 billion in 4Q 2021, while its annual core operating loss widened to $4.69 billion, mainly due to weakness in its defense unit. Its core loss per share for the quarter narrowed to $1.75 from $7.69, while its full-year loss per share widened to $11.06 from $9.44 in 2021.
The company said it also suffered ongoing supply chain disruption.
During the quarter, the company’s Commercial Airplanes division secured net orders for 376 aircraft, including an order from United Airlines for 100 737 MAX and 100 787 airplanes. Commercial Airplanes delivered 152 aircraft during the quarter and the backlog included over 4,500 airplanes valued at $330 billion.
"We had a solid fourth quarter, and 2022 proved to be an important year in our recovery," Boeing president and CEO Dave Calhoun said in a statement. "Demand across our portfolio is strong, and we remain focused on driving stability in our operations and within the supply chain to meet our commitments in 2023 and beyond.
"We are investing in our business, innovating and prioritizing safety, quality and transparency in all that we do. While challenges remain, we are well positioned and are on the right path to restoring our operational and financial strength."
4Q highlights include:
- Generated $3.5 billion of operating cash flow and $3.1 billion of free cash flow (non-GAAP); cash and marketable securities of $17.2 billion;
- Certification efforts continue on 737-7 and 737-10; and
- Delivered 152 commercial airplanes and recorded 376 net orders.
Full-year 2022 highlights include:
- Generated $3.5 billion of operating cash flow and $2.3 billion of free cash flow (non-GAAP);
- Delivered 480 commercial airplanes and recorded 808 net orders; and
- Total company backlog grew to $404 billion; including over 4,500 commercial airplanes.
The company reaffirmed its full-year 2023 guidance of $4.5-$6.5 billion of operating cash flow and $3-$5 billion free cash flow (non-GAAP).
It's shares were 0.2% higher at $211.03 in early afternoon trade in New York.
Contact the author at stephen.gunnion@proactiveinvestors.com