Strong travel demand lifts Boeing in first quarter

Strong travel demand lifts Boeing in first quarter

NEW YORK — Rising demand for travel is providing Boeing with a huge tail wind, pushing earnings and revenue beyond Wall Street expectations in the first quarter.

The aircraft maker also boosted its 2018 profit outlook and cited a strong backlog on orders. It expects to increase production of its 767’s over the next within the next two years.

“Our team’s strong first-quarter performance, combined with the positive market outlook across our businesses and our confidence in executing on our production and development programs, gives us a solid foundation to raise our guidance for the year,” said President and CEO Dennis Muilenburg.

Profit rose 57% to $2.48 billion, or $4.15 per share. Per-share earnings, adjusted for non-recurring gains, were $3.64, blowing past analyst projections for $2.59.

Revenue rose 6% to $23.38 billion with the Chicago company making 184 deliveries of commercial aircraft.

The company’s defence segment also gained ground, getting an initial contract from Kuwait for 28 F/A-18’s, among other international contracts.

Looking ahead, Boeing raised its projected 2018 per-share profit range to between $16.40 and $16.60 from $15.90 to $16.10. It still expects revenue between $96 billion and $98 billion.

Shares of Boeing Co. rose 3% in premarket trading.

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