Boeing 2Q profit declines 21%

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Boeing today posted a 21% drop in net earnings during the second quarter compared to the same period a year ago with fewer airliner deliveries and lower margins in the defence and space market.

The Chicago-based manufacturer gained a $787 million profit on $15.57 billion in sales over the three months ending 30 June. Compared to last year's second quarter results, those figures declined from $998 million and $17.15 billion, respectively.

The Boeing Commercial Airplanes (BCA) division delivered 11 fewer aircraft year-over-year during the quarter. The company blamed "anticipated challenges" with airline seat suppliers and a planned reduction in widebody deliveries.

Boeing has not changed its guidance on 2010 deliveries between 460 and 465 and revenues between $31 billion and $32 billion. But the company has increased guidance on operating margins by a full point to 7.5% to 8.5% due to "strong core operating performance".