Boeing full-year commercial aircraft earnings soar by 90% to $28.47bn based on record orders

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Boeing’s commercial aircraft division has turned in a one-third rise in full-year operating revenues to $28.47 billion and earnings of $2.7 billion, more than 90% higher than the previous year’s figure.

The US airframer’s Commercial Airplanes unit doubled operating earnings in the fourth quarter to $665 million and posted a 37% rise in revenues, to $7.6 billion, for the three months to 31 December 2006.

Boeing delivered 398 aircraft last year and secured record net orders for 1,044. Its contractual backlog increased by 40% to $174 billion.

“This year was a very good year for Boeing,” says chief executive Jim McNerney. “We achieved new records in revenue, cash flow and backlog, and overcame some meaningful challenges by focusing on improving productivity and meeting our commitments.

“This focus on performance gives us the confidence to set high expectations for 2007 and 2008.”

The airframer expects to deliver 440-445 aircraft during 2007 and generate $32.5-33 billion in revenues, with an operating margin of more than 10%.

Deliveries in 2008 are forecast to rise to 515-520 aircraft, with revenues of $39-40 billion and a margin of 11%, while deliveries in 2009 are expected to exceed the 2008 level.

Boeing as a whole achieved full-year revenues of $61.5 billion during 2006, up by nearly 15%, although net earnings were down by 14% at $2.2 billion.