Boeing’s Q4 2024 Earnings Conference Call: Key Insights
On January 28, 2025, at 10:00 AM ET, The Boeing Company (BA) held its Fourth Quarter 2024 Earnings Conference Call. The call was led by Kelly Ortberg, President and CEO, Brian West, EVP and CFO, and Matt Welch, VP of Investor Relations. The participants from the sell-side analyst community included David Strauss from Barclays, Peter Arment from Baird, Sheila Kahyaoglu from Jefferies, Ron Epstein from Bank of America, Myles Walton from Wolf Research, Scott Deuschle from Deutsche Bank, Seth Seifman from JPMorgan, Noah Poponak from Goldman Sachs, Doug Harned from Bernstein, and Jason Gursky from Citi. Gavin Parsons from UBS served as the call operator.
Financial Highlights
Boeing reported revenue of $24.8 billion for the fourth quarter of 2024, a 6% increase compared to the same period last year. The company’s earnings per share came in at $2.35, marking a significant improvement from the $0.80 per share reported in the same quarter of the previous year. The improved financial performance was driven by strong demand for commercial airplanes and defense, space, and security (DS&S) products.
Commercial Airplanes
Boeing’s Commercial Airplanes segment reported revenue of $12.7 billion for the fourth quarter, a 12% increase compared to the same period last year. The segment’s operating margin improved to 11.5%, up from 4.5% in the fourth quarter of 2023. Boeing delivered 166 commercial airplanes in the quarter, a 21% increase compared to the same period last year. The company expects to deliver between 785 and 805 commercial airplanes in 2025.
Defense, Space, and Security
Boeing’s DS&S segment reported revenue of $12.1 billion for the fourth quarter, a 2% increase compared to the same period last year. The segment’s operating margin improved to 9.1%, up from 7.8% in the fourth quarter of 2023. The segment’s performance was driven by strong demand for defense and space programs, including the KC-46 tanker and the Starliner spacecraft.
Impact on Investors
Boeing’s strong fourth-quarter earnings report was well-received by the market. The company’s stock price rose by more than 6% in the days following the earnings release. The improved financial performance and positive outlook for the future bode well for Boeing’s investors.
Impact on the World
Boeing’s strong earnings report is a positive sign for the global aerospace industry. The increased demand for commercial airplanes and defense and space products indicates that the industry is continuing to recover from the pandemic-induced downturn. The continued growth in the industry is expected to create new jobs and drive economic growth in the United States and around the world.
Conclusion
Boeing’s strong fourth-quarter earnings report is a positive sign for the company and its investors. The improved financial performance and positive outlook for the future indicate that Boeing is well-positioned to continue its growth in the aerospace industry. The strong demand for commercial airplanes and defense, space, and security products is a positive sign for the industry as a whole, and is expected to create new jobs and drive economic growth in the United States and around the world.
- Boeing reported strong Q4 2024 earnings with revenue of $24.8 billion and EPS of $2.35
- Commercial Airplanes segment reported revenue of $12.7 billion and an operating margin of 11.5%
- DS&S segment reported revenue of $12.1 billion and an operating margin of 9.1%
- Stock price rose by more than 6% following the earnings release
- Positive sign for the global aerospace industry and expected to drive economic growth
