Mar 31, 2020

Boeing Q1 2020 Earnings Report

Boeing's financial results were significantly impacted by COVID-19 and the 737 MAX grounding.

Key Takeaways

Boeing reported a challenging first quarter, with revenue of $16.9 billion, a GAAP loss per share of ($1.11), and a core (non-GAAP) loss per share of ($1.70). The results were primarily impacted by COVID-19 and the 737 MAX grounding. The company's operating cash flow was ($4.3) billion, and it had cash and marketable securities of $15.5 billion. The total backlog was $439 billion, including over 5,000 commercial airplanes.

Revenue was $16.9 billion, reflecting a 26% decrease compared to the previous year.

GAAP loss per share was ($1.11), and core (non-GAAP) loss per share was ($1.70).

Operating cash flow was ($4.3) billion.

Total backlog reached $439 billion.

Total Revenue
$16.9B
Previous year: $22.9B
-26.2%
EPS
-$1.7
Previous year: $3.16
-153.8%
Commercial Airplanes Backlog
$352B
Defense, Space & Security Backlog
$64B
Global Services Backlog
$22.7B
Gross Profit
$140M
Previous year: $4.27B
-96.7%
Cash and Equivalents
$15B
Previous year: $6.84B
+120.0%
Free Cash Flow
-$4.73B
Previous year: $2.29B
-306.8%
Total Assets
$143B
Previous year: $120B
+19.0%

Boeing

Boeing

Boeing Revenue by Segment

Forward Guidance

Boeing faces significant challenges due to COVID-19 and the 737 MAX grounding, impacting airline customer demand, production continuity, and supply chain stability. The company is taking actions to manage liquidity and align the business for the new market reality, including reducing commercial airplane production rates and overall staffing levels.

Positive Outlook

  • Continue to support defense customers in their critical national security missions
  • Progressing toward the safe return to service of the 737 MAX
  • Driving safety, quality and operational excellence into all that we do every day
  • Air travel has always been resilient
  • Portfolio of products and technology is well positioned

Challenges Ahead

  • COVID-19 pandemic is affecting every aspect of the business
  • Significant impact on the demand for new commercial airplanes and services
  • Airlines delaying purchases for new jets
  • Slowing delivery schedules
  • Deferring elective maintenance

Revenue & Expenses

Visualization of income flow from segment revenue to net income