Boeing Q4 profit up 29% at $1.8 bn, revenue grows 7% to $23.8 bn

The Boeing Company has reported a 7 per cent increase in its fourth quarter 2013 revenues at $23.8 billion while core operating earnings (non-GAAP) for the quarter stood at $1.8 billion, up 29 per cent year-on-year.

Earnings per share for the quarter also rose 29 per cent to $1.88 a share, driven by strong performance across the company's businesses and higher deliveries.

The US aviation giant said the fourth quarter 2013 earnings included a $406 million non-cash charge to settle A-12 litigation dating back to 1991.

For the full year 2013, Boeing's revenues rose 6 per cent to a record $86.6 billion while core operating earnings rose 10 per cent to $7.8 billion.

Core earnings per share for the year increased 20 per cent to a record $7.07.

Boeing expects its 2014 revenue to be between $87.5 and $90.5 billion, including commercial deliveries of between 715 and 725.

Core earnings per share guidance for 2014 is set at between $7.00 and $7.20, while GAAP earnings per share guidance is established at between $6.10 and $6.30.

Boeing delivered 172 planes in the fourth quarter, an increase of 4 per cent from a year earlier. Boeing shipped a record 648 jets last year, beating rival Airbus Group in aircraft shipped for a second consecutive year.

''Strong fourth-quarter results underscored an outstanding full year of core operating performance that drove record revenue and earnings and increased returns to shareholders,'' said Boeing chief executive Jim McNerney.

In its commercial airplanes business, Boeing achieved important development milestones on the 737 MAX and 787-9 and launching the new 787-10 and 777X models with an unprecedented customer response, while its defence, space and security unit overcame a tough operating environment to record expanded revenue, earnings and margins, with commitments to developing and executing the KC-46A tanker and developing and delivering the P-8 maritime aircraft and the Inmarsat-5 satellite, said McNerney.

Boeing's annual report did not cite any problems with its 787 Dreamliner commercial jet, which had to be grounded in 2013 due to battery problems.

"For 2014, we remain focused on maintaining our commercial airplanes market leadership, strengthening and repositioning our defense, space and security business and continuing to meet the needs of our customers by improving productivity, executing to development plans and delivering our unmatched portfolio of innovative aerospace products and services," he added.

Boeing's share price, which increased 81 per cent in 2013, dropped the most in six months on the New York Stock Exchange after discouraging profit forecast for 2014, analysts said.