Boeing has gone some way towards putting the problems of recent years behind it, bouncing back to financial form with a net profit of $2.31 billion for 1999, up 106% on the previous year. Turnover rose by 3% to $58 billion, while operating margins improved from 2.8% to 5.5%.
"Last year was all about performance," says chairman and chief executive Phil Condit, describing 1999 as "pivotal", and adding: "We stated our business goals and we met them." Boeing Commercial Airplane Group, 1998's disaster story, made an operating profit of $2.02 billion, compared with a $266 million loss. Turnover rose 4.1% to $38.4 billion.
Military Aircraft and Missiles, which with Space and Communications rescued Boeing in 1998, saw a 6% fall in turnover to $12.2 billion, with operating profit also dipping, increased F/A-18E/F deliveries having been more than offset by fewer F-15 and C-17 handovers. Space and Communications turnover was static, but profits grew, boosted by asset sales.
Boeing has revised upwards by 10 aircraft its projected airliner output for this year, from 480 to 490 aircraft. The airframer says the increase reflects anticipated improvements in commercial aircraft business.
• AlliedSignal and Honeywell have reported their first post-merger results under their combined "Honeywell" name, with turnover of $23.76 billion, 1% up on 1998's net figure. Its new Aerospace Solutions division had sales of $9.9 billion, with profits slightly up.
United Technologies has also reported, with Pratt & Whitney's operating profit almost halved and sales slightly down, to $7.67 billion, on fewer military and large commercial engine shipments. Its new Flight division had a turnover of $3.81 billion, with last quarter results boosted by the inclusion of Sundstrand, as part of Hamilton Sundstrand, though Sikorsky margins were lower.
Source: Flight International
