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The Boeing Company (BA - Free Report) recently reported the delivery figures of its commercial and defense operations for the first quarter of 2022. This reflects an improvement of 23.4% in commercial shipments from the previous year’s tally, while defense shipments indicate an improvement of 5.1% year over year.
Combining both the segments, Boeing’s total deliveries in the fourth quarter were 136 units compared with 119 units delivered in the year-ago period. Strong delivery numbers may boost BA’s top line in the first quarter.
Commercial Deliveries Continue to Remain Strong
Boeing reported the commercial deliveries of 95 airplanes in the first quarter of 2022, which increased from the prior-year tally of 77, primarily driven by solid 737 deliveries.
The shipments of 737 totaled 86 compared with 63 in the year-ago period. Boeing delivered five 767 jets during the quarter on par with the year-ago quarter’s tally. The shipments of the 777 model totaled three compared with six in the previous year’s first quarter. The delivery figure of 747 remained unchanged at one compared with the last year’s figure.
However, the aerospace giant delivered none of its 787 Dreamliner jets in the first quarter of 2022 compared to the two jets it supplied in the prior-year quarter. Production quality issues concerning 787 Dreamliner remain a bottleneck for the company, resulting in a halt of its shipments. This impedes its overall commercial delivery stats to a certain extent.
Tailwinds
The 737 Max fleet continues to witness a northward trend in demand ever since its return to operations after the Federal Aviation Administration nod in November 2020. The significant momentum in demand for 737 jets continues to bolster the commercial delivery numbers of Boeing.
Also, an upswing in air-travel demand due to the ease in domestic and international travel restrictions aided the delivery numbers of BA in the first quarter.
Boeing vs. Airbus
A comparative analysis of Boeing’s archrival Airbus SE’s(EADSY - Free Report) 2022 commercial aircraft indicates that the latter came ahead of Boeing in terms of delivery numbers. Airbus delivered 140 commercial aircraft in the first quarter compared with Boeing’s 136 in the same period.
However, the year-over-year growth rate of both the companies has a different story, with Boeing’s deliveries indicating an improvement of 14.3% and EADSY’s deliveries implying a growth rate of 13%, indicating that the former is in a better growth trajectory.
Defense Deliveries Remain Solid
Boeing reported the defense deliveries of 41 airplanes in the first quarter of 2022, which decreased by one jet from the prior-year tally of 42.
The shipments of AH-64 Apache (remanufactured) deliveries remained flat at 15 compared with the year-ago period’s tally, while the delivery of AH-64 Apache (new) stood at seven compared with nine in the last year’s April quarter. The company delivered four CH-47 Chinook (new) jets during the first quarter compared with three jets shipped in the year-ago quarter.
The shipments of F-15 Models included one jet compared with three in the prior-year quarter, whereas the delivery of the KC-46 Tanker increased by two jets from the previous-year figure to reach a total of four in the first quarter of 2022. The delivery of F/A-18 Models and P-8 Models remained flat at four and three, respectively, compared with units delivered in the year-ago period.
Peer Prospects
Jet makers who are yet to report their delivery numbers are Textron (TXT - Free Report) and Embraer S.A. (ERJ - Free Report) .
In the last reported quarter, Embraer delivered 55 jets comprising 16 commercial and 39 executive (26 light and 13 midsize) jets. The backlog at the end of the fourth quarter was $17 billion for Embraer.
The long-term (three to five years) earnings growth rate for Embraer is pegged at 17%. The Zacks Consensus Estimate for ERJ’s 2022 earnings implies an improvement of 133.3% from the prior-year reported figure. Shares of Embraer have appreciated 1.9% in the past year.
Textron delivered 46 jets in the last reported quarter, down from 61 in the year-ago quarter. Textron also delivered 43 commercial turboprops, down from 61 in the fourth quarter of 2020.
The long-term earnings growth rate for Textron stands at 11.8%. The Zacks Consensus Estimate for TXT’s 2022 earnings indicates growth of 20% from the prior-year reported figure. Textron’s shares have rallied 15.6% in the past year.
Price Performance
Shares of Boeing have rallied 0.4% in the past month compared with the industry’s rise of 1.6%.
Image: Shutterstock
Boeing's (BA) Q1 Airplane Deliveries Increase 14.3% Y/Y
The Boeing Company (BA - Free Report) recently reported the delivery figures of its commercial and defense operations for the first quarter of 2022. This reflects an improvement of 23.4% in commercial shipments from the previous year’s tally, while defense shipments indicate an improvement of 5.1% year over year.
Combining both the segments, Boeing’s total deliveries in the fourth quarter were 136 units compared with 119 units delivered in the year-ago period. Strong delivery numbers may boost BA’s top line in the first quarter.
Commercial Deliveries Continue to Remain Strong
Boeing reported the commercial deliveries of 95 airplanes in the first quarter of 2022, which increased from the prior-year tally of 77, primarily driven by solid 737 deliveries.
The shipments of 737 totaled 86 compared with 63 in the year-ago period. Boeing delivered five 767 jets during the quarter on par with the year-ago quarter’s tally. The shipments of the 777 model totaled three compared with six in the previous year’s first quarter. The delivery figure of 747 remained unchanged at one compared with the last year’s figure.
However, the aerospace giant delivered none of its 787 Dreamliner jets in the first quarter of 2022 compared to the two jets it supplied in the prior-year quarter. Production quality issues concerning 787 Dreamliner remain a bottleneck for the company, resulting in a halt of its shipments. This impedes its overall commercial delivery stats to a certain extent.
Tailwinds
The 737 Max fleet continues to witness a northward trend in demand ever since its return to operations after the Federal Aviation Administration nod in November 2020. The significant momentum in demand for 737 jets continues to bolster the commercial delivery numbers of Boeing.
Also, an upswing in air-travel demand due to the ease in domestic and international travel restrictions aided the delivery numbers of BA in the first quarter.
Boeing vs. Airbus
A comparative analysis of Boeing’s archrival Airbus SE’s(EADSY - Free Report) 2022 commercial aircraft indicates that the latter came ahead of Boeing in terms of delivery numbers. Airbus delivered 140 commercial aircraft in the first quarter compared with Boeing’s 136 in the same period.
However, the year-over-year growth rate of both the companies has a different story, with Boeing’s deliveries indicating an improvement of 14.3% and EADSY’s deliveries implying a growth rate of 13%, indicating that the former is in a better growth trajectory.
Defense Deliveries Remain Solid
Boeing reported the defense deliveries of 41 airplanes in the first quarter of 2022, which decreased by one jet from the prior-year tally of 42.
The shipments of AH-64 Apache (remanufactured) deliveries remained flat at 15 compared with the year-ago period’s tally, while the delivery of AH-64 Apache (new) stood at seven compared with nine in the last year’s April quarter. The company delivered four CH-47 Chinook (new) jets during the first quarter compared with three jets shipped in the year-ago quarter.
The shipments of F-15 Models included one jet compared with three in the prior-year quarter, whereas the delivery of the KC-46 Tanker increased by two jets from the previous-year figure to reach a total of four in the first quarter of 2022. The delivery of F/A-18 Models and P-8 Models remained flat at four and three, respectively, compared with units delivered in the year-ago period.
Peer Prospects
Jet makers who are yet to report their delivery numbers are Textron (TXT - Free Report) and Embraer S.A. (ERJ - Free Report) .
In the last reported quarter, Embraer delivered 55 jets comprising 16 commercial and 39 executive (26 light and 13 midsize) jets. The backlog at the end of the fourth quarter was $17 billion for Embraer.
The long-term (three to five years) earnings growth rate for Embraer is pegged at 17%. The Zacks Consensus Estimate for ERJ’s 2022 earnings implies an improvement of 133.3% from the prior-year reported figure. Shares of Embraer have appreciated 1.9% in the past year.
Textron delivered 46 jets in the last reported quarter, down from 61 in the year-ago quarter. Textron also delivered 43 commercial turboprops, down from 61 in the fourth quarter of 2020.
The long-term earnings growth rate for Textron stands at 11.8%. The Zacks Consensus Estimate for TXT’s 2022 earnings indicates growth of 20% from the prior-year reported figure. Textron’s shares have rallied 15.6% in the past year.
Price Performance
Shares of Boeing have rallied 0.4% in the past month compared with the industry’s rise of 1.6%.
Image Source: Zacks Investment Research
Zacks Rank
The company carries a Zacks Rank #5 (Strong Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.