In 2017 Boeing (NYSE:BA) started with strong momentum, seeing heightened aircraft order activity. It ended the year on even stronger, coming back following a lull over the summer. The end result was a spectacular year, as Boeing brought in over 900 orders in 2017.
Boeing’s (NYSE:BA) operational performance was also exceptional in 2017, with free cash flow expected to surge more than 30% compared with the 2016 total of $7.9 billion. The company’s strong order activity puts it in good position to continue delivering steady free cash flow growth for the next few years.
Another stellar end to the year
In recent years, the aircraft industry has routinely made a big push in December to solidify as many orders before the year-end. Boeing didn’t disappoint in 2017. As of Dec. 7, it had 661 net firm orders for the year. Boeing’s year-end total of 912 net orders, suggesting that it finalized 251 orders in the last 24 days of the year.
Across the board improvement.
Boeing’s 2017 order activity fell well short of its order totals from a few years ago. Between 2012 and 2014, Boeing generated 1,330 net orders per year on average.
Boeing posted stronger order activity in all three of its main commercial aircraft programs last year. For the 737 family, it generated 745 net orders, up from 550 in the previous year. For the 787 Dreamliner family, net firm orders jumped to 94, up from 58 in 2016. Lastly, the struggling 777 family made a nice comeback, with 60 net firm orders, compared with just 17 a year earlier.
The Boeing Company (NYSE:BA) is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, and satellites worldwide. The company also provides leasing and product support services. Boeing is among the largest global aircraft manufacturers; it is the second-largest defence contractor in the world based on 2015 revenue, and is the largest exporter in the United States by dollar value. Boeing stock is a component of the Dow Jones Industrial Average.
The Boeing Company’s corporate headquarters are located in Chicago and the company is led by President and CEO Dennis Muilenburg. Boeing is organized into five primary divisions: Boeing Commercial Airplanes (BCA); Boeing Defence, Space & Security (BDS); Engineering, Operations & Technology; Boeing Capital; and Boeing Shared Services Group. In 2016, Boeing recorded $94.6 billion in sales, ranked 24th on the Fortune magazine “Fortune 500” list (2017), ranked 61st on the “Fortune Global 500” list (2017), and ranked 30th on the “World’s Most Admired Companies” list (2017).