Boeing (BA) reported second quarter results on Tuesday that beat revenue and cash flow expectations, as rising jet deliveries pushed the planemaker to positive free cash flow, continuing CEO Kelly Ortberg’s turnaround progress.
Boeing reported Q2 revenue of $24.6 billion, up 8% year over year and above the $24.26 billion consensus estimate from Bloomberg
However, Boeing’s adjusted (or core) loss per share came in at $0.76, wider than the $0.28 loss expected. But Boeing posted positive adjusted free cash flow of $631 million versus the negative $331.4 million that analysts expected and the negative $200 million cash flow burn from a year ago. Operating cash flow came in at $1.4 billion, nearly double the $687.7 million consensus and up from just $227 million in the prior-year quarter.
The company cited higher commercial deliveries and favorable working capital timing. Boeing stock was up nearly 2% in premarket trade. “While two quarters don’t make a year, if we work together and stay focused on safety, quality and on-time performance — we’ll improve our competitiveness and set ourselves up for a big second half,” Ortberg said in a memo to employees. Commercial Airplanes revenue rose 8% to $11.8 billion, narrowing its operating margin loss to (2.7)% from (5.1)%.