Outlook
Effective in the first quarter of 2019, the Company is making a change to the accounting for military derivative aircraft. Revenues and costs associated with military derivative aircraft were previously reported in the Commercial Airplanes and Defense, Space & Security segments. Beginning in 2019, all revenues and costs associated with military derivative aircraft will be reported in the Defense, Space & Security segment. An additional exhibit is included on page 15 with restated 2018 results adjusted for the change in accounting for military derivative aircraft as well as the realignment of certain programs between Global Services and Defense, Space & Security. The Company has provided this comparable information in the exhibit and below to help investors understand the 2019 financial outlook (Table 8).
|
|
|
|
|
|
Table 8. 2019 Financial Outlook |
|
| Restated |
| As Reported |
(Dollars in Billions, except per share data) | 2019 |
| 2018 Results |
| 2018 Results |
|
|
|
|
|
|
The Boeing Company |
|
|
|
|
|
Revenue | $109.5 - 111.5 |
|
|
|
|
|
|
|
|
|
|
GAAP Earnings Per Share | $21.90 - 22.10 |
|
|
|
|
Core Earnings Per Share* | $19.90 - 20.10 |
|
|
|
|
|
|
|
|
|
|
Operating Cash Flow | $17.0 - $17.5B |
|
|
|
|
|
|
|
|
|
|
Commercial Airplanes |
|
|
|
|
|
Deliveries 1 | 895 - 905 |
|
|
|
|
Revenue | $64.5 - 65.5 |
| $57.5 |
| $60.7 |
Operating Margin | 14.5% - 15.0% |
| 13.6% |
| 13.0% |
|
|
|
|
|
|
Defense, Space & Security |
|
|
|
|
|
Revenue | $26.5 - 27.5 |
| $26.4 |
| $23.2 |
Operating Margin | >11.0% |
| 6.3% |
| 6.9% |
|
|
|
|
|
|
Global Services |
|
|
|
|
|
Revenue | $18.5 - 19.0 |
| $17.1 |
| $17.0 |
Operating Margin | >15.0% |
| 14.9% |
| 14.8% |
|
|
|
|
|
|
Boeing Capital Portfolio Size | Stable |
|
|
|
|
Research & Development | ~$4.1 |
|
|
|
|
Capital Expenditures | ~$2.3 |
|
|
|
|
Pension Expense 2 | ~$0.0 |
|
|
|
|
Effective Tax Rate | ~16% |
|
|
|
|
|
*Non-GAAP measure; complete definitions of Boeing's non-GAAP measures are on page 6, "Non-GAAP Measures Disclosures." |
1 Continues to include intercompany deliveries related to military derivative aircraft |
2 Approximately $1.1 billion of pension expense is expected to be allocated to the business segments |