On the 26th of April, before the opening bell, The Boeing Company (BA) will release its Q1 2017 earnings report. In a previous article, AeroAnalysis had a look at the Q1 deliveries and a quick look at the commercial and military deliveries gave the impression that Boeing will report a lower revenue in its upcoming quarter report.
Revenue estimate
For the first quarter the consensus estimate for the revenues lies on $21.35B with a low estimate of $20.78B and a high estimate of $22.16B.
For the Commercial Airplanes department, AeroAnalysis expects revenues of roughly $14.0B – a 2.6% decline year-over-year. This estimate comes from my proprietary model, which has done a good job estimating the Commercial Airplanes revenues in previous years.
Revenues from the Defense, Space & Security segment have proven to be more difficult to estimate, since it is somewhat harder to estimate the revenues for the Network, Space & Systems segment and the Global Services & Support segment. In recent years, the revenue share of the defense arm has been roughly 30-33%, and last year this share was even 35%. With the lower deliveries in both segments, AeroAnalysis expects that the range will shift towards the 33-35% range. This would imply revenues for the defense arm to come in between $6.9B and $7.55B.
The full article including earnings estimates and per share earnings can be read here.
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AeroAnalysis was founded in June 2015 and commenced operation in July 2015. In 2013 AeroAnalysis started publishing its work on investing research platform SeekingAlpha, primarily covering the aerospace industry from a unique angle, combining knowledge about investing and aerospace products into unique write-ups that spark healthy discussions and give meaningful insight to investors.