Commercial Jet Demand Boosts Boeing’s Profits Written 26 April 2018

Reuters reports that The Boeing Company’s profits “surged past Wall Street estimates in the first quarter” amid “booming demand” for commercial jets, causing the company to raise its “forecasts for cash flow and earnings in what promises to be another record year.” Referencing concerns expressed by Caterpillar about rising steel and aluminum costs, Boeing CEO Dennis Muilenburg stated that Boeing is “not seeing anything there (in costs) that’s a material effect right now.” In response to Airbus’ decision to increase production of the A320 jet, Muilenburg indicated that Boeing faced pressure to increase 737 production, but stated that Boeing would be “disciplined” in its production decisions. Boeing has not made a decision regarding its “potential new mid-sized jet, adding that it was taking [a] hard look at the business case.” According to Muilenburg, Boeing sees “that airplane, if we decide to launch, as a 2025 time frame airplane in terms of entry into service.” The development of Boeing’s 777X aircraft is on track for 2020 delivery, and 787 Dreamliner costs are falling, a trend that Muilenburg “expects to remain going forward.” 
More Info (Reuters)