Boeing second quarter profit higher than expected

Boeing’s second quarter profit was higher than expected. The result follows increases in deliveries of its commercial planes such as the 737 and 787.

AP reports that Boeing's net income for the second quarter rose 13 by per cent to $US1.09 billion. This compares with income of $US967 million for the same period last year. Revenue increased by 9 per cent to $US21.82 billion.

The company is experiencing a boom in orders as Asia and Latin America airlines are expanding considerably and the company is manufacturing 42 of its 737s per month.

In addition, Boeing Chairman and Chief Executive Officer Jim McNerney has indicated to an analyst that the company is moving towards manufacturing 45 a month. In addition, he said there’s pressure to start manufacturing over 10 Boeing 787s a month.

This increase would be despite the fact that earlier this year, the 787 experienced safety issues involving its battery system. As a result, the aircraft was grounded for four months.

The results for the second quarter include costs from pensions. On that basis, analysts surveyed by FactSet had been expecting a profit of $US1.30 per share with revenue of $US20.79 billion.