Boeing Defense, General Dynamics post Q1 gains

Revenue at Boeing’s Defense, Space & Security (BDS) business jumped 19% to USD7.2 billion in the first quarter of 2021 driven by US Air Force orders for KC-46A tanker aircraft, the US-based parent company announced on 28 April.

Boeing is based in Chicago, Illinois. (Boeing)

BDS’s earnings from operations totalled USD405 million, compared with a USD191 million loss in the same period last year. The improvement occurred despite a USD318 million pre-tax charge that Boeing took on the VC-25B Air Force One presidential airplane programme due to Covid-19-related delays and supplier performance problems.

Boeing’s overall revenue declined 10% to USD15.2 billion due to the pandemic’s continued effect on commercial aviation. The company sustained a net loss of USD561 million in the first quarter, compared with a net loss of USD641 million in the same period the previous year.

Meanwhile, General Dynamics has reported a 7.3% increase in sales to USD9.4 billion in the first quarter of 2021, with gains in all four business segments, the US defence contractor announced on 28 April.

Revenue grew 11.6% at Aerospace, 10.6% at Marine Systems, 6.6% at Combat Systems, and 3.1% at Technologies. The latter was recently created through a merger of General Dynamics’ Information Technology and Mission Systems units into a single new entity.

The company’s net earnings totalled USD708 million in the first quarter, up 0.3% from the same period last year. Backlog increased 4.5% to a record-high USD89.6 billion.