Boeing Space, Defense, and Security Sees Healthy Q4 2018 Growth
Boeing reported its fourth quarter (Q4) 2018 and full year results, in which the company reported record revenue of $28.3 billion. Its Defense, Space, and Security segment’s Q4 revenue increased to $6.1 billion, a 16 percent increase compared to the same period the year prior. This was driven by increased volume across F/A-18, satellites, and weapons. The segment’s 2018 revenue increased to $23.2 billion, a 13 percent increase compared to 2017.
During Q4 2018, Defense, Space, and Security was awarded contracts for the second KC-46 Tanker to Japan, a joint ground system to provide tactical satellite communications for the U.S. Air Force In January, the first two KC-46 Tankers were delivered to the U.S. Air Force. Backlog at Defense, Space, and Security was $57 billion, of which 30 percent represents orders from customers outside the U.S.
“Across the enterprise our team delivered strong core operating performance and customer focus, driving record revenues, earnings, and cash flow and further extending our global aerospace industry leadership in 2018,” said Boeing Chairman, President, and Chief Executive Officer (CEO) Dennis Muilenburg. “Our financial performance provided a firm platform to further invest in new growth businesses, innovation and future franchise programs, as well as in our people and enabling technologies. In the last five years, we have invested nearly $35 billion in key strategic areas of our business, all while increasing cash returns to shareholders.”