Boeing shares rose Wednesday as the company reported strong third-quarter earnings on the back of a robust defense business and more efficient commercial aircraft production. The company also raised its 2018 earnings forecast, in what looks to be a record year for revenue.
The aerospace giant reported adjusted earnings of $3.58 a share, topping Wall Street expectations by 11 cents according to analysts surveyed by Refinitiv. Third quarter revenue came in a $25.15 billion, which was over $1 billion more than analysts’ forecast.
Boeing raised its full year 2018 earnings forecast to a range of $14.90 to $15.10, up from its previous guidance of $14.30 to $14.50. Boeing may see its full year revenue top $100 billion for the first time, as well.
“This strong underlying performance, along with growth across our businesses we’ve seen throughout the year, give us confidence to raise our 2018 revenue and earnings guidance and reaffirm our operating cash flow guidance,” Boeing CEO Dennis Muilenburg said in a statement.
Boeing landed billions in military contracts this summer, with new programs for the MQ-25 unmanned aircraft system and T-X trainer aircraft, as well as landing a contract to build the MH-139 helicopter.
“During the quarter we captured important new defense business,” Muilenburg said.
Boeing delivered 190 commercial airplanes in the third quarter, bringing its total deliveries for the year to 568.
The airplane-making business fell short of estimates in the second quarter but Boeing held to its forecast that it would deliver at least 810 airplanes this year.
Boeing shares slipped 2.3 percent over the last three months but the stock is still up 18.7 percent for the year as of Tuesday’s close of $350.05 a share.