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Boeing Company (the) — The Boeing Company — Q3 2018 Earnings Presentation

13 slides from Boeing Company (the)'s earnings presentation, Oct 24, 2018

  1. Slide 1: Third-Quarter 2018 Performance Review

    Third-Quarter 2018 Performance Review Dennis Muilenburg Chairman, President and Chief Executive Officer Greg Smith Chief Financial Officer Executive Vice President of Enterprise Performance & Strategy October 24, 2018 Copyright © 2018 Boeing. All rights reserved.

  2. Slide 2: Third-Quarter Summary

    Third-Quarter Summary Boeing | Investor Relations 3Q18 BCA Backlog  Strong cash flow – repurchased $2.5B of shares; paid $1.0B in dividends North America  Won key defense franchises and follow-on space awards Other 5,849 Airplanes in backlog  Invested in MQ-25 and T-X franchises for long-term val

  3. Slide 3: Business Environment

    Business Environment Boeing | Investor Relations Strong and Growing Markets 10-Year Served Market  Commercial aviation remains long-term growth industry – 20 year Commercial Market Outlook of 42,730 airplanes Defense Commercial & Space Airplanes Systems  Robust airline profitability, strong passen

  4. Slide 4: Third-Quarter Revenue and Earnings

    Third-Quarter Revenue and Earnings Boeing | Investor Relations Revenue (Billions) Core Earnings per Share * $30 $5.00 $25.1 Tax $25 $24.2 settlement T-X and $4.00 $3.80 +$0.71 MQ-25 -$0.93 $3.58 2018 Q3 $20 results excluding $3.00 $2.62 tax settlement, $15 T-X and MQ-25 $2.00 $10 $1.00 $5 $0 $0.00 2

  5. Slide 5: Commercial Airplanes

    Commercial Airplanes Boeing | Investor Relations Revenues & Operating Margins  Delivered 190 airplanes $20 20% $15.4 $15.3 Revenue (billions) – Included 57 737 MAX deliveries; managing 737 supply chain challenges $15 15% Margin 13.2% – Over 200 MAXs delivered; nearly 15 million passengers flown on

  6. Slide 6: Defense, Space & Security

    Defense, Space & Security Boeing | Investor Relations  Won key franchise programs and captured follow-on business Revenues & Operating Margins $6 $5.7 20% – T-X Trainer program contract for U.S. Air Force $5.1 Revenue (billions) 15% $4 10% Margin – MQ-25 contract for U.S. Navy’s first carrier-based

  7. Slide 7: Global Services

    Global Services Boeing | Investor Relations Revenues & Operating Margins  Captured new and follow-on business $6 30% Revenue (billions) $4.1 – Captured GECAS order for twenty 737-800 freighter conversions $4 $3.6 20% Margin – Secured F/A-18 spares Defense Logistics Agency contract $2 13.8% 13.3% 10

  8. Slide 8: Cash Flow

    Cash Flow Boeing | Investor Relations Operating Cash Flow (Billions) $15 $12.4 $10.4 $10  Timing of receipts and expenditures  Planned higher commercial production rates $5 $4.6 $3.4  Strong operating performance $0 2017 Q3 2018 Q3 2017 YTD 2018 YTD Strong cash flow reflects healthy business 8 Co

  9. Slide 9: Cash and Debt Balances

    Cash and Debt Balances Boeing | Investor Relations Billions Cash Billions S&P: A Boeing debt Moody’s: A2 Marketable Securities Fitch: A BCC debt $12 $12 $9.8 $10.0 $9.6 $9.4 $9 $9 $6 $8.1 $8.0 $6 $3 $3 $2.5 $2.5 $1.7 $2.0 $0 $0 2018 Q2 2018 Q3 2018 Q2 2018 Q3 Strong liquidity with manageable debt le

  10. Slide 10: Financial Guidance

    Financial Guidance Boeing | Investor Relations 2018 $98.0 – 100.0B Revenue $97.0 – 99.0B * $14.90 – 15.10 Core EPS $14.30 – 14.50 Operating Cash Flow $15.0 – 15.5B $2.0B Capital Expenditures ~$2.2B * Non-GAAP measures. Definitions, reconciliations, and further disclosures regarding this non-GAAP mea

  11. Slide 11: Copyright © 2018 Boeing. All rights reserved.

    Copyright © 2018 Boeing. All rights reserved.

  12. Slide 12: Caution Concerning Forward-Looking Statements

    Caution Concerning Forward-Looking Statements Boeing | Investor Relations This document contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “may,” “should,” “expects,” “intends,” “projects,” “plans,” “believes,” “estimates,”

  13. Slide 13: Non-GAAP Measure Disclosure

    Non-GAAP Measure Disclosure Boeing | Investor Relations The Boeing Company and Subsidiaries Reconciliation of Non-GAAP Measures (Unaudited) The table provided below reconciles the non-GAAP financial measure core earnings per share and core earnings per share excluding tax settlement and T-X and MQ-2

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