The Boeing Company (BA) Q2 2023 Earnings Call Transcript

For the period ending June 30, 2023

July 26, 2023 10:30 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Thank you for standing by. Good day, everyone and welcome to The Boeing Company’s Second Quarter 2023 Earnings Conference Call. Today’s call is being recorded. [Operator Instructions] At this time, for opening remarks and introductions, I am turning the call over to Mr. Matt Welch, Vice President of Investor Relations for The Boeing Company. Mr. Welch, please go ahead.

Matt Welch

Thank you and good morning, everyone. Welcome to Boeing’s second quarter 2023 earnings call. I am Matt Welch. And with me today are Dave Calhoun, Boeing’s President and Chief Executive Officer and Brian West, Boeing’s Executive Vice President and Chief Financial Officer.

And as a reminder, you can follow today’s broadcast and slide presentation at boeing.com. As always, detailed financial information included in today’s press release. Furthermore, projections, estimates and goals included in today’s discussion involve risks, including those described in our SEC filings and in the forward-looking statement disclaimer at the end of the web presentation. In addition, we refer you to our earnings release for presentation – and presentation for disclosures and reconciliation of certain non-GAAP measures.

Now, I will turn the call over to Dave Calhoun.

Dave Calhoun

Thank you, Matt. Welcome everyone. As usual, I am going to make a few comments upfront with respect to the quarter. The quarter was solid, very solid for all of our businesses. We continue to make steady progress on our recovery. We do have challenges. The supply chain notably is the most significant, but it’s steadily getting better. Overall, we feel good about our operational and financial outlook, including the free cash flow and delivery ranges that we set for 2023 as well as for that 2025 and ‘26 timeframe. We are particularly encouraged by generating $2.6 billion in free cash flow in the quarter. Cash flow is the best metric that we have to measure progress against this recovery. We had a very strong second quarter and we are confident in the $3 billion to $5 billion target for the year.

I’d like to highlight a couple of updates around the businesses. Commercial Airplanes had a very solid quarter. Demand remains high. We booked 460 net orders in the second quarter. And we are proud to announce our firm-up key orders, I should say, 220 for Air India and we secured our commitment for up to 300 with Ryanair.