Boeing Shares Climb After Smaller-than-expected Second-quarter Loss

By Markets MarketWatch Pulse

The Boeing Co. shares rose 3% in premarket trade Wednesday, after the aerospace giant posted a smaller-than-expected loss for its second quarter. Boeing said it had a net loss of $234 million, or 37 cents a share, in the quarter, after profit of $1.1 billion, or $1.59 a share, in the year-earlier period. The company said it had a core loss per share of 44 cents, narrower than the 92 cents loss consensus of FactSet analysts. Revenue rose to $24.8 billion from $24.5 billion, ahead of the FactSet consensus of $24.2 billion. The loss was due to a $3.23-per-share charge related to previously announced 787 research and development reclassification and 747 and tanker charges. "Actions taken during the quarter that impacted our earnings were the right, proactive steps to reduce risk and strengthen our position for the future," Chief Executive Dennis Muilenburg said in a statement. The company said it now expects full-year GAAP EPS of $6.40 to $6.60, down from previous guidance of $8.45 to $8.65, because of the same charges. Non-GAAP EPS is expected to range from $6.10 to $6.30, down from a previous range of $8.15 to $8.35. Shares are down 6.7% in the year so far, underperforming the Dow Jones Industrial Average ps: djia], which is up about 6%.

Continue Reading Below

Copyright © 2016 MarketWatch, Inc.