Boeing's 4 divisions are expected to make $92.3 Billion for the full year of 2019.
(1) Commercial Airplanes: $45.6 Billion (49%)
(2) Defense, Space & Security Systems: $27.4 Billion (30%)
(3) Global Services: $19.0 Billion (21%)
(4) Boeing Capital Corporation: $ 0.3 Billion (<1%)
Boeing's Business Model.
Boeing primarily makes money through design, development, manufacture, sale, service and support of commercial jetliners, military aircrafts, satellites, missile defense, human space flight and launch systems and services. It is one of the largest manufacturer of 100+ seat airplanes for the worldwide commercial airline industry and one of the largest defense contractor in the U.S.
It has 3 primary operating segments:
This segment develops, produces and markets commercial jet aircraft and provides fleet support services, principally to the commercial airline industry worldwide.
Defense, Space & Security Systems
This segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for strike, surveillance and mobility.
This segment provides services to Boeing's commercial and defense customers worldwide.
What Are The Alternatives?
Boeing being one of the major the player in manufacturing of Commerical Aircrafts & Military Aircrafts it faces competition from different cmpanies accross the globe, biggest of which are mentioned below:
Commercial Airplanes: Airbus, Bombardier, Dassault, GE Aviation, Northrop Grumman, Safran, Rolls-Royce Holdings, McDonnell Douglas.
Defense, Space & Security Systems: Almaz-Antey, Leonardo, Thales, Airbus Group, General Dynamics, Northrop Grumman, BAE Systems, Raytheon, Lockheed Martin.
Revenue from Defense, Space and Security Systems Segment to increase by by 18% in 2019, with its share in revenue to increase to 30% in 2019 from 23% in 2018.
This was driven by higher volume on satellites, weapons, and T-7A Red Hawk (formerly T-X Trainer), partially offset by lower volume on F-15.In 2019, the company received contracts for the fifth production lot of fifteen KC-46A Tanker aircraft for the U.S. Air Force and nine AH-64E Apache helicopters for the U.S. Army.
Defense, Space & Security Systems Revenue
Change in Defense, Space & Security Systems Revenues
Revenue from Global Services to increase by 12% in 2019, with its share in revenue to increase to 21% in 2019 from 17% in 2018.
The increase in revenue growth is on account of full year effect of KLX Inc., an aviation service provider, acquisition of which was completed in late 2018.Over a long term, Boeing expects this division to grow near 3.5% mirroring the overall growth in the global aviation industry.
Global Services (BGS)
Change in Global Services Revenues
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1. How to save your forecasts:
Click on the blue "Try Trefis" button in the header to create an account, then navigate back to this dashboard. Now, any changes you make to these inputs will be auto-saved as a scenario (see left panel of dashboard).
2. How to monitor your scenario vs. actual results
Once you've saved your forecast, you can "rename" your scenario by clicking on the gear icon next to the scenario (on the left panel). For more info, see this quick, 30-sec video (look at the 9 sec mark)
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