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The aircraft maker said it made changes to its order backlog in monthly orders and deliveries, which also showed that the company delivered 41 jets last month.
Data showed that Boeing delivered 34 737 MAX single-aisle aircraft, two 767 freighters for FedEx (NYSE:FDX), and one 777 freighter for China Airlines.
Boeing’s March deliveries almost double the 22 the company delivered in February and 29 in the year-ago period, suggesting a sharp recovery in travel and cargo demand. The aerospace company has delivered 95 jets since the start of 2022.
On the other hand, Boeing’s deliveries of its 787 Dreamliner model are still suspended as the company continues to examine and repair the twin-aisle jetliners that were grounded due to production issues.
The number of orders in the first three months surged to 167 from 114, said Boeing. Excluding deliveries that were canceled or swapped, the number of orders totaled 145, up from 107.
Excluding jets that were unlikely to be delivered, net orders for the quarter year to date totaled 76, down from 179. Ultimately, Boeing’s official order backlog stood at 4,231, down from 4,375 overall.
The adjustment also included 141 jets Boeing put in accounting limbo due to the invasion of Ukraine and the consequent global sanctions against Russia.
The company noted the majority of questionable orders included jets for Russian and Ukrainian airlines, most of which were 737 MAX models and some 777 and 787 widebody units.
In March, clients canceled orders for 15 Boeing aircraft, including a 737 MAX for Aviation Capital Group, 11 737 MAX units for an undisclosed buyer, as well as two 787-9 Dreamliner jets for Air China (OTC:AIRYY) and Avolon.
Goldman Sachs analyst Noah Poponak has reflected positively on the report as he expects deliveries to accelerate over the coming months as air travel recovers.
“Boeing continues to deliver no 787 aircraft, reflecting the ongoing temporary halt following the FAA requesting more information about Boeing’s proposed solution to the previous quality issues. The FAA is at various stages of the process on their end, in an ongoing dialogue with Boeing that may require some additional input from the company. However, Boeing has a recommended fix for every currently identified issue on the aircraft, and does not expect to find any new issues. We expect deliveries to resume in 2Q22,” Poponak said in a client note.
Wolfe Research analyst Mike Maugeri is more cautious than Poponak.
“We continue to see the fundamental demand backdrop for commercial OEM deliveries as favorable, particularly for narrowbody aircraft, but BA still has idiosyncratic issues to work through. BA seems to be the most polarizing name in our A&D coverage based on our conversations and the results of our quarterly survey of investors published this morning. BA was voted both top long/overweight and top short/underweight in our survey,” the analyst said in a client note.
Boeing stock price closed at $176.28 yesterday.
By Senad Karaahmetovic
