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Boeing ramps up production, Big jump in 737, 787 deliveries

ALC Boeing 787 Dreamliner

Boeing is ramping up production rates for two of its most popular planes, and the increase is starting to really pay off.

Boeing delivered 199 jets in the last quarter, a jump of 7 percent over the same period last year.
In the third quarter Boeing delivered 37 Dreamliners and 101 so far this year.

The gain over the year was nearly 10 percent, with Boeing (NYSE: BA) delivering 580 jets in the first three quarters of 2015, compared to 528 last year.

The strongest gains were with the 737 and 787 models, reflecting Boeing’s push to raise the production rates of the two models.

Boeing in the third quarter delivered 37 Dreamliners, compared to 31 during the same period of the year before.

The gain over the year was nearly 10 percent, with Boeing delivering 580 jets in the first three quarters of 2015, compared to 528 last year.

The strongest gains were with the 737 and 787 models, reflecting Boeing’s push to raise the production rates of the two models.

Boeing in the third quarter delivered 37 Dreamliners, compared to 31 during the same period of the year before.

During the first three quarters Boeing has delivered 101 Dreamliners, a 29 percent increase over the same period last year.

In fact, production of the carbon composite twin jet has been running so smoothly that one analyst, Uresh Seth, recently predicted Boeing will beat its own goal of 120 for the year.

Boeing in the third quarter also delivered 126 model 737s, compared to 120 during the same period last year.

That’s exactly 42 monthly, the current Boeing rate, although the plane-maker has two stated rate increases ahead, to 47 and then to 52 by the end of 2018.

A recent analyst report suggested Boeing may even go higher, to as many as 63 per month if competitor Airbus makes a similar move.

But analysts also have warned that too high a rate could be dangerous for Boeing or Airbus if economic conditions change and pull down demand. It’s expensive to ramp up production, both for the companies and the suppliers, so the fallout from a decrease in demand could take a toll on the companies’ bottom lines.

Boeing has so far delivered 375 of the 737 model this year.

On the down side, production of the 767, 747 and 777 all slipped slightly.

Big jump in 737, 787 deliveries as Boeing ramps up production

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