Post-Pandemic Recovery at Boeing

Gunnar Larsson

Abstract

Boeing is an American Aerospace firm operating in segments: commercial aircraft production, defense, and space as well as finance. In early 21st century Boeing saw new competition in single-row commercial airliners from Airbus, particularly the A320. With resources tied up in developing the 787 Dreamliner, Boeing's quickest path to producing an alternative to A320 was to continue iterating on the pre-2000 737 airframe. This research aims to investigate the long-term financial burden of this decision by utilizing its most recent financial statements. I use Microsoft Excel as a tool to analyze these statements. In particular, I study the financial ratios in recent times to see how the recent events have impacted the profitability of the company. I ask questions such as: what has Boeing done financially to cut its recent losses? Furthermore, I look at liquidity, solvency, asset management, market value, and profitability ratios. Lastly, DuPont analysis provides an insight into how shareholder value can be maximized.

 

Post-Pandemic Recovery at Boeing

Boeing is an American Aerospace firm operating in segments: commercial aircraft production, defense, and space as well as finance. In early 21st century Boeing saw new competition in single-row commercial airliners from Airbus, particularly the A320. With resources tied up in developing the 787 Dreamliner, Boeing's quickest path to producing an alternative to A320 was to continue iterating on the pre-2000 737 airframe. This research aims to investigate the long-term financial burden of this decision by utilizing its most recent financial statements. I use Microsoft Excel as a tool to analyze these statements. In particular, I study the financial ratios in recent times to see how the recent events have impacted the profitability of the company. I ask questions such as: what has Boeing done financially to cut its recent losses? Furthermore, I look at liquidity, solvency, asset management, market value, and profitability ratios. Lastly, DuPont analysis provides an insight into how shareholder value can be maximized.