Microsoft Excel LibreOffice Calc

Boeing Co. (NYSE:BA)


Analysis of Profitability Ratios

Beginner level


Profitability Ratios (Summary)

Boeing Co., profitability ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Return on Sales
Gross profit margin 5.83% 19.42% 18.55% 14.57% 14.59%
Operating profit margin -2.58% 11.85% 11.01% 6.17% 7.74%
Net profit margin -0.83% 10.34% 8.78% 5.18% 5.39%
Return on Investment
Return on equity (ROE) 3,085.55% 2,309.01% 599.14% 81.70%
Return on assets (ROA) -0.48% 8.91% 8.88% 5.44% 5.48%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Boeing Co.’s gross profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Boeing Co.’s operating profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Boeing Co.’s net profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Boeing Co.’s ROE improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.
ROA A profitability ratio calculated as net income divided by total assets. Boeing Co.’s ROA improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Gross Profit Margin

Boeing Co., gross profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Gross profit 4,466  19,637  17,326  13,781  14,026 
Revenues 76,559  101,127  93,392  94,571  96,114 
Profitability Ratio
Gross profit margin1 5.83% 19.42% 18.55% 14.57% 14.59%
Benchmarks
Gross Profit Margin, Competitors2
General Dynamics Corp. 17.94% 18.55% 19.98% 19.93% 19.48%
Lockheed Martin Corp. 13.99% 13.53% 10.87% 10.71% 11.27%
Northrop Grumman Corp. 21.45% 22.57% 23.07% 23.57% 23.98%
Raytheon Co. 26.61% 27.66% 24.74% 25.44% 24.40%
United Technologies Corp. 25.93% 24.84% 26.55% 27.57% 27.93%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 2019 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenues
= 100 × 4,466 ÷ 76,559 = 5.83%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Boeing Co.’s gross profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Operating Profit Margin

Boeing Co., operating profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Earnings (loss) from operations (1,975) 11,987  10,278  5,834  7,443 
Revenues 76,559  101,127  93,392  94,571  96,114 
Profitability Ratio
Operating profit margin1 -2.58% 11.85% 11.01% 6.17% 7.74%
Benchmarks
Operating Profit Margin, Competitors2
General Dynamics Corp. 11.81% 12.31% 13.49% 13.74% 13.28%
Lockheed Martin Corp. 14.29% 13.64% 11.60% 11.74% 11.78%
Northrop Grumman Corp. 11.73% 12.56% 12.79% 13.03% 13.07%
Raytheon Co. 16.36% 16.77% 13.09% 13.46% 12.96%
United Technologies Corp. 11.64% 12.86% 14.49% 14.28% 13.00%
Operating Profit Margin, Sector
Aerospace & Defense 9.16% 12.92% 12.45% 10.86% 11.00%
Operating Profit Margin, Industry
Industrials 13.15% 14.04% 13.70% 12.78% 13.66%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 2019 Calculation
Operating profit margin = 100 × Earnings (loss) from operations ÷ Revenues
= 100 × -1,975 ÷ 76,559 = -2.58%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Boeing Co.’s operating profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Net Profit Margin

Boeing Co., net profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (loss) related to parent (636) 10,460  8,197  4,895  5,176 
Revenues 76,559  101,127  93,392  94,571  96,114 
Profitability Ratio
Net profit margin1 -0.83% 10.34% 8.78% 5.18% 5.39%
Benchmarks
Net Profit Margin, Competitors2
General Dynamics Corp. 8.85% 9.24% 9.40% 9.42% 9.42%
Lockheed Martin Corp. 10.42% 9.39% 3.92% 11.22% 7.81%
Northrop Grumman Corp. 6.64% 10.73% 7.81% 8.98% 8.46%
Raytheon Co. 11.46% 10.75% 7.98% 9.19% 8.92%
United Technologies Corp. 7.19% 7.92% 7.61% 8.83% 13.56%
Net Profit Margin, Sector
Aerospace & Defense 6.40% 9.61% 7.58% 8.11% 8.47%
Net Profit Margin, Industry
Industrials 7.57% 6.94% 7.55% 8.82% 7.36%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 2019 Calculation
Net profit margin = 100 × Net earnings (loss) related to parent ÷ Revenues
= 100 × -636 ÷ 76,559 = -0.83%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Boeing Co.’s net profit margin ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Return on Equity (ROE)

Boeing Co., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (loss) related to parent (636) 10,460  8,197  4,895  5,176 
Shareholders’ equity (8,617) 339  355  817  6,335 
Profitability Ratio
ROE1 3,085.55% 2,309.01% 599.14% 81.70%
Benchmarks
ROE, Competitors2
General Dynamics Corp. 25.66% 28.51% 25.47% 26.92% 27.61%
Lockheed Martin Corp. 199.23% 361.98% 350.89% 116.40%
Northrop Grumman Corp. 25.49% 39.44% 28.59% 41.83% 36.04%
Raytheon Co. 27.35% 25.36% 20.32% 21.97% 20.48%
United Technologies Corp. 13.25% 13.70% 15.37% 18.33% 27.81%
ROE, Sector
Aerospace & Defense 28.50% 42.28% 37.59% 40.24% 37.07%
ROE, Industry
Industrials 24.02% 22.77% 21.24% 24.02% 17.80%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 2019 Calculation
ROE = 100 × Net earnings (loss) related to parent ÷ Shareholders’ equity
= 100 × -636 ÷ -8,617 =

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Boeing Co.’s ROE improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

Return on Assets (ROA)

Boeing Co., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Net earnings (loss) related to parent (636) 10,460  8,197  4,895  5,176 
Total assets 133,625  117,359  92,333  89,997  94,408 
Profitability Ratio
ROA1 -0.48% 8.91% 8.88% 5.44% 5.48%
Benchmarks
ROA, Competitors2
General Dynamics Corp. 7.13% 7.37% 8.31% 8.99% 9.27%
Lockheed Martin Corp. 13.11% 11.24% 4.30% 11.09% 7.34%
Northrop Grumman Corp. 5.47% 8.58% 5.77% 8.59% 8.14%
Raytheon Co. 9.67% 9.13% 6.56% 7.36% 7.08%
United Technologies Corp. 3.96% 3.93% 4.70% 5.64% 8.70%
ROA, Sector
Aerospace & Defense 4.54% 7.36% 6.45% 7.16% 7.39%
ROA, Industry
Industrials 4.80% 4.68% 4.77% 5.51% 4.25%

Based on: 10-K (filing date: 2020-01-31), 10-K (filing date: 2019-02-08), 10-K (filing date: 2018-02-12), 10-K (filing date: 2017-02-08), 10-K (filing date: 2016-02-10).

1 2019 Calculation
ROA = 100 × Net earnings (loss) related to parent ÷ Total assets
= 100 × -636 ÷ 133,625 = -0.48%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. Boeing Co.’s ROA improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.