With orders pouring in, Boeing flies above Airbus in first half

A spurt in demand for the latest passenger jets helped Boeing (BA) extend the lead over its European rival Airbus in the early part of the year. As a further indication of the ongoing race for market supremacy between the world’s largest aircraft makers, Boeing and Airbus recently forged tie-ups with Embraer and Bombardier respectively to ramp up their portfolios.

The impressive performance on the order front in the first half is anticipated to reflect in Boeing’s second-quarter revenue, which is scheduled to be announced on July 25. Media reports Tuesday revealed that Boeing received a total of 460 new orders in the first six months of 2018, more than double the number of orders booked by Airbus during the same period.

RELATED: Boeing, Embraer forge tie-up

The company also registered a marked increase in deliveries in the first half, primarily owing to strong demand for the 737 and 787 jet models. Total deliveries increased 7.4% annually to 378 units during the period, when the production of the 737 narrow-body model was raised. There was a similar increase in the delivery of Dreamliner, while the 777 witnessed a sharp fall. In the second quarter, the company delivered 194 aircraft, up 6% compared to last year.

The impressive performance on the order front in the first half is anticipated to reflect in Boeing’s second-quarter revenue

According to reports, Boeing is planning to raise the monthly output of 737s by 10% to 52 units in the second half, and further to 57 units in 2019.  As per the current estimates, the Chicago-based company will beat Airbus in aircraft deliveries for the sixth consecutive year in 2018.

RELATED: Boeing plans hypersonic aircraft 

In the run-up to the Farnborough Airshow to be held in the UK next week, Boeing has already clinched some major deals, including an $8.8-billion order for 75 jets from India-based aviation firm Jet Airways, a $5.6-billion order from Bamboo Airways of Vietnam and a high-value contract from FedEx (FDX) for the supply of 24 freighters.

The Boeing stock has been on a roller-coaster ride in recent months, gaining nearly 17% since the beginning of the year and hitting an all-time high in June. The stock traded higher throughout Tuesday and was up 1.5% at the close, maintaining the uptrend that began last week.

RELATED: FedEx places $6.6-billion order for freighters