Analysts Say Commercial Deliveries And International Defense Business Will Drive Growth Next Year

Boeing's financials look good through the first three-quarters of 2013, and analysts say the company's fourth quarter is also likely to be strong. All that leads to a forecast of a good 2014 for the U.S. planemaker, according to a report from Forbes.

The company faces challenges from cuts in U.S. government spending, the report indicates, but that can be offset by a substantial backlog of orders for commercial airplanes and cost cutting initiatives in the defense sector.

Forbes says it does not expect to see any reduction in the production rate for Boeing's commercial airplanes, and the existing backlog would take eight years to clear at the current rate of production. The analyst says that it expects Boeing's backlog to grow in 2014 driven by strong airline orders.

The defense segment could see challenges, Forbes says, but some of the cuts in military spending by the U.S. government can be offset by growth in military exports. The company has already taken some measures to cut costs in the defense sector, including closing down the C-17 production line in California. Further spending cuts are likely, according to the report.

FMI: www.boeing.com