2023 Cash Flow Analysis for Boeing Co BA

Boeing Co is a leading aerospace company that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, and telecommunications equipment. The company is headquartered in Chicago, Illinois, and was founded in 1916. Boeing is renowned for its commercial aircraft, such as the 737 and 787, as well as its defense and space products.

The cash flow statement illustrates how much cash or cash equivalents a company has generated and utilized over a specific period. It is divided into three sections: operating activities, investing activities, and financing activities. This statement aids investors and analysts in understanding how a company is managing its cash resources.

How to read the chart

The chart above shows the cash flow of Boeing Co in 2023. The width of the bars represents the amount of cash flow, with wider bars indicating larger amounts.

We start on the left with the company's cash position at the beginning of the year. Because the cash decreased during the year, a part of that cash was used for financing and investing activities. The cash flow from operating activities is the largest source of cash, while investing activities resulted in a cash outflow.

The cash flow from investing activities is negative, indicating that the company spent more on new investments than it received from selling assets or investments. The cash flow from financing activities is also negative, reflecting that the company paid out more cash for purposes such as debt repayments, share buybacks, or dividend payments.

After taking the change in cash into account, we end on the right with the company's cash position at the end of the year.

Real-Time Cash Flow Counter

To get a sense of the scale of Boeing Co's cash flow, we have created a real-time counter that simulates the company's cash flow for 2023. The counter starts when you scroll to this section and runs at the same speed as the company's reported cash flow.

This is not a live counter of real cash flows as they happen, but a simulation based on the company's reported cash flow for 2023. The counter is meant to give you a sense of the scale of the company's cash flow and how quickly it moves.

Cash Flow Statement

In 2023, Boeing Co generated $5,960 million in cash from operating activities, spent $2,437 million on investing activities, and used $5,487 million for financing activities. As a result, the company's cash balance decreased by $1,934 million during the year.

The company's beginning cash balance was $14,647 million. Typically, this amount includes cash and cash equivalents, such as short-term investments that can be easily converted into cash. The company's ending cash balance was $12,713 million.

The company's capital expenditures for the year were $1,527 million. This amount represents the cash the company spent on investments in property, plant, and equipment. Subtracting capital expenditures from cash flow from operations gives the company's free cash flow, which was $4,433 million in 2023. This amount represents the cash the company has available to pay dividends, repurchase stock, or make other investments.

Summary

Boeing Co's cash flow in 2023 highlights several key aspects of its financial management. The company generated a substantial amount of cash from operating activities, which was its primary source of cash flow. However, both investing and financing activities resulted in cash outflows, contributing to an overall decrease in cash balance by the end of the year. Despite the cash outflows, Boeing maintained a strong cash position, with a significant ending cash balance, allowing it to continue investing in its operations and strategic initiatives.