Jet-Propelled Profits

For weeks, stocks of the traditionally boom & bust aviation industry have been Wall Street favorites. This week, as four of the nation's biggest planemakers released 1953 earnings, the reasons were plain: not only were profits at or near record levels, but the industry's backlog (nearly $17 billion) assured at least two more years of financial feasting.

Boeing's sales (i.e., deliveries of aircraft) rocketed to an all time high of $918,245,946, up 25% over 1952. Profits after taxes also were a record $20,318,178, an increase of 44% over 1952. Net earnings amounted to $12.51 per share, and Boeing announced that it would split the stock two for one. At year's end, the backlog had climbed to $2,357,000,000, and the company expects 1954 sales to top 1953. In reflecting the boom, Boeing stock climbed from a low 41 1/4 in 1952 to 72 1/8.

Lockheed's sales totaled a record $820,467,000. up a startling 87% over the year before and 23% over the World War II peak. Profits were $15,462.000 ($5.79 a share). Lockheed trimmed its backlog slightly in 1953, from $1,608,669,000 to $1,408,808,000, nevertheless expects its 1954 sales to be only slightly below 1953. Lockheed stock was up from a 1952 low of 18 3/8 to last week's 35 1/8.

Grumman reported sales of $240,857,669, up $20 million over 1952 and topped only by the World War II peak years of 1943-44. Profit after taxes was $7,129,341 ($3.56 a share) and the year-end backlog was $273,758,000. Grumman common sold last week for 26 3/4, down from a 1952 high of 31 3/8, but above the low of 23 1/4.

Glenn L. Martin Co. had sales of $208,006,538 and a healthy net of $15,094,756 ($7.06 a share), both peacetime highs but below World War II records. Sales were up 45% over 1952; profits were 160% higher. Martin entered 1954 with a $550 million backlog, down $100 million in a year. From a 1952 low of 8 7/8, its common stock has climbed to 21.

This file is automatically generated by a robot program, so reader's discretion is required.