Cessna Signals Positive Momentum
Cessna lost money through Q1 of 2011, but turned a profit of $120 million over the next quarter, and Textron CEO Scott Donnelly says demand is now stable with positive momentum, according to the Wichita Eagle. The company's second quarter profits reflect shipments that have eroded the company's order backlog. But Cessna expects to see an increase in customer interest and demand for the remainder of the year, Donnely said. The company hasn't seen, nor is it expecting, a surge. Donnely said in a conference call, Thursday, that Cessna will talk about new products at the National Business Aviation Association convention, this fall.
Cessna's second quarter profit is considered modest but is a significant turn away from heavy first quarter losses. While struggling to remain profitable, Cessna has seen its order backlog plummet from $14.5 billion at the end of 2008, to roughly $2.5 billion, now. The company delivered nearly 70 jets through the end of June and expects to deliver at least 40 more through December. Sometime before year-end onlookers should be treated to a flying example of the Cessna Citation Ten midsize business jet.