Aerospace giant The Boeing Company BA delivered first-quarter 2016 adjusted earnings of $1.74 per share, missing the Zacks Consensus Estimate of $1.81 by 3.9%. Earnings also plunged 12% from $1.97 per share a year ago, owing to a $156 million after-tax charge (24 cents per share) on the KC-46 Tanker program the company is developing for the U.S. Air Force.On a GAAP basis, Boeing reported a profit of $1.83 per share, down 2% from $1.87 per share in the year-ago quarter.RevenuesThe company's revenues increased 2% year over year to $22.63 billion in the reported quarter. The reported figure was also ahead of the Zacks Consensus Estimate of $21.24 billion.Total BacklogBacklog at the end of the first quarter declined to $480 billion from $489.3 billion at 2015 end. Reported backlog included $13 billion of net orders during the quarter.Quarterly Segment ResultsCommercial Airplane Segment: The segment saw a 6% decline in revenues to $14.4 billion on lower delivery volume. Operating margin contracted 330 basis points (bps) year over year to 7.2%. Margins reflected the $162 million pre-tax charge on the KC-46 Tanker program, stepped-up R&D and the previously announced $70 million pre-tax charge on the 747 program.Boeing’s commercial deliveries of 176 airplanes declined 4.3% in the first quarter due to lower demand for its older long-range 767 and double-decker 747 jets. Shipments of Boeing’s 787 Dreamliners remained stable at 30 year over year, while shipments of its 737 jets also remained flat at 121. For the 747 and 767 jets, the company’s deliveries remained at one each in the quarter, compared with 5 units of 767s and 4 units of 747s in the year-ago quarter. Boeing delivered 23 units of 777 in first-quarter 2016 compared with 24 units in the year-ago period.Boeing won net orders for 121 planes in the Mar 2016 quarter with backlog reaching 5,700 airplanes valued at $424 billion.Boeing Defense, Space & Security (BDS): The segment witnessed approximately 19% year-over-year growth in its quarterly revenues to $7.96 billion. Two of the three sub-segments – Boeing Military Aircraft (BMA) and Global Services & Support (GS&S) – recorded year-over-year top-line growth of 34% and 14%, respectively. Network & Space Systems (N&SS) witnessed almost flat year-over-year revenue growth.Quarterly operating margin, however, contracted 80 bps year over year to 10.3%.Backlog at BDS was $56 billion, 37% of which comprised orders from international clients.In the defense and space business, Boeing’s deliveries numbered 50 in the first quarter of 2016, compared with 42 a year ago. Total deliveries in the quarter consisted of 18 AH-64 Apache helicopters (both new and remanufactured) and 12 Chinook helicopters (new and renewed). The company also delivered 8 F/A-18 jets, 4 P-8 models, 4 F-15s, 3 C-17 Globemaster III and 1 Commercial and Civil Satellite.Boeing Capital Corporation (BCC): Boeing Capital reported quarterly revenues of $64 million compared with $86 million in the year-ago quarter. The segment’s earnings were $5 million compared with $20 million a year ago.At the end of the first quarter, BCC's portfolio balance was $3.2 billion, down from the beginning of the quarter.Financial ConditionBoeing ended the first quarter with cash and cash equivalents of $7.89 billion and short-term investments of $466 million. At year-end 2015, the company had $11.30 billion of cash and cash equivalents and $750 million of short-term investments. Long-term debt was $8.72 billion in the first quarter, down from $8.73 billion at 2015 end.The company generated $1.23 billion of operating cash flow in the quarter, up from $88 million a year ago. Free cash flow was $483 million in the quarter as against free cash outflow of $486 million a year back.GuidanceBoeing reaffirmed its adjusted or core earnings per share expectation in the range of $8.15−$8.35 for 2016. GAAP earnings are expected in the range of $8.45–$8.65 per share.The company also expects its 2016 revenues to be in the range of $93−$95 billion.Commercial Airplanes' 2016 delivery expectations are in the band of 740−745 airplanes with revenues projected in the $64−$65 billion range. Operating margin is pegged at 9%.The company expects 2016 defense revenues in the $28.5 billion to $29.5 billion range and operating margin of approximately 10%.Boeing Capital Corp. expects its aircraft finance portfolio to remain stable. The company expects segment revenues to approximate $0.3 billion.Boeing's 2016 R&D forecast is now approximately $3.6 billion. Capital expenditures for 2016 are expected to be $2.8 billion.Zacks RankBoeing currently holds a Zacks Rank #3 (Hold).At the PeersPentagon’s prime contractor, Lockheed Martin Corp. LMT, reported adjusted first-quarter 2016 earnings of $2.58 per share, surpassing the Zacks Consensus Estimate of $2.51 by 2.8%.Northrop Grumman NOC reported first-quarter 2016 adjusted earnings of $2.77 per share, beating the Zacks Consensus Estimate of $2.47 by 12.1%. Earnings also increased 29.4% from $2.14 per share in the year-ago quarter on higher sales volume.General Dynamics Corporation GD announced first-quarter 2016 earnings from continuing operations of $2.34 per share, comfortably surpassing the Zacks Consensus Estimate and the year-ago figure of $2.14 by 9.3%.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NORTHROP GRUMMN (NOC): Free Stock Analysis Report BOEING CO (BA): Free Stock Analysis Report GENL DYNAMICS (GD): Free Stock Analysis Report LOCKHEED MARTIN (LMT): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research