An aerial view of the engines and fuselage of an unpainted Boeing 737 MAX airplane parked in storage at King County International Airport-Boeing Field in Seattle, Washington.
Lindsey Wasson | Reuters
Boeing Thursday that it appeared to have lost about $4 billion in the fourth quarter, adding to the problems of the manufacturer, which began 2024 with its moderate accident and he finished it with the temptation of labor and fraud.
The company said it expects to post a loss of $5.46 per share for the fourth quarter. It said it expects its revenue to be $15.2 billion, less than analysts expected, according to LSEG estimates. Boeing said it may burn through $3.5 billion in cash in the quarter. The company raised more than $20 billion in the quarter to boost liquidity during its crisis.
Boeing has not posted an annual profit since 2018.
The company expects to take a $1.1 billion charge on its 777X and 767 programs as a result of the strike and new contract.
“While we face near-term challenges, we took important steps to stabilize our business during the quarter including reaching an agreement with our teams represented by IAM and completing a successful capital raising to improve our balance sheet,” Boeing CEO Kelly Ortberg said in a press release.
Boeing has been struggling to regain its footing after a the door plug blew out midair in January 2024, showing a a new safety crisis at the company trying to reverse the fallout from two fatal accidents in 2018 and 2019.
The near-catastrophic crash prompted a new federal investigation and a slowdown in the delivery of new planes. Almost two months machinists strike which began in September shutting down most commercial aircraft production. The workers, mostly in the Puget Sound area, won a a new deal in November.
All-important commercial aviation unit revenue is likely to come in at $4.8 billion, with a negative operating margin of nearly 44%.
Boeing's problems also extend to its defense unit, for which it plans to record $1.7 billion in pretax costs on the KC-46A tanker, and the long-delayed 747s that will serve as the aircraft new Air Force One, as well as a space programs.
