Boeing, the troubled aircraft manufacturer, reported a fourth-quarter loss of $3.8 billion, driven by a machinists strike and various other challenges. The strike, which lasted over seven weeks, halted production of the 777 jet and 767 cargo plane, impacting Boeing's delivery capabilities. The company also faced difficulties with government programs and experienced a significant decline in full-year revenue.
Boeing reported a fourth-quarter loss of $3.8 billion, as a machinists strike and various other challenges continued to plague the struggling aircraft manufacturer. The figures released by Boeing on Tuesday aligned with the company's preliminary report last week, including nearly $3 billion in charges during the period due to the labor stoppage, job cuts, and difficulties with several government programs . Boeing's loss per share amounted to $5.46, significantly exceeding the anticipated $3.
08 loss projected by Wall Street analysts, according to FactSet. The strike, involving machinists at factories in Renton and Everett, Washington, halted production of the 777 jet and the 767 cargo plane, hindering Boeing's delivery capabilities. The walkout, lasting over seven weeks, concluded when the company agreed to wage increases and enhanced benefits. The company reiterated much of the information presented in its previous release, including a total of $1.1 billion in charges attributed to the 777 and 767 programs during the fourth quarter. Boeing incurred an additional $1.7 billion in charges related to a number of government programs, encompassing a military refueling tanker and Air Force One replacement jets. Boeing indicated that fourth-quarter revenue reached $15.2 billion, falling short of analysts' revised estimate of $15.7 billion, according to FactSet. Full-year revenue totaled $66.5 billion, representing a $14 billion decrease from 2023. As previously announced earlier this month, Boeing stated it delivered 348 jetliners last year, a decrease of over a third compared to the 528 aircraft completed for airlines and leasing companies in 2023. This figure is also less than half the number of jetliners delivered by Airbus during the same period. Deliveries constitute a crucial source of cash for aircraft manufacturers because buyers typically make a substantial portion of the purchase price upon order fulfillment. Over three-quarters of the planes delivered by Boeing were 737 Max jets, highlighting the significance of its best-selling airline model in both the company's successes and challenges. The impact of the production halt on the 737 Max program, following the incident on an Alaska Airlines flight in early January, significantly affected Boeing's financial performance and reputation. The Federal Aviation Administration subsequently limited Max jet production until Boeing could demonstrate to federal regulators that it had rectified manufacturing quality and safety concerns. This setback extended to sales of new aircraft, with Boeing receiving no 737 Max orders for at least two months. Consequently, the company ended the year trailing Airbus in total net orders for commercial planes, an indicator that considers cancellations.
BOEING LOSS AIRCRAFT MANUFACTURER MACHINISTS STRIKE PRODUCTION ISSUES GOVERNMENT PROGRAMS REVENUE DECLINE 737 MAX
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Australian Shares Climb for Fourth Day Amid Consumer OptimismAustralian shares rose for a fourth straight session, driven by the consumer discretionary sector as traders anticipate improved market sentiment in the new year. The S&P/ASX 200 Index gained 0.3%, boosted by consumer confidence, technology stocks, and domestically oriented sectors like healthcare. The Australian dollar also strengthened overnight.
Read more »
Fourth Death After Fireworks Blast in HawaiiA devastating fireworks explosion in Honolulu, Hawaii, on New Year's Eve has claimed the life of a three-year-old boy, bringing the total death toll to four. Over 20 others were injured, many suffering severe burns. The incident has renewed calls for stricter measures against the illegal fireworks trade in Hawaii.
Read more »
Manchester United Suffer Fourth Straight DefeatManchester United slump to a humiliating defeat against Newcastle, marking their fourth consecutive loss across all competitions. Manager Amorim faces mounting pressure as the team struggles with a series of concerning performances.
Read more »
Fourth Infant Dies of Hypothermia in Gaza Amidst Winter CrisisA fourth infant has tragically died from hypothermia in the Gaza Strip as winter sets in. Hundreds of thousands of Palestinians displaced by the ongoing conflict are living in tents along the coast, facing harsh weather conditions. The death of 20-day-old Jomaa al-Batran highlights the dire situation for vulnerable families struggling to survive.
Read more »
Search for Missing Melbourne Student Enters Fourth DayHadi Nazari, a Melbourne student, went missing on Christmas Day while hiking in the Australian bush. Search and rescue teams are working to locate him.
Read more »
Danielle Collins was ‘funny’ and ‘smart’, says Djokovic after storming into fourth roundNovak Djokovic is “just a big fan” of Collins and says the way the feisty American mocked rowdy fans at Melbourne Park was “smart”.
Read more »