An American Airways Boeing 787-9 Dreamliner approaches for a touchdown on the Miami Worldwide Airport on December 10, 2021 in Miami, Florida.
Joe Raedle | Getty Photos
Boeing took a $3.5 billion pre-tax cost on its 787 Dreamliners after manufacturing points prevented the corporate from delivering the planes to airways for a lot of the final 15 months.
The corporate, nevertheless, stated Wednesday that it generated constructive money circulation within the fourth quarter, hitting that key milestone sooner than Boeing executives forecast. It was pushed by a leap in deliveries final yr of its 737 Max after regulators lifted bans on the jets after two deadly crashes.
This is how the corporate carried out in contrast with analysts’ estimates complied by Refinitiv:
- Adjusted outcomes: A lack of $7.69 a share vs. an anticipated lack of 42 cents a share.
- Income: $14.79 billion vs. $16.59 billion, anticipated.
For the yr, Boeing posted its third annual loss in a row because the pandemic and manufacturing points continued to harm its backside line.
“2021 was a key rebuilding yr for us, and collectively, we overcame important hurdles,” CEO David Calhoun stated in a be aware to staff on Wednesday. “Whereas we have now extra work to do, I’m assured that we’re effectively positioned to speed up our progress in 2022 and past.”
Boeing shares had been up greater than 1% in premarket buying and selling after the corporate launched outcomes.
Boeing’s plane gross sales and deliveries surged last year however handovers of latest planes to airways nonetheless trailed rival Airbus.
Boeing has been hamstrung by the pause in deliveries of its 787 Dreamliner airplane for a lot of the previous yr resulting from a collection of producing flaws, difficult clients like American Airlines and Hawaiian Airlines.
American final month stated it will trim its worldwide schedule due to 787 supply delays. The provider’s CFO Derek Kerr stated on an earnings name final week that Boeing was already paying penalties for the delays and “will compensate us for the losses” if there are further delays.
Calhoun has stated he expects the worst is behind the aviation sector after the pandemic devastated journey demand. Airline executives earlier in January stated they count on worldwide journey demand to rebound this spring and summer season after journey restrictions had been lifted in latest months.
Boeing and Airbus provider General Electric on Tuesday forecast a 20% improve in income this yr in its key aviation unit, which produces and repairs plane engines.
The corporate will maintain a ten:30 a.m. ET name with analysts, when executives are more likely to be quizzed about its manufacturing tempo, provide chain points and potential impacts on the corporate from rising tensions over Ukraine.
That is breaking information. Test again for updates.
