Boeing posts quarterly loss as labor and supply strains overshadow increase in jet demand

A Boeing 747-8F operated by AirBridgeCargo takes off from Leipzig/Halle Airport.

Jan Woitas | Picture Alliance | Getty Images

Boeing generated positive free cash flow last year for the first time since 2018 thanks to a rebound in aircraft sales and deliveries but labor and supply shortages weighed on its earnings.

Airlines and aircraft manufacturers have benefitted from a sharp recovery in air travel, one of the most affected industries during the pandemic.

Boeing generated about $3 billion in cash flow in the fourth quarter, higher than analyst forecasts, and $2.3 billion for the year, the most since 2018, before the second of two fatal 737 Max crashes that sparked a yearslong crisis for the company.

Here’s how Boeing performed in the fourth quarter compared with analysts’ estimates complied by Refinitiv:

  • Adjusted loss per share: $1.75 vs. expected earnings per share of 26 cents.
  • Revenue: $19.98 billion vs. $20.38 billion expected.

Supply chain and labor shortages hurt its bottom line for the fourth quarter.

Boeing’s leaders have been hesitant to ramp up production.

“We’re proud of how we closed out 2022, and despite the hurdles in front of us, we’re confident in our path ahead,” CEO Dave Calhoun said in a memo to employees. “We have a robust pipeline of development programs, we’re innovating for the future and we’re increasing investments to prepare for our next generation of products.”

This is breaking news. Check back for updates.

Source link

Related posts

Leave a Comment