Planemaker grapples with problems at commercial and defense units and fallout from west coast workers’ strike. Boeing reported an annual loss of $11.83bn, its largest since 2020, as it grappled with problems at its commercial and defense units and the fallout from a crippling strike by US west coast factory workers.
The loss demonstrates the challenges facing CEO Kelly Ortberg in turning around the US planemaker as it cedes ground to rival Airbus in the delivery race and comes under the crosshairs of regulators and customers following a series of missteps. Shares of Boeing rose 0.5% in pre-market trading.
The company reported a quarterly cash burn of $4.1bn, a metric closely watched by investors, slightly lower than analysts’ expectation of a $4.26bn cash burn, according to data compiled by LSEG. Ortberg, who took the helm of the planemaker in August, said the company was making progress on restoring stability to its struggling production lines after a harrowing mid-air accident a year ago raised concerns about the safety of its jets.
The company reported a loss of $3.86bn in the fourth quarter due to what Ortberg called “disappointing” charges in several fixed-price defense programs. Ortberg, however, added in a letter to employees on Tuesday that Boeing was “now more proactive and clear-eyed on the risks” to the programs.
