NEW YORK: Boeing reported a hefty fourth-quarter loss Tuesday following a bruising 2024 that included a lengthy labor strike, major safety issues on commercial planes and defense contract cost overruns.
The US aviation giant reported a fourth-quarter loss of $3.9 billion, putting the full-year loss at $11.8 billion.
Revenues in the fourth quarter were $15.2 billion, down 31 percent from the year-ago period.
The drop in fourth-quarter revenues reflected a hit from fewer plane deliveries, which came in at barely a third of the level in the 2023 period due to a more than seven-week labor strike that shuttered two major assembly facilities in the Seattle region.
Boeing warns of bigger-than-expected $4 billion quarterly loss; shares drop
Boeing’s performance was also marred by a troubled flight in January 2024 in which a 737 MAX flown by Alaska Airlines made an emergency landing after the plane suffered a mid-flight blowout on a window panel.
Following that incident, Boeing faced intensified scrutiny from US air regulators and slowed output.
Boeing has also continued to suffer from legacy fixed-cost defense contracts that have led to losses for the company.
Chief Executive Kelly Ortberg, who joined Boeing in August, said the company is taking steps on a turnaround.
“My team and I are focused on making the fundamental changes needed to fully recover our company’s performance and restore trust with our customers, employees, suppliers, investors, regulators and all others who are counting on us,” Ortberg said.
Shares of Boeing rose 0.5 percent in pre-market trading.
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