AP – Boeing Co said it incurred nearly USD3 billion worth of charges in the fourth quarter of 2024 due to a lengthy labour stoppage, job cuts and problems with a number of government programmes.
As a result, the Chicago-based aerospace giant said on Thursday that it will report a loss of USD5.46 per share next week when it issues its full financial results.
Wall Street had been expecting a fourth-quarter loss of USD1.80 per share.
The sizeable loss caps a rough year for Boeing. A strike by the machinists who assemble the best-selling 737 Max, along with the 777 jet and the 767 cargo plane at factories in Renton and Everett, Washington, halted production at those facilities and hampered Boeing’s delivery capability. The walkout ended after more than seven weeks when the company agreed to pay raises and improved benefits.
The aerospace giant also announced previously it would reduce its workforce by 10 per cent.
The company said on Thursday that it took charges totalling USD1.1 billion related to the 777 and 767 programmes in the fourth quarter. Boeing took an additional USD1.7 billion in charges related to a number of government programmes including a military refuelling tanker and Air Force One replacement jets.
Boeing said revenue for the fourth quarter totalled USD15.2 billion, well below analysts’ estimate of USD16.6 billion.
