Boeing Co.’s first-quarter loss narrowed as its deliveries of commercial jets rose, the company said today.
The company also said it plans to increase shipments of commercial planes as it copes with manufacturing issues with its 737 Max and 787 Dreamliner aircraft.
Arlington, Va.-based Boeing posted a net loss of $425 million, or 69 cents a share, compared with a loss of $1.16 billion, or $2.06. Those results included $245 million in pre-tax costs related to Boeing’s KC-46A Tanker program.
Quarterly revenue surged 28% compared with a year earlier to $17.9 billion. That was spurred by a rise in commercial plane deliveries to 130 for the period, compared with 95 for 2022’s first quarter.
“We delivered a solid first quarter,” CEO Dave Calhoun said in a statement. “We are progressing through recent supply chain disruptions but remain confident in the goals we set for this year.”
Boeing reported a core operating loss of $440 million, or $1.27 a share. That compares with $1.45 billion, or $2.75 for the same period in 2022. The core figure excludes one-time items.
The aircraft maker said it intends to raise the output of the 737 Max to 38 aircraft a month later this year, from 31 currently. The company said production will rise to 50 planes a month by 2025-2026. Boeing also plans to increase production of the 787 Dreamliner to five planes a month from three currently.
The 737 Max has returned to service following two fatal crashes. Production issues have clouded both the 737 Max and 787 Dreamliner. Boeing previously had a reputation for engineering and manufacturing excellence.
With the 737 Max, Boeing said a supplier notified the company of a problem with the fuselage of some aircraft. Boeing had said that could slow deliveries of some planes.
Despite that, Boeing said it expects to deliver 400 to 450 737 Max aircraft this year.Calhoun, in an interview on CNBC, said some deliveries will be deferred from the second quarter into this year's second half."The supply chain has been constrained and will remain that way," the CEO told CNBC.
“This is an important year for us,” Calhoun said separately in a letter to employees. “As demand surges across our markets, we must focus together on execution and meeting our customer commitments.”
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