Boeing (BA) third quarter 2024 financial results | Wilnesh News

boeing companyNew Chief Executive Kelly Ortberg said the company needs to become leaner and improve quality, a vision he laid out for the troubled plane maker ahead of its first quarterly conference call with analysts on Wednesday. . Meanwhile, thousands of striking Boeing mechanics will vote on a new labor contract, and Ortberg said he was hopeful of a deal.

Boeing announced preliminary third-quarter results earlier this month, with revenue of $17.8 billion, a year-on-year decrease of less than 2%, a loss of $9.97 per share, and a cash outflow of $1.3 billion. It’s said to be over Season 3 It has $10.5 billion in cash and marketable securities.

The company’s report compared with Wall Street expectations, according to a survey of analysts by London Stock Exchange Group (LSEG):

• Loss per share: Adjusted to $10.44. That may not compare to LSEG’s expected adjusted loss of $10.52.
• income: US$17.84 billion, expected US$17.82 billion

Ortberg, the former chief executive of Rockwell Collins, took over Boeing in August with a mission to restore the company’s reputation and eliminate quality problems on its aircraft and other projects. In January this year, a door jam suddenly burst on an Alaska Airlines 737 Max 9 flight just minutes into the flight. The near-catastrophic incident once again triggered safety concerns among regulators and customers.

“Not only do we need to understand what’s going on with our products, we also need to understand what’s going on with our employees,” he said in prepared remarks ahead of Wednesday’s earnings call. “Most importantly, we need to prevent the problem from getting worse and better Collaborate to identify, resolve and understand root causes.”

Ortberg said earlier this month that Boeing would lay off 10% of its approximately 170,000 employees worldwide, hinting at further downsizing at the manufacturer. He is expected to face questions on the conference call about which divisions or projects the company would consider spinning off.

“We need to realign our priorities and create a leaner, more focused organization,” Ortberg said in prepared remarks.

Boeing’s most pressing issue this week is ending a costly strike that has crippled the company’s Seattle-area factories where most of its planes are produced. Earlier on September 13, more than 32,000 mechanics went on strike after overwhelmingly voting down a contract that included changes including a 25% pay increase. A new proposal unveiled Saturday includes a 35% pay increase over four years, higher signing bonuses and 401(k) contributions, among other improvements.

The strike is costing Boeing $1 billion a month, according to S&P Global Ratings, and a speedy outcome is critical for the fragile aerospace supply chain, which has already begun furloughs.

“We’re always working hard to find solutions that fit the company and meet the needs of our employees,” Ortberg said.

The deal includes Boeing’s commitment to build its next-generation aircraft in the Pacific Northwest. This has been a sore point for union machinists after Boeing moved production of the 787 Dreamliner to a non-union plant in South Carolina.

“Boeing is an airplane company, and at the right time in the future we need to develop a new airplane. But before that we have a lot of work to do,” Ortberg said Wednesday.

Analysts are optimistic the deal will go through. The results of the Labor vote are expected to be announced on Wednesday evening.