Boeing jetliner production challenges weigh on third-quarter results
BA•Boeing reported an adjusted third-quarter loss of 34 cents per share, wider than the expected 21 cents, as supply-chain costs and less profitable jetliner deliveries weighed on results. Net debt fell to $25.2 billion.
1. Commercial aircraft results
Boeing’s commercial airplane division reported revenue of $10.7 billion, an operating loss of $697 million and a 6.5% operating margin contraction. The company attributed its performance to less profitable jetliner deliveries and higher production costs, including from its supply chain.
2. Production and other divisions
Boeing has struggled to raise 737 production from 42 jets a month to 47, a target it had hoped to reach during the summer. Defense earned nearly $500 million, with a 6.2% operating margin, while Boeing Global Services earned $1 billion and posted an 18.3% margin. Net debt was $25.2 billion, down from $25.9 billion in the previous quarter and $30.4 billion a year earlier.
