The results, released Wednesday, reveal a 1% decline in revenues, totaling $17.8 billion, raising fresh concerns amid ongoing scrutiny from regulators.
The significant loss was exacerbated by $3 billion in one-time costs associated with the troubled 777X and 767 programs, alongside the ongoing strike by the International Association of Machinists and Aerospace Workers (IAM). Approximately 33,000 IAM workers in the U.S. Pacific Northwest walked off the job on September 13, leaving the commercial plane division reeling. A new contract vote by the union could potentially end the strike later today.
Boeing’s defense and space business also faced challenges, racking up $2 billion in costs from various programs, including the KC-46A Pegasus Air Force refueling aircraft, which has been plagued by issues in previous quarters.
Newly appointed Chief Executive Kelly Ortberg acknowledged the difficult path ahead, emphasizing the need for a “fundamental culture change” to stabilize finances, enhance operations, and craft a forward-looking vision for the company.
