A grounded Boeing 737 Max 9 aircraft at Los Angeles International Airport.
Eric Thayer | Bloomberg | Getty Images
Boeing on Wednesday is expected to report fourth-quarter results and respond to investors eager to see what impact a blowout incident on one of the plane maker’s new 737 Max 9s could have on the aviation industry in the coming months, if not years.
The impact of this accident and subsequent fallout will not be felt in Wednesday’s earnings results, but will likely be noted in Boeing’s outlook. Here’s how analysts surveyed by LSEG, formerly known as Refinitiv, expect Boeing’s performance in the final three months of 2023:
- Adjusted loss per share: 78 cents
- Revenue: $21.1 billion
Boeing CEO Dave Calhoun, who took the helm of the aircraft giant four years ago after two fatal Max crashes, is under renewed pressure to improve the company’s reputation among airline customers, regulators and the public following the January attack. 5 accident in which a panel exploded on Alaska Flight 1282 as the plane was leaving Portland, Oregon, leaving a gaping hole in the side of the plane.
Federal investigators are examining whether the door stopper was improperly installed before the Max 9 aircraft was handed over Alaska Airlines At the end of last year.
The accident was the most serious in a series of apparent production defects that have slowed deliveries of new planes, angering some of the company’s biggest airline customers as main rival Airbus continues to outpace Boeing in delivering new planes.
The Federal Aviation Administration last week cleared the Max 9 to fly again, but said it would halt Boeing’s planned production increase, which the manufacturer had targeted to about 50 planes a month by 2025 or 2026.
The Boeing 737 Max is the company’s best-selling aircraft. A delay in production increases could jeopardize Boeing’s financial goals and impact suppliers preparing for higher production and customers relying on new aircraft to meet post-coronavirus travel demand.
Calhoun has visited company and supplier production lines as well as lawmakers on Capitol Hill in the weeks since the incident, vowing transparency and addressing any deficiencies in production. The company had the first of several production shutdowns last week to discuss production problems and other possible improvements to Boeing’s processes with workers.
This is breaking news. Please check back for updates.
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2024-01-31 05:01:01
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