Boeing reported a $641M loss in the Q1 and forced to cut its workforce and aircraft production. The aerospace giant announced quarter earnings recently reporting an adjusted per-share loss of $1.70 and revenue of $16.91 billion. The company has already been facing major losses and challenges due to the grounding of its best-selling aircraft the 737 Max for the last 13 months. The company burned through $4.7B in cash during the quarter as it dealt with rising cancellations and a lack of orders.
“We’ll have to make even deeper reductions in areas that are most exposed to the condition of our commercial customers — more than 15% across our commercial airplanes and services businesses, as well as our corporate functions. Higher percentages [of cuts] will be from the white-collar world.” – CEO Dave Calhoun in a staff memo
The company plans to reduce aircraft production, including lowering the output of 787 Dreamliners to 10 a month from 14 this year and to seven a month by 2022.
Dow 30 component Boeing (NYSE: BA) is the world’s largest aerospace company and leading manufacturer of commercial jetliners and defense, space and security systems. To learn more about Boeing (BA) and to track its ongoing progress please visit the Vista Partners Boeing (BA) Coverage Page.
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