Boeing reveals financial fallout of safety woes

Mark Crouch, analyst at investment platform eToro, says: “Given Boeing’s latest safety crisis, this set of results will likely be met with at least a small sigh of relief by investors. The core loss per share of $1.13 is substantial, but much smaller than the market had feared and, crucially, it reflects the company taking the only really sensible route – namely, to slow down production in order to prioritise quality over quantity. We can see from today’s numbers just how much of a handbrake has been applied – they delivered 83 commercial aeroplanes in the first quarter of 2024, compared to 130 in 2023.

“Beyond the headline figures, earnings from its defense, space & security division were strong and remain a silver lining. Another cause of hope is that the company has no issues with regard to demand – backlogs for both its commercial and defense aircraft are huge.

“Outgoing CEO Dave Calhoun has the opportunity to answer some big questions at a conference call later on Wednesday, including when he expects they will be able to safely increase production.”