A Boeing planeis displayed during a debut for employees and media of the new jet in Renton, Wash. U.S., on Feb. 5, 2018.Elaine Thompson/The Associated Press
Boeing Co. BA-N said it incurred nearly $3-billion worth of charges in the fourth quarter of 2024 due to a lengthy labour stoppage, job cuts and problems with a number of government programs.
As a result, the Chicago-based aerospace giant said Thursday that it will report a loss of $5.46 per share next week when it issues its full financial results. Wall Street had been expecting a fourth-quarter loss of $1.80 per share.
The sizable loss caps a rough year for Boeing. A strike by the machinists who assemble the best-selling 737 Max, along with the 777 jet and the 767 cargo plane at factories in Renton and Everett, Washington, halted production at those facilities and hampered Boeing’s delivery capability.
The walkout ended after more than seven weeks when the company agreed to pay raises and improved benefits.
The aerospace giant also announced previously it would reduce its work force by 10 per cent.
The company said Thursday that it took charges totalling $1.1-billion related to the 777 and 767 programs in the fourth quarter. Boeing took an additional $1.7-billion in charges related to a number of government programs including a military refuelling tanker and Air Force One replacement jets.
Boeing said revenue for the fourth quarter totalled $15.2-billion, well below analysts’ estimate of $16.6-billion.