The aircraft manufacturer beats Wall Street expectations but still finds itself in crisis mode after a mid-flight cabin panel blowout in January.
Plane maker Boeing lost $355 million (€332 million) in revenue and burned through almost $4 billion (€3.7 billion) in cash in the first three months of 2024, according to its performance report, released on Wednesday.
This means that Boeing spent nearly $4 billion more in cash than it generated from its operations and other sources during that period.
The data is reflective of the manufacturer’s increasing concerns, as it faces intense scrutiny over the safety of its planes.
While a growing number of whistleblowers are coming forward with complaints against the group, Boeing’s CEO has said its focus is on fixing its manufacturing issues.
In January, a door plug blew out of a Boeing 737 Max during an Alaska Airlines flight, leaving a gaping hole in the plane.
Although there were no casualties, the US Federal Aviation Authority blocked Boeing from expanding production of its best-selling, single-aisle 737 MAX jets.
The accident also brought previous incidents back into the spotlight, in particular two deadly MAX 8 jets crashes in 2018 and 2019.
“Although we report first-quarter financial results today, our focus remains on the sweeping actions we are taking following the Alaska Airlines Flight 1282 accident,” Boeing CEO David Calhoun told employees in a memo Wednesday.
“Near term, yes, we are in a tough moment,” he said. “Lower deliveries can be difficult for our customers and for our financials. But safety and quality must and will come above all else.”
Calhoun, who will step down at the end of the year, reiterated he was fully confident the company would recover.
However, he reminded customers that production would be slower in the short-term, as the plane maker is building fewer than 38 Maxes per month.
The Federal Aviation Administration has given Boeing until late May to produce a plan to fix its safety issues.
In February, investigators found that the door panel that came loose during the Alaska Airlines flight was not properly attached.
Several former employees, as well as one current manager, have reported various other problems in the manufacturing of Boeing 737 and 787 jets.
The most recent whistleblower, a quality engineer, told the US Congress last week that Boeing was taking manufacturing shortcuts that could eventually cause 787 Dreamliners to break apart. Boeing strongly refuted his claims.
