Boeing Stock Price, News & Analysis

Boeing [NYSE: BA] CEO Kelly Ortberg announced significant changes to address the company's challenging position. Key points include:

• Delay of 777X program, with first delivery now expected in 2026
• Conclusion of 767 Freighter commercial production in 2027
• Substantial new losses expected in Boeing Defense, Space & Security (BDS) division
• Workforce reduction of approximately 10% across all levels
• Cancellation of next furlough cycle

Ortberg emphasized the need for structural changes to ensure competitiveness and customer delivery. The company will focus on core areas, reallocating resources to improve performance and innovation. These decisions aim to reset Boeing's workforce levels and align with financial realities and priorities.

Boeing [NYSE: BA] announced preliminary Q3 2024 results, expecting revenue of $17.8 billion, a GAAP loss per share of ($9.97), and operating cash flow of ($1.3) billion. The company faces significant challenges, including:

1. Commercial Airplanes: $3.0 billion pre-tax charges on 777X and 767 programs. 777-9 delivery delayed to 2026, 777-8 freighter to 2028. 767 freighter production to conclude.

2. Defense, Space & Security: $2.0 billion pre-tax charges on T-7A, KC-46A, Commercial Crew, and MQ-25 programs.

These impacts are due to certification delays, IAM work stoppage, and higher estimated costs. Boeing emphasizes the need for strategic decisions and structural changes to remain competitive long-term.

Boeing [NYSE: BA] has released its third-quarter delivery report for 2024, covering both commercial and defense operations. Commercial Airplanes delivered a total of 116 aircraft, including 92 737s, 6 767s, 4 777s, and 14 787s. Year-to-date commercial deliveries reached 291 units.

In the Defense, Space & Security segment, notable deliveries included 18 AH-64 Apache helicopters (7 new, 11 remanufactured), 2 renewed CH-47 Chinooks, 3 F-15 models, 1 F/A-18 model, 5 KC-46 Tankers, 3 MH-139s, 1 P-8 model, and 1 T-7A. Total defense deliveries for the quarter were 34 units, bringing the year-to-date figure to 76.

Boeing will provide detailed third-quarter financial results on October 23, 2024.

Millennium Space Systems, a Boeing company, has rapidly completed the preliminary design review (PDR) for the Fire-control On Orbit-support-to-the-war Fighter (FOO Fighter) project, just four months after receiving authorization. The company is contracted to deliver a constellation of eight satellites with a ground system and perform mission operations. FOO Fighter aims to demonstrate advanced missile defense capability by incorporating fire control-quality sensors into a prototype constellation.

Michelle Parker, vice president of Boeing Space Mission Systems, emphasized the project's focus on meeting warfighter needs and the significance of completing the PDR quickly. Doug Hulse, portfolio lead at Millennium Space Systems, noted that the company's common bus architecture allowed them to concentrate on the critical mission aspects during the PDR. The company is now working towards the critical design review, scheduled for early 2025.

Boeing [NYSE: BA] has announced it will release its financial results for the third quarter of 2024 on Wednesday, October 23. President and CEO Kelly Ortberg and Executive VP and CFO Brian West will discuss the results and company outlook during a conference call at 10:30 a.m. ET on the same day.

The event will be accessible via webcast on Boeing's investor relations website, where the news release and presentation materials will be posted before the event. Interested parties can also dial in using the provided U.S. and international phone numbers. Participants are advised to check the webcast site beforehand to ensure they can access the audio stream and slide presentation.

Boeing [NYSE: BA] has successfully completed the first flight of the UK's E-7 Wedgetail for the Royal Air Force (RAF). The flight, conducted from Birmingham Airport, marks a significant milestone in the programme's test and evaluation phase. The aircraft is one of three 737 NG aircraft being modified in Birmingham by a team of over 100 people at STS Aviation Services.

The E-7 Wedgetail is a combat-proven aircraft that provides critical multi-domain awareness and command-and-control decision advantage. It can detect and track multiple airborne and maritime threats simultaneously with 360-degree coverage. The future UK E-7 fleet will operate from RAF Lossiemouth in Scotland, contributing to the UK's national security and regional stability.

This milestone represents a collaborative effort between the RAF, DE&S, Boeing, and STS Aviation. The aircraft will undergo further testing and evaluation before receiving its RAF livery later this autumn.

Embraer S.A. (B3: EMBR3, NYSE: ERJ) has announced the conclusion of pending arbitration proceedings with The Boeing Company. As part of a collar agreement between the parties, Boeing will pay Embraer a gross amount of USD 150 million. This material fact was disclosed on September 16, 2024, in compliance with Resolution CVM nº 44/2021, informing shareholders and the market about this significant development. The announcement was made by Antonio Carlos Garcia, Executive Vice President of Financial & Investor Relations at Embraer.

Boeing [NYSE: BA] has announced plans to launch Q4S, a satellite designed to demonstrate quantum entanglement swapping capabilities in orbit by 2026. This pioneering mission aims to advance the development of a secure, global quantum internet connecting quantum sensors and computers. The year-long demonstration will involve two entangled-photon pair sources in a space vehicle, with technology partner HRL Laboratories contributing to the payload design.

Key points:

• Q4S satellite launch scheduled for 2026
• Aims to prove quantum networking feasibility in space
• Potential applications include fault-tolerant systems, secure voting, and blind quantum computing
• Boeing-funded initiative to expand quantum networks beyond point-to-point communication
• Demonstration expected to last one year

Boeing's Chief Financial Officer Brian West is scheduled to speak at the Morgan Stanley Laguna Conference on September 13, 2024, at 8:45 a.m. PT. This event highlights Boeing's engagement with investors and industry analysts. Interested parties can access the webcast through the Events and Presentations section of Boeing's investor relations website.

The announcement underscores Boeing's commitment to transparency and communication with stakeholders. It provides an opportunity for investors to gain insights into the company's financial strategies and performance directly from its CFO. Attendees are advised to check the website before the session to ensure access to the audio stream.