Industry Boeing reports second quarter results of 2019
Aircraft manufacturer Boeing has announced the second-quarter results of 2019.
Boeing has released the second-quarter results of 2019. To summarize, the statement includes that Boeing is continuing to engage global regulators and customers on a safe return to service of the 737 MAX. Boeing was able to gain a revenue of US$ 15.8 billion, which reflects to 737 MAX impacts and higher defence volumes.
In total, a loss of US$ 5.21 per share and a core loss of US$ 5.82 per share was recorded. The operating cash flow was at US$ 0.6 billion with US$ 1.2 billion paid in dividends. A total backlog of US$ 474 billion reflects in more than 5,500 orders for commercial aircraft.
Boeing said that it holds a strong liquidity with cash and marketable securities of US$ 9.6 billion. The manufacturer also added, that the previously issued 2019 guidance does not reflect the 737 MAX impacts.
A new guidance will be provided when the uncertainty of the timing for returning the 737 MAX into service is cleared away. Boeing underlined, that the company is working very closely with the Federal Aviation Administration (FAA) on the process for the software update. Ultimately however, regulatory authorities will determine the process for re-certifying the 737 MAX.
Dennis Muilenburg Boeing Chairman, President and Chief Executive Officer, said: "This is a defining moment for Boeing and we remain focused on our enduring values of safety, quality, and integrity in all that we do, as we work to safely return the 737 MAX to service [...] During these challenging times, teams across our enterprise continue to perform at a high level while delivering on commitments and capturing new opportunities driven by strong, long-term fundamentals."
In the segment of commercial aircraft, Boeing´s second-quarter revenue was US$ 4.7 billion. During the quarter, Boeing delivered 90 aircraft, including 42 Boeing 787 Dreamliner and captured orders for two 777 freighters from DHL and six 767 freighters for FedEx. The Paris Air Show 2019 (PAS19) saw IAG ordering 200 737 MAX aircraft.
The 777X program is progressing well, said Boeing. Pre-flight testing is still underway but there is a significant risk to hold the date of the first delivery, which is scheduled for late 2020. Current challenges are delaying the first flight until early 2020. That would mean that Boeing will most likely not being able to deliver the first 777X in 2020.
Source © boeing.mediaroom.com