Boeing Lost $2.4 Billion in the Second Quarter

The aviation industry suffered serious losses due to the coronavirus pandemic. As one can see from the information provided by Boeing, it struggled to cope with problems in the second quarter. For instance, the losses per share reached $4.79 vs the expected $2.54. Furthermore, the company’s revenue compared to the second quarter of 2019 fell from $15.75 billion to $11.81 billion. As a reminder, the second quarter ended on June 30.

However, compared to the same period last year, Boeing’s net loss dropped from $2.94 billion or $5.21 per share to $2.40 billion or $4.20 per share.

It is worth mentioning that Boeing confirmed its decision to lower its planned ramp-up of production on July 29. The company would gradually increase the manufacturing of its 737 Max to 31 a month by the beginning of 2022. Previously, Boeing wanted to reach this goal in 2021.

Furthermore, the company will cut the production of its 787 planes to six a month in 2021. At the moment, Boeing has hundreds of planes sitting on the ground, most of them are 737 Max jets.

Boeing and coronavirus pandemic

Importantly, the coronavirus pandemic created a lot of problems for even the major companies and Boeing is not an exception. However, the company was struggling to deal with problems even before the coronavirus reached the U.S. As such, the pandemic created additional challenges for the company. Boeing reported a $2.4 billion loss for the second quarter.

Notably, the company plans to slow the production of its main commercial aircraft, as the coronavirus pandemic had a negative impact on the industry.  Unfortunately, its best-selling aircraft, the Boeing 737 Max, remains on the ground for more than a year.

People should into account that it will take at least a couple of months until the 737 Max will be able to return to commercial service.