Summary
Boeing's 2024 10-K filing reveals a challenging year marked by significant financial losses, primarily driven by ongoing issues in the Commercial Airplanes (BCA) segment. The company reported a net loss of $11.8 billion for the year, a substantial increase from the $2.2 billion loss in 2023. This performance was heavily impacted by the grounding of the 737-9 following the Alaska Airlines incident in January 2024, leading to production slowdowns and increased oversight from the FAA. Furthermore, a work stoppage by the International Association of Machinists and Aerospace Workers (IAM 751) in late 2024 disrupted production across key commercial aircraft programs, including the 737, 767, and 777. Significant reach-forward losses were recorded on programs like the 777X and 767, totaling $4.1 billion, while Defense, Space & Security (BDS) also faced increased losses due to unfavorable contract adjustments. Despite these challenges, Boeing ended the year with a substantial backlog of $521.3 billion, indicating continued long-term demand for its products and services. The company also raised significant capital in late 2024 through stock and preferred stock issuances, bolstering its financial position. Management is focused on implementing quality and safety improvements, stabilizing production, and navigating supply chain constraints to improve future financial performance. The planned acquisition of Spirit AeroSystems remains a key strategic initiative, although regulatory approvals and integration complexities pose ongoing risks.
Financial Highlights
54 data points| Revenue | $66.52B |
| Cost of Revenue | $68.51B |
| Gross Profit | -$1.99B |
| R&D Expenses | $3.81B |
| Operating Income | -$10.71B |
| Net Income | -$11.82B |
| EPS (Basic) | $-18.36 |
| EPS (Diluted) | $-18.36 |
| Shares Outstanding (Basic) | 646.90M |
| Shares Outstanding (Diluted) | 646.90M |
Key Highlights
- 1Boeing reported a significant net loss of $11.8 billion for 2024, a substantial increase from $2.2 billion in 2023, primarily due to production disruptions and program losses.
- 2The Commercial Airplanes (BCA) segment incurred a $7.97 billion operating loss, heavily impacted by the 737-9 grounding, production slowdowns, and significant reach-forward losses on programs like the 777X ($3.5 billion) and 767 ($0.6 billion).
- 3The Defense, Space & Security (BDS) segment reported an operating loss of $5.41 billion, largely due to $5.0 billion in losses on major fixed-price development programs, including KC-46A Tanker ($2.0 billion) and T-7A Red Hawk ($1.77 billion).
- 4A labor strike by IAM 751 in late 2024 paused production for several commercial aircraft models, further impacting deliveries and financial performance.
- 5The company's backlog remained strong at $521.3 billion, indicating substantial future demand for its aircraft and services.
- 6Boeing raised significant capital in late 2024 through the issuance of common stock ($18.2 billion) and mandatory convertible preferred stock ($5.7 billion) to strengthen its liquidity.
- 7The acquisition of Spirit AeroSystems is progressing, with stockholder approval obtained, but remains subject to regulatory approvals and integration risks.
- 8Supply chain disruptions, labor instability, and inflationary pressures continue to affect overall productivity and financial results across the company.