The KC-46 Pegasus tanker programme continues to drive losses for Boeing's business as it works to address various technical issues. (Senior Airman Kimberly Barrera)
Boeing is working to recover from recent production and safety issues in its commercial business and ongoing challenges with several defence contracts. The company recorded USD16.9 billion in revenues in the second quarter, a 15% decrease from USD19.8 billion in revenues in the second quarter of 2023, according to a Boeing statement on 31 July. Revenues through the first half of 2024 totalled USD33.4 billion, an 11% decrease from USD37.7 billion in the first half of 2023. The results were attributed to lower commercial delivery volume and issues with fixed-price defence development programmes, the statement said.
During an earnings call on 31 July, David Calhoun, president and CEO of Boeing, emphasised the company's progress in strengthening its quality management and safety systems. Boeing has taken several additional steps since a January incident with a 737 Max passenger aircraft, including slowing production and controlling travel work to enable the supply chain to catch up, and provide a buffer for Boeing to improve quality and stabilise deliveries, he said.
The move to acquire Spirit AeroSystems, announced in July, is “a demonstration of our resolve to invest heavily in quality and safety and to take the additional actions needed to reshape our company”, Calhoun said. Bringing Spirit's manufacturing work within Boeing will enable the unification of safety and quality management systems, he added. That transaction is scheduled to close in mid-2025, noted Brian West, executive vice-president and chief financial officer for Boeing.
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