Industry reports and market analyses

Boeing Reports $6.2 Billion Loss; Workers Reject Contract, CEO Urges Culture Change

Oct 24, 2024, 01:20 AM

Boeing reported a staggering $6.2 billion loss in the third quarter of 2024, with a loss per share of $10.44 and revenue of $17.84 billion, falling short of expectations. The financial downturn is largely attributed to a crippling six-week strike by 33,000 factory workers, which has halted production of the company's bestselling jetliners. Workers overwhelmingly rejected the company's latest contract offer, with 64% voting against a deal that included a 35% wage increase over four years and a $7,000 ratification bonus. New CEO Kelly Ortberg acknowledged the need for a 'fundamental culture change' to address 'serious performance lapses' and restore trust in the company, stating, "It will take time to return Boeing to its former legacy, but with the right focus and culture, we can be an iconic company and aerospace leader once again." The prolonged labor dispute and substantial losses have intensified pressure on Boeing as it strives to stabilize operations and regain market confidence.