Boeing announced its third quarter result. The result shows a slump for the company and has made a loss of $3.502 billion in the first nine months of the year. However, the majority of this is made up of the results of previous quarters.
All aircraft manufacturers have seen their financials issues due to the pandemic in current months. Airlines around the world have been looking to defer deliveries After all, Airlines are why we take a new aircraft when older and less efficient aircraft retire from the skies. In addition Boeing has also had to deal with the impact of the ongoing 737 MAX grounding.
Boeing have had significant losses because of the lack of commercial aircraft deliveries. Firstly, its the 737 MAX, that has been grounded with no deliveries since March 2019 and its fateful accidents however, the current pandemic also means that airlines aren’t taking the remainder of Boeing’s products in the quantities expected.
In the first nine months of 2018, Boeing had delivered 568 commercial aircraft to customers worldwide, but With the impact of the Boeing 737 MAX grounding, this dropped over half to 301. Besides the pandemic’s effect, Boeing has so far delivered just 98 aircraft in the first nine months of 2020.
Dave Calhoun Boeing’s President and Chief Executive Officer said:
“The global pandemic continued to add pressure to our business this quarter, and we’re aligning to this new reality by closely managing our liquidity and transforming our enterprise to be sharper, more resilient and more sustainable for the long term…”
The return of Boeing 737 Max is now held, in the other hands with a good news Boeing have achieved so far good in tests and check flight to return the 737 MAX and it may resume back to service in 2021.
The latest input from these authorities seems relatively positive and this will help Boeing company to recover from 737 max crisis. Some United States airlines are now targeting a return to service by the end of the year and RyanAir, a big fan of the 737, is expecting a deliveries in 2021.