Boeing loses revenue in the first quarter – E24

The aircraft manufacturer’s earnings are down, after a quarter in headwinds.

Aircraft manufacturer Boeing reports revenue of $16.569 billion in revenue in the first quarter of the year. This is a decrease of 8 percent, compared to the same time last year, when revenues were 17.921 billion dollars.

And it has been a turbulent quarter for the aircraft manufacturer.

In January, the US Federal Aviation Administration ordered Boeing 737 Max 9 planes to stay on the ground after the door plug on an Alaska Airlines plane fell off while the plane was in the air.

Slowed down production

– The results for the first quarter reflect the immediate measures that were put in place to slow down the production of the 737, to increase quality, writes Boeing CEO Dave Calhoun in the report.

Furthermore, he writes that the company will use the time needed to strengthen quality and safety management systems:

– This work will position us for a stronger and more stable future.

At the end of March, it became known that Calhoun announced his resignation and that he will retire at the end of 2024.

In a letter to employees, Calhoun writes that the Alaska Airlines incident in January was a turning point for the airline.

The incident led to federal scrutiny and a decline in production.

Problems with the 737

Alaska Airlines has previously stated that in the first quarter they received 160 million dollars from Boeing in compensation.

It is not the first time Boeing has had problems with the 737 Max aircraft.

The problems for the aircraft manufacturer began in earnest when two Boeing 737 Max aircraft crashed outside first Indonesia in 2018, and then in a similar accident in Ethiopia the following year.