Boeing (NYSE:BA) reported a steeper-than-anticipated core loss for the third quarter, weighed down by a multibillion-dollar charge tied to fresh delays in its long-troubled 777X jet program.
For the quarter ended in September, the aerospace manufacturer posted an adjusted core loss of $7.47 per share, narrowing from last year’s $10.44 but significantly worse than the Bloomberg consensus estimate of $4.92.
In its statement, Boeing said results were hit by a pre-tax charge of $4.9 billion on the 777X program, which added $6.45 per share to the quarterly loss. The latest write-down brings the total charges on the long-delayed aircraft—first launched in 2013—to more than $10 billion.
“While we are disappointed in the 777X schedule delay, the airplane continues to perform well in flight testing, and we remain focused on the work ahead to complete our development programs and stabilize our operations in order to fully recover our company’s performance and restore trust with all of our stakeholders,” said CEO Kelly Ortberg in a statement.
Shares of Boeing fell more than 3% in early U.S. trading following the announcement.
The update confirms earlier Bloomberg News reporting that the first delivery of the 777X has been pushed back to early 2027, about a year later than previously planned. Analysts had projected a potential financial hit of between $1 billion and $4 billion, though the company’s final charge came in at the upper end of expectations. Boeing originally targeted 2026 for the first delivery.
Ortberg previously cautioned that a “mountain of work” remains before the jet can be certified for commercial service, though he added that no new technical issues have been identified.
Elsewhere in the update, Boeing said production of its 737 MAX aircraft has now “stabilized” at 38 units per month. The Federal Aviation Administration (FAA) had capped output at that level due to safety and quality concerns but recently lifted the restriction, allowing Boeing to increase production to 42 jets per month.
Total revenue rose 30% to $23.27 billion, supported by a rebound in commercial aircraft deliveries and surpassing analyst forecasts of $22.29 billion. The company also posted positive adjusted free cash flow of $238 million, a sharp improvement from expectations for a negative $884 million.
“We think on balance, investors will look favorably on the quarter as the 777X charge is now behind the company,” analysts at BofA Securities, including Ronald Epstein and Mariana Perez Mora, wrote in a note. “Further we think the better than expected cash flow offsets the 777X charge.”