Boeing posts $3.3 billion loss in third quarter

Boeing suffered a hefty $3.3 billion loss in the third quarter due to rising costs for its defense programs, including the presidential jet Air Force One and its KC-46 tanker plane.

“Our revenues and earnings were significantly affected by losses in fixed-price development programs in our defense businesses due to rising manufacturing and supply costs, as well as technical challenges,” he said in a message to employees Dave Calhoun, head of the American aircraft manufacturer.

“Virtually every industry faces challenges related to supply, inflationthe workforce and the macroeconomic situation, and we are certainly no exception,” Calhoun added.

We are realistic about the environment we are facing and are taking comprehensive action,” he continued.

From July to September, Boeing’s loss per share, adjusted for one-offs, was $6.18, while analysts had expected an increase of 2 cents.

Its turnover amounted to 16,000 million dollars, 4% more in a year but far from the 17,900 million dollars expected by the market.

Among the good news, Boeing said it is on track to be free cash flow positive by 2022, a measure that indicates a company’s ability to invest or pay dividends to its shareholders.

The market appeared to be focused on that aspect, with shares of Boeing up 1.4% in electronic trading before the Wall Street open.