Boeing is delaying its new jet as losses continue to rise

The company booked $ 1.2 billion in special fees in the first quarter, including higher supplier costs, higher costs for finalizing technical requirements and $ 660 million in delays in completing the next used jet. Air Force One aircraft. This includes $ 212 million in business-related fees Sanctions on Russia It was triggered by its invasion of Ukraine and supply chain sanctions on its Red Hawk military jet, as well as $ 367 million in fees related to Kovit-19 and inflationary pressures.

In an interview with CNBC, CEO David Calhoun said, “This is a more confusing quarter than any of us would like.

Excluding those fees, the company reported a major operating loss of $ 1.5 billion in the first quarter, which is worse than Boeing’s operating loss of $ 353 million in the first quarter of 2021. Analysts surveyed by Refinitiv have estimated a significant operating loss of just $ 399. Million per quarter.

The company’s revenue was down 8% to $ 14 billion compared to the previous year. Analysts predict $ 16 billion in revenue.

Calhoun said the company is optimistic about the 777X, despite the issues. He said the current certification process with the Federal Aviation Administration is one reason to push back aircraft production.

“We are confident in the 777 plan and our customers continue to see value in it,” he said in a note to Boeing staff. “Airline projects have been serving our market for decades, and it is important to set aside time now to sustain long-term success.”

“Everybody I want to give you a date,” Calhoun said in his CNBC interview. “I can not do that because the FAA controls that process. We are confident and comfortable and have submitted the best that Boeing can submit.”