Boeing, the US-based aerospace giant, has reported a substantial annual loss of $11.83 billion for 2024, marking its largest loss since 2020. This significant setback can be attributed to a confluence of challenges, including production disruptions, labor disputes, and increased competition from Airbus.
The company’s fourth-quarter performance also reflected these difficulties. Revenue reached $15.2 billion, but the company incurred a significant loss per share. This was primarily due to the impact of a recent labor strike, charges related to defense programs, and the costs associated with workforce reductions.
“We made progress on key areas to stabilize our operations,” stated Kelly Ortberg, Boeing’s CEO. “However, we recognize the need for fundamental changes to restore our company’s performance and regain the trust of our customers and stakeholders.”

Commercial Airplanes
During the fourth quarter, the Commercial Airplanes division generated $4.8 billion in revenue, resulting in a significant operating loss margin of 43.9%. This performance reflects the impact of the recent labor agreement with the International Association of Machinists and Aerospace Workers (IAM). It saw lower aircraft deliveries and pre-tax charges of $1.1 billion related to the 777X and 767 programs.
Production of the 737 program resumed during the quarter, with plans to gradually increase output. The 787 program concluded the year at a production rate of five aircraft per month and recently announced plans to expand its operations in South Carolina.
In January, flight testing for FAA certification of the 777X resumed, and the company maintains its anticipated first delivery of the 777-9 in 2026.
Commercial Airplanes secured 204 net orders during the quarter, including a substantial order for 100 737-10 airplanes from Pegasus Airlines and 30 787-9 airplanes from flydubai. The division delivered 57 aircraft during the quarter, and its order backlog currently includes over 5,500 aircraft valued at $435 billion.

2024: An ‘Annus Horribilis’ for Boeing
One of the most significant challenges Boeing faced in 2024 was a crippling strike by 30,000 factory workers. This severely disrupted production, impacting delivery timelines and significantly impacting the company’s bottom line.
Furthermore, Boeing’s commercial aircraft deliveries lagged behind its European rival, Airbus. This loss of market share underscores the competitive pressures facing the company.

Boeing’s 2024 loss of $11.83 billion underscores the company’s ongoing struggle to recover from the devastating impact of two fatal 737 MAX crashes in 2018 and 2019.
These tragedies, which resulted in the deaths of 346 people, led to the worldwide grounding of the 737 MAX for nearly two years. This extended grounding severely disrupted Boeing’s production and delivery schedules, significantly impacting its revenue and tarnishing its reputation.
The 737 MAX crashes triggered intense scrutiny of Boeing’s safety and ethical practices. Investigations revealed serious flaws in the design and certification process of the aircraft, leading to accusations of prioritizing profit over safety. These revelations eroded public trust in Boeing and damaged its relationships with regulators and airlines.
The financial consequences of these events alone have been substantial. The grounding of the 737 MAX resulted in significant financial losses due to production delays, compensation claims, and a decline in aircraft orders. The company also faced increased regulatory scrutiny and legal challenges, further impacting its financial performance.
The manufacturer now puts behind it an ‘annus horribilis’. It opened 2024 with the controversy of a mid-flight door plug separation on one of its 737 MAX aircraft. After a year marred by whistleblower allegations and reputational challenges, it closed out 2024 with a financially crippling worker’s strike.

2025: Focus on Consolidation and Recovery
The company continues to face significant challenges in regaining customer trust and restoring its reputation.
Despite these setbacks, Boeing is taking steps to address these challenges. Boeing is resuming production of the 737 aircraft and plans to gradually increase production rates. The 787 widebody program is also expanding its operations.
Boeing is also focused on restoring customer trust and improving its safety and quality standards. This will be crucial for regaining market share and ensuring long-term success.
While 2024 was a challenging year for Boeing, under the leadership of Kelly Ortberg the company is taking steps to improve its operations and regain its competitive edge. However, the road to recovery will likely be long and complex.


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