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Boeingwill hold off on sharing or updating financial and operational objectives for 2024 but plans to stick to its 2025 and 2026 financial targets, CNBC reported last week, citing comments made by CEO Dave Calhoun told employees in a message. Financial targets for next year and 2026 see the company ramping up revenues to USD 100 bn by early next year. 4Q 2023 earnings saw the aircraft maker post a USD 30 mn loss, substantially less than the USD 663 mn loss it saw for the same period last year. Topline figures also improved, boosting 10% y-o-y to USD 22 bn, according to the outlet.
Boeing has also called out itself on recent shortfalls: “We caused the problem. And we understand that,” Calhoun said, referring to a recent Alaska Airlines incident which saw a Boeing 737 Max 9 forced to make an emergency landing after a panel blew out mid-flight. The Federal Aviation Administration (FAA) cleared the Max 9 to fly again last week, but said it would hold back Boeing’s plans to boost its production rate for the aircraft. The National Transport Safety Board (NTSB) is expected to release a preliminary report on the Alaska Airlines incident in the coming days, CNBC wrote.
ICYMI- Airbus delivered some 735 commercial aircraft in 2023, rising steeply above competitor Boeing’s 480 deliveries. The deliveries solidify Airbus’s title as the world’s largest plane manufacturer for the fifth straight year, and cast doubt on whether the commercial aircraft market is still characterized by the long-running Boeing-Airbus duopoly.
Container carriers are boosting orders for new builds in a bid to curb their exposure to the charter market, Seatrade Maritime reported on Thursday, citing Braemar researcher Jonathan Roach. “Today about 80% of the orderbook is liner company owned. Historically liner companies owned about 55% of ordered tonnage,” Roach said. Nevertheless, analysts are mixed on whether this strategy will pay off for carriers, with some noting that carriers may find running costs for owned vessels higher than chartered ones, citing the substantial costs of newbuilds and high interest rates, the report said citing analysts.
OTHER STORIES WORTH KNOWING THIS MORNING-
- Ukraine targets Russian refinery: Two Ukrainian attack drones hit on Saturday Russia’s Volgograd oil refinery, the largest plant in the country’s south. The attacks caused a fire to break out, but it has since been extinguished and operations at the refinery have resumed. (Reuters)
- EU leaders vow to ease environmental regulations on farming: The EU plans to rethink recently passed climate-related legislation on farming. Farmers took to the streets in Brussels to protest environmental regulations that they say are hurting their businesses. (Financial Times)
