Boeing Takes Nearly $5 Billion Hit on 777X Program, Delays First Delivery to 2027

Boeing Co. (NYSE: BA) said Wednesday it will take a $4.9 billion charge on its long-delayed 777X jet program and push the first delivery of the wide-body aircraft to 2027, extending the timeline for a plane originally slated to enter service in 2020. The company said the latest write-down reflects customer penalties for late deliveries and continued certification delays. Including the new charge, Boeing has now recognized roughly $15 billion in total costs tied to the 777X program since its launch in 2013.

The updated schedule marks another setback for the world’s second-largest planemaker as it continues to recover from years of production disruptions and regulatory scrutiny. Boeing Chief Executive Kelly Ortberg acknowledged earlier this month that a “mountain of work” remained on the program but said no new technical issues had been identified.

Despite the 777X setback, Boeing’s third-quarter revenue climbed 30% to $23.27 billion, surpassing Wall Street’s consensus estimate of $21.97 billion, as stronger deliveries of commercial jets helped narrow losses. The company reported a net loss of $5.34 billion, or $7.14 per share, compared with a $6.17 billion loss a year earlier. Adjusted losses per share came to $7.47, steeper than analysts’ projected $4.59, according to LSEG data.Free cash flow turned positive at $238 million, the company’s first positive quarter since 2023. Boeing delivered 55 jets in September, its highest monthly total since 2018 and up sharply from 33 a year earlier, when a strike involving 33,000 workers in the Pacific Northwest disrupted production.

Boeing also received long-awaited approval from the Federal Aviation Administration earlier this month to raise production of its 737 MAX aircraft to 42 jets per month, easing a cap of 38 that had been in place since January 2024 following a mid-air panel failure incident.Wall Street analysts had anticipated a large 777X-related charge. Boeing shares were down about 1% in premarket trading following the announcement.

The 777X program, Boeing’s largest twin-engine jet and successor to the 777-300ER, is designed to compete with Airbus’s A350-1000 in the long-haul market. The aircraft combines new composite wings and next-generation GE9X engines intended to improve fuel efficiency by 10–12%. However, recurring delays, supply-chain challenges, and evolving certification requirements have pushed back its entry into service multiple times.

Even as Boeing navigates these challenges, analysts say the company is making progress stabilizing its commercial aircraft operations after several years of setbacks tied to the 737 MAX and supplier quality issues. Deliveries remain the key indicator of cash flow and revenue recognition, as airlines typically pay the bulk of aircraft costs upon delivery.

About Boeing

Boeing (NYSE: BA) is the world’s largest aerospace company and a leading manufacturer of commercial airplanes, defense systems, and space technologies. Headquartered in Arlington, Virginia, Boeing supports customers in more than 150 countries and is a major U.S. exporter and global supplier of advanced aviation and space solutions. The company is organized into three principal business units: Commercial Airplanes, Defense, Space & Security, and Global Services.