Shares of Boeing Co.
BA,
surged 3.1% in premarket trading Wednesday, after the aerospace and defense giant reported a wider-than-expected loss but topped revenue expectations and affirmed the full-year outlook for free cash flow. Net losses narrowed to $1.64 billion, or $2.70 a share, from $3.31 billion, or $5.49 a share, in the year-ago period. Excluding nonrecurring items, core per-share losses of $3.26 were wider than the FactSet loss consensus of $3.18. Revenue grew 13.5% to $18.10 billion, above the FactSet consensus of $18.01 billion, as revenue from Boeing’s commercial airplanes and global services businesses topped expectations while defense, space and security revenue missed. Free cash flow of negative $310 million compared with the FactSet consensus of negative $266.7 million. For 2023, the company affirmed its guidance for free cash flow of $3.0 billion to $5.0 billion and for 70 to 80 787 deliveries, but cut its outlook for 737 deliveries to 375 to 400 from 400 to 450 as quality issues led to delivery delays. Boeing’s stock has dropped 14.8% over the past three months through Tuesday while the Dow Jones Industrial Average
DJIA,
has shed 6.5%.
