47a8a3b183b25dd27c6b68541a46d3c172f06b440498d007fb19d5ba7980115b

The dramatic drop in **Total Revenues** in **Q4 2024** was driven by several key factors. **Lower commercial airplane deliveries** (with only **57 airplanes** delivered versus **157** in Q4 2023) significantly reduced revenue. Additionally, an **IAM work stoppage** disrupted production schedules, particularly affecting the 737, 767, and 777/777X programs, which further compounded the revenue decline. Finally, **$1.7 billion in pre-tax defensive program charges** on several major programs and substantial declines in revenue for both the **Commercial Airplanes** (down 55%) and **Defense, Space & Security** (down 20%) segments contributed to the overall decrease.  **[BA_3413375_3]** **[0000012927-25-000010_a202412dec318kprex991.htm:1]** **[20250128CG05706:2]** **[0000012927-25-000010_a202412dec318kprex991.htm:10]** **[20250128CG05706:0]** **[20250128CG05706:6]** 

Why did Total Revenues drop so dramatically in Q4 2024?

Boeing’s Operating Income turned negative in Q3 2024 primarily due to several major factors. The Commercial Airplanes segment experienced significant reach-forward losses—around **$3 billion** on the **777X** and **767 programs**—compounded by production disruptions from the **IAM work stoppage**, increased research and development expenses, and lower deliveries of the **777** and **787** programs, all of which greatly eroded margins. Additionally, the Defense, Space & Security segment incurred higher pre-tax charges on major fixed-price development programs, such as the **T-7A, KC-46A**, and **MQ-25 programs**, and saw increased losses from eliminations and unallocated items. These combined issues drove the operating loss to significantly worsen in Q3 2024.  **[BA_3403382_4]** **[20241023CG37809:1]** **[0000012927-24-000082_ba-20240930.htm:40]** **[0000012927-24-000082_ba-20240930.htm:45]** 

What caused Operating Income to turn negative in Q3 2024?

The steep increase in loss per share in Q3 2024 was primarily driven by several key factors. **IAM Work Stoppage** disrupted production and weakened revenue generation. Additionally, the company incurred significant **pre-tax earnings charges**—**$3.0 billion** on its 777X and 767 programs in the Commercial Airplanes segment and **$2.0 billion** on various Defense programs—which markedly increased overall losses. Furthermore, **lower revenues** combined with an **increased net loss** and a slight rise in **weighted average shares outstanding** compounded the per-share impact.  **[20241023CG37809:0]** **[0000012927-24-000079_a202409sep308kprex991.htm:0]** **[20241011CG29508:0]** **[0000012927-24-000067_a202410oct118kexhibit991.htm:0]** **[0000012927-24-000082_ba-20240930.htm:12]** 

What drove the steep increase in loss per share in Q3 2024?

The severe deterioration in basic EPS in FY 2024 is primarily due to **substantially higher net losses** and **an increased weighted average number of shares outstanding**. Boeing’s net loss grew sharply as it incurred significant reach-forward losses on programs like the **777X and 767**, faced **737-9 customer challenges** related to the January 2024 grounding, and experienced **lower deliveries** alongside production disruptions and higher fixed-price charges on development programs. Additionally, the **weighted average shares outstanding increased from 605.8 million in FY 2023 to 646.9 million in FY 2024**, which further diluted EPS. These combined factors led to a jump in the basic loss per share from **($3.67) in FY 2023** to **($18.36) in FY 2024**.  **[0000012927-25-000010_a202412dec318kprex991.htm:1]** **[0000012927-25-000015_ba-20241231.htm:98]** **[0000012927-25-000015_ba-20241231.htm:42]** **[0000012927-25-000015_ba-20241231.htm:45]** **[0000012927-25-000015_ba-20241231.htm:43]** 

Why did the basic EPS deteriorate so severely in FY 2024?

7455e46c0fbf7808e005d4161b2c406cd3e35e31c370af461749718f7ebd8b5f

The sharp drop in operating cash flow in Q2 2024 was primarily driven by several key factors. **Inventories increased by $5.7 billion** due to lower deliveries in the commercial airplane program; **accounts payable decreased by $1.1 billion**, meaning less cash was retained through payable deferrals; **unbilled receivables went up by $0.6 billion**; **concessions paid to 737 MAX customers more than doubled** (from $273 million to $681 million); and **the supply chain financing program saw a $0.2 billion reduction in payables**. These factors collectively resulted in a **$9.9 billion increase in cash used** for operating activities in Q2 2024 compared to Q2 2023.  **[0000012927-24-000055_ba-20240630.htm:51]** **[0001193125-24-198983_d835944ds4.htm:278]** 

Why did Operating Cash Flow drop so sharply in Q2 2024?

The negative operating cash flow in **FY 2024** was driven by several key factors. First, the **net loss increased** significantly—from **($2,242) million in FY 2023 to ($11,829) million in FY 2024**—which had a substantial impact on cash generation. Additionally, there was a **$12.9 billion unfavorable change** in assets and liabilities, largely due to a **$10.7 billion increase in inventories**, a **$2.5 billion decrease in accounts payable**, and a **$0.4 billion increase in unbilled receivables**. Moreover, production and delivery challenges—including slowed or paused production following an Alaska Airlines accident, ongoing **supply chain constraints**, and the **IAM 751 work stoppage**—further exacerbated the situation. Lastly, increased **customer concessions** totaled **$0.9 billion** in FY 2024. These factors collectively contributed to the significant negative shift in operating cash flow in FY 2024.  **[0000012927-25-000015_ba-20241231.htm:62]** **[0000012927-25-000015_ba-20241231.htm:64]** 

What contributed to the FY 2024 Operating Cash Flow turning negative?

What drove the swing to negative Free Cash Flow in Q2 2024?

Why did FY 2024 Free Cash Flow turn substantially negative compared to FY 2023?

d1fa582c4d9e5e10ebcb5301cbdfedffcab8476adcc35beadcb56033d99370ab

Sales of Products (USD, millions)

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Diluted Loss per Share (USD)

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BOEING (BA)

Financials