Boeing Expects To Struggle In 2025

After an incredibly turbulent 2024 filled with many lows, Boeing expects 2025 to be a struggle rather than a year of considerable improvements.

Such an outlook follows the planemaker reporting a net loss for the third quarter at over USD 6 billion after strike action, among other production woes, decimated the manufacturer.

While the new CEO and President, Kelly Ortberg, expressed optimism, 2025 isn’t expected to be the saving grace that Boeing requires.

Generally, 2025 will be another complex year in which the planemaker must find ways to mitigate further internal issues that could damage and further delay the turnaround measures that are being implemented now.

Boeing must also find ways to ensure its financials remain as stable as possible, which they aren’t in their current state. Ortberg says stability will be crucial if there’s any hope of a turnaround.

However, burning through cash is something all but guaranteed for Boeing, and while concerning the knowledge this will be happening, it is better than not knowing.

Boeing’s shares dropped in response to news that the planemaker would burn through cash throughout 2025. This was also due to a significant loss that spiralled the planemaker further into the deep end.

Ortberg firmly believes that Boeing can and will turn around its fortunes and become the legacy company it was known as in the mid-to-late 1900s when innovation was key.

However, Boeing isn’t a small company, and the damage seen on a public scale over the last six years and stretching towards a decade internally has damaged the manufacturer.

Boeing Looks Into The Future

While the damage is significant, Boeing still believes it can fund its operations in the foreseeable future. This forecast follows current estimates on market demand, production rates, cash receipt timing, and the ability to implement action to improve long-term liquidity.

Long-term forecasts will be a focal point for Ortberg in the coming months, with a call stating that reviewing them will help position the company in a suitable position to move forward.

To cope with the manufacturer’s struggles, there’s been talk of the prospective sale of core assets. This would follow the already announced downsizing of the business to try to save money.

Ultimately, the commercial airplanes division, such as defence, will all see things on the chopping board to preserve cash. A great deal of this focus on downsizing ensures that the manufacturer is conducting its day-to-day business optimally rather than having a massive, bloated, inefficient operation.