Boeing has delivered a mere 20 commercial aircraft between April and June. The manufacturer delivered 90 aircraft during the same period in 2019, representing a 78% drop.
Furthermore, Boeing delivered 50 aircraft between January and March in 2020. This equates to a 60% reduction in deliveries in the Second-Quarter.
Summary of Second-Quarter Deliveries
|Aircraft Type||Number Delivered||Comparison with 2019|
COVID-19 Shutdown to Blame
In their quarterly-statement, Boeing has attributed the drop in delivery to COVID-19. Dow Jones analysis of Boeing’s results indicates that at 20 deliveries this is the lowest experienced since 1963.
“Our commercial airplane deliveries in the second quarter reflect the significant impacts of the COVID-19 pandemic on our customers and our operations that included a shutdown of our commercial airplane production for several weeks. We have and will continue to work with our customers on specific timing and adjustment to deliveries,”Greg Smith, CFO, Boeing
In an attempt to calm investors, Boeing announced that existing contracts with government, defence and space agencies will provide “some stability through the pandemic and rebuild stronger on the other side”.
Stock market analysts are predicting a loss of about $2.12 a share from $14 billion in sales. Sales are expected to drop almost 10% year over year, according to the Dow Jones. The full results will be announced on 29th July.
Article Sources: Boeing and Dow Jones