BOEING’S TROUBLED 787 Dreamliner looks unlikely to make a profit for at least two years after its first delivery, as the aircraft-maker warned yesterday that the programme could make a loss in its initial stages.
The manufacturer is poised to announce details of the fifth delay to the 787 programme after discovering weaknesses in the structure where the wings join the body.
Although it has repeatedly stressed that the fault can be fixed using a relatively minor technical solution, Boeing is gearing up for significant financial implications because of the cost of solving the problem and penalties to customers. The company warned yesterday that the latest delay could eat into its projections for $68 billion (€96 billion) in revenues this year and revealed that it was sitting on nearly $8 billion of inventory for the project, which is running more than two years behind schedule.
The comments came as Boeing reported net profit in the second quarter well ahead of Wall Street expectations. Net income for the quarter was $998 million or $1.41 per share, up from $852 million or $1.16 per share last time and ahead of expectations of $1.21 per share.
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