Boeing shares tumble as company lowers 2024 cash forecast

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Boeing shares were hammered Thursday after a top company official predicted another quarter of meager plane deliveries, likely resulting in negative cash for all of 2024. But on Thursday, West withdrew that forecast, indicating the company would likely have negative cash generation for the year.

Boeing shares fell after the company's CFO lowered the company's cash forecast. Photo: STEPHEN BRASHEAR / GETTY IMAGES NORTH AMERICA/Getty Images via AFP/File

Shortly after midday in New York, shares of the aviation giant were down 5.3 percent after Chief Financial Officer Brian West said the second quarter's cash performance could be"a little worse" than the first quarter during which Boeing burned through $3.9 billion in cash due to heavy operating costs and minimal incoming revenue because of reduced plane deliveries.

West said the second half of 2024 should itself be positive in terms of cashflow, owing to higher plane deliveries, increased receipts from a keyBoeing's weak financial outlook is tied to a reduced production cadence for the 737 MAX after a near-catastrophic incident January 5 on an Alaska Airlines plane.

Boeing is working with Chinese officials"but that will very likely have an impact in the quarter on deliveries in our cash flow," West said.

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