Boeing reported a staggering loss of $11.8 billion in 2024, nearly a billion dollars each month, marking its worst financial performance since 2020. The company’s struggles were driven by a combination of safety crises, quality control issues, and a damaging strike.

The final quarter of the year, impacted by industrial action, saw Boeing lose $3.8 billion. Alongside well-documented problems with its commercial aircraft division, the company also faced setbacks in its defense programs. CEO Kelly Ortberg acknowledged the need for “fundamental changes” to restore Boeing’s financial health and rebuild trust.

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A key blow came in January 2024 when a door panel fell off a new 737 Max shortly after take-off, highlighting serious quality control lapses. This incident, linked to both Boeing and its supplier Spirit Aerosystems, reignited safety concerns following the 2018-2019 737 Max crashes that killed 346 people. As a result, regulators demanded major changes to Boeing’s production processes.

Boeing’s challenges were compounded by a seven-week strike in September, which halted production of critical aircraft models, including the 737 Max, 777, and 767 freighter. The strike cost Boeing billions and was settled in November, but its impact lingered.

In response, Boeing laid off 10% of its workforce and raised over $20 billion through share sales and borrowing to safeguard its credit rating. The company also pushed back the launch of the 777X, now slated to enter service in 2026 instead of 2025.

While Boeing delivered 348 commercial aircraft in 2024, its competitor Airbus delivered 766. Boeing’s defense business also underperformed, losing more than $5 billion due to rising costs on fixed-price military contracts.

Ortberg remains focused on stabilizing Boeing’s operations and improving safety and quality, to restore the company’s performance and regain trust from customers, employees, suppliers, and investors.