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The Boeing Co. (NYSE: BA) gained back ground in November after a series of production issues that have constrained deliveries in recent months, putting it closer to its year-end delivery goals.
The aerospace manufacturing giant delivered 56 planes during the month, including 46 from its Renton 737 factory, setting it up to hit its target of 375 to 400 of the single-aisle jets delivered in 2023.
That stacks up against 64 deliveries by its French competitor Airbus, including 55 single-aisles. Deliveries are critical to Boeing’s cash flow, as they’re when the jet maker receives the bulk of its jet sales revenue. Its Seattle-based commercial aircraft division has struggled in 2023; while revenues rose 40% compared with the first three quarters of 2022, it was still operating at a loss to the tune of $1.68 billion so far this year.
The progress last month makes up some of the ground lost during September and October, after key supplier Spirit AeroSystems revealed flaws in 737 Max fuselages it had delivered to Boeing. That followed a previous error by a supplier to Spirit that necessitated fixes near the tail of the planes. November’s 737 deliveries included a mix of newly built planes as well as jets the company had previously produced that were undergoing refitting and repairs.
The remaining deliveries of 10 widebody jets were largely a mix of 787 Dreamliners from its North Charleston, South Carolina, production facility. Boeing will still need to deliver another eight 787 Dreamliners in December to hit the low end of its target range for the full year, after handing off six of the jets to customers in November. The Dreamliner line encountered its own snags earlier this year, with inspections and rework taking place in Everett on planes it built in 2021 and 2022.
Boeing also handed off two 777 freighters, a 767 freighter for UPS and a KC-46 tanker during the month.
Boeing's report coincided with an announcement by Boeing and Airbus that they had split an order from Dublin-based leasing firm Avolon for 40 737 Max jets and 100 A321neo aircraft.
"With long-term travel demand expected to remain strong, we are ready to support lessors looking to increase their single-aisle portfolios with fuel-efficient jets capable of operating across various route networks," Brad McMullen, senior vice president of commercial sales and marketing, said in a news release Tuesday.
That deal builds on several orders Boeing secured during the Dubai Airshow, including a massive sale of 90 777X jets to Dubai-based airline Emirates and a follow-on order for tankers based on the 767 airframe by the U.S. Air Force. Final assembly of both jets happens in Everett.
In total, Boeing said it secured 104 orders during November after cancellations, bringing its backlog to 5,324 jets after accounting for customer creditworthiness. More than three-quarters of those are single-aisle jets from its Renton facility.
Airbus, meanwhile, said it had 61 net orders for the month, bringing it to 1,395 for the year and a backlog of more than 8,000 aircraft, before accounting for customers' ability to pay.
