Boeing improves. Can CEO Kelly Ortberg continue this?

After spiral from the crisis to the crisis for most of the last seven years, Boiling stabilizes under the CEO Kelly OrtbergGuide.

Ortberg, long -standing executive director of aerospace and engineer whom the manufacturer torn from retirement To fix the company concerning the problems last year set this week to outline a significant progress Since he took the helm a year ago. Boeing reports quarterly results and gives its forecast on Tuesday.

So far, investors like what they saw. This year, the company’s shares increased by more than 30%.

Wall Street analysts are waiting a year ago When reported. Ortberg told investors in May that the manufacturer is counting generate cash In the second half of the year. Boeing’s aircraft has increased and its Delivery of the aircraft Just reached the highest level in 18 months.

This is a shift for Boeing whose whose Consistent leaders Missed targets for delivery of aircraft, certificates, financial goals and changes of culture that disappointed investors and customers, while the Airbus competitor pulled forward.

“The overall agreement is that culture changes after a decades of stab wounds,” said Richard Abelafia, director of Aerodynamic Advisory, aerospace consulting firm.

Analysts expect the company to post its first annual profit since 2018.

“When he got a job, I was nowhere optimistic as today,” said Douglas Hard, a senior analyst of the aerospace and Bernstein’s defense.

Ortberg’s work was already cut for him, but the problems were multiplied when he arrived.

As a company that rehabilitated cash announced Ortberg Massive cost cutsincluding deposit 10% of the company. Its drivers who force most of their planes continued strike During seven weeks while the company and the union workers have signed a new a work transaction. Ortberg also oversee over $ 20 billion Enhancement of the capital Last fall replaced the head of the defense unit and sold their Navigation Business Jepepsen.

Ortberg bought a house in the Seattle area where Boeing produces most of his planes, shortly after getting a job in August in August. And his presence was positive, aerospace analysts said.

“It is shown,” Aboulaf said. “You are, you talk to people.”

Boeing refused to make Ortberg available for interview.

Boeing leaders hoped for year turn In 2024. But five days in the door snatched With almost a new Boeing 737 Max 9 when he flew out of Portland. A Almost catastrophe Brought Boeing a slowdown slowdown, updated close control of the Federal Aviation Administration and billions of cash.

Key bolts were left on the plane before it was delivered Alaska Airlines. It was the last in a number of quality problems in Boeing, where other defects require time -consuming processing.

In 2018 and 2019, Boeing was already saturated with two deadly accidents, which have nominated the reputation of the largest exporter in America. Company in May reached agreement With the Ministry of Justice, to avoid harassment related to the battle for the previous criminal conspiracy related to accidents. Members of the victim family threw a deal when it was announced.

Over the years, Top Boeing Airline clients have publicly complained about the manufacturer and its guide when they fought the delay. Ryanair CEO Michael O’lir told investors in May 2022 that “reboot or uploading” is required to manage.

Last week O’lir had a different tune.

“I continue to believe that Kelly Ortberg (and the CEO of the Boeing Commercial Aircraft), Stephanie Pope, is doing a great job,” he said by the call. “I mean, there is no doubt that the quality of what is being produced, the housing in the Viva and the planes in Seattle have improved significantly.”

United Airlines CEO Scott Kirby raised doubts about the Boeing 737 Max 10 after the January 2024 accident, when the carrier was preparing not to have this plane in his fleet plan. The aircraft is still not certified, but Kirbi said Boeing was greater predictability in the supply of the plane.

However, Max 10 delays, the largest Max family and even the most that will be certified by Max 7, the smallest, is the headache for customers, especially since too little or too much space on the flight can determine the profitability for the airlines.

“They work with the right problems. The supply sequence is much better”, South -Western airlines CEO Bob Jordan said in an interview last month. “But there is no update on Max 7. We assume we are not flying in 2026.”

FAA limited Boeing’s production At 38 highs a month, the speed it reached. To go beyond this, to the target 42, the Boeing will need a blessing FAA.

This year, Ortberg said the company will stabilize to go beyond this rate. Manufacturers receive a salary when delivering aircraft, so higher production is key.

“I would suspect that they would have these discussions very soon,” Harden said. “This is 47 (month) that I believe that a difficult break.”

He added that Boeing has a lot of inventory to help increase production.

His defense was also affected. Defense Department covers programs such as Tanker KC-46 and Air Airwho attracted public anger from President Donald Trump. Trump, disappointed with the delays of two new planes designed to serve the president, turned to the used Qatari Boeing 747 In order to potentially use as presidential planes, although insiders say the used plane may require months of re -impact.

Ortberg replaced the head of this unit last fall.

“They are not quite out of the forest,” Harden said.

Boeing and Ortberg should also start thinking about a new plane, some members of the industry said. Its best -selling 737 debuted in 1967, and the company looked at medium -sized before two accidents sent their attention elsewhere.

“There has already been a turn from” Read my lips, a new plane. “I would like to see it accelerated,” Aboulaf said. “He is a guy to happen.”