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Boeing warns of potential 777X delays through 2027
Boeing is preparing for potential further delays regarding its modernized 777X wide-body jet. During a Morgan Stanley conference, CEO Kelly Ortberg indicated that certain testing and certification phases could extend into 2027.
The primary cause for the revised timeline is the pending certification of the GE9X engines produced by GE Aerospace. Issues with engine seals were identified, though GE Aerospace stated the cause has been addressed and improved units have been delivered.
Despite these potential testing delays, Boeing maintains its goal to begin deliveries of the first 777X aircraft in 2025. The program is currently seven years behind its original schedule. Lufthansa is among the first customers awaiting the aircraft.
Boeing's stock experienced a decline following the announcement, dropping 3.7 percent in late US trading. Additionally, CFO Jay Malave tempered financial recovery expectations, noting that free cash flow for 2026 might be lower than previous projections due to slower production stabilization for the 737 Max and 787 Dreamliner.
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Boeing · GE Aerospace · Kelly Ortberg · Lufthansa · Morgan Stanley