Boeing announced a significant increase in commercial airplane deliveries in March, with 64 new jetliners delivered. The return of the long-range 787 Dreamliner after a temporary halt helped the U.S. aircraft manufacturer edge out European rival Airbus in deliveries and new orders. Seven of the 64 planes delivered were 787s, which were grounded for several weeks by U.S. regulators due to questions about pressure seals in the front of the planes.
Most of the deliveries were for the smaller 737 Max jet, with 52 delivered in March, including 12 each to Southwest Airlines and United Airlines. However, the production and regulatory issues that have led to several halts in 787 deliveries over the past two years continue to affect the company, with the Federal Aviation Administration proposing that airlines inspect their 787s for lavatory leaks that could damage electronic equipment.
Despite these challenges, the increase in deliveries is a positive sign for Boeing, as deliveries are a key source of cash for the company. Boeing also reported 60 new orders in March, though 22 orders were canceled, resulting in a net gain of 38 orders. Japan Airlines accounted for the largest chunk of these orders, with a previously disclosed order for 21 Max jets.
Meanwhile, Airbus reported 61 deliveries in March, bringing its total for the year to 127, mostly from its A320 family that competes with Boeing 737s. Airbus also received orders for 20 planes in March, but two others were canceled.
Boeing's successful increase in deliveries in March may be an indication that the company is on track to bounce back after a loss of more than $5 billion last year. However, the ongoing regulatory and production issues with the 787 Dreamliner highlight the need for the company to continue working towards improving its manufacturing processes and ensuring regulatory compliance to avoid further delays and disruptions.
