Boeing's 737 Deliveries Rebound From Midsummer Factory Meltdown

(Bloomberg) -- Boeing Co. delivered 61 of its highly profitable 737 jetliners in September, up from 48 a month earlier, recovering from supply shortages that disrupted production at a Seattle-area factory.

Key Insights

• The increase shows progress in Boeing’s effort to smooth manufacturing problems. The planemaker brought in 600 mechanics to help tackle work that left dozens of unfinished aircraft parked around the factory.
• Mechanics are making headway on jets awaiting parts, enabling Boeing to deliver nine more 737s than it made at the current production pace of 52 a month. Monthly shipments of the plane, Boeing’s biggest source of profit, have steadily improved since hitting a six-year low in July.
• On a quarterly basis, Boeing delivered 190 commercial aircraft, 12 fewer than a year ago as shortages of cabin equipment slowed some wide-body shipments. Executives expect to make continued progress on the 737 and have left full-year delivery targets intact.
• Boeing continues to outperform Airbus SE, its European rival. Airbus delivered 69 total aircraft in the month to 87 for Boeing.

Market Reaction

• Boeing was little changed at $385.42 at 11:50 a.m. in New York.