Referenews

Both Boeing and rival

Airbus SE

benefited from a rebound in aircraft orders last year as airlines recovered from the pandemic-driven travel downturn. The companies have struggled to boost production to match, citing shortages of jet engines and other components.

Boeing’s fourth-quarter earnings and sales both fell short of analysts’ expectations. It didn’t report additional charges for production missteps, having taken some in 10 of the past 12 quarters.

Arlington, Va.-based Boeing has taken charges on big military programs including the KC-46A tanker and Air Force One replacement, for inefficient production rates on its commercial aircraft and compensation for customers of delayed jets.

The company reintroduced some financial and delivery guidance for the first time in almost three years at its November investor meeting. On Wednesday, it reaffirmed that guidance. 

Boeing has been producing its 737 MAX jets at a lower rate than executives initially forecast. Deliveries of the single-aisle and the wide-body 787 Dreamliner have lagged behind analysts’ expectations. It said it would deliver 400 to 450 of its 737 MAX jets this year and 70 to 80 of its 787 Dreamliners. Boeing delivered 480 planes last year.

“We’re not shooting for the low end of the range here,” Chief Executive

David Calhoun

said on an investor call. The company’s ability to increase production is mainly tied to suppliers raising their own output, he said.

Boeing said it generated free cash last year—real cash that a company has left over each quarter after paying its bills and making investments—for the first time since 2018. Executives have said they are targeting improved cash generation to help pay down debt.

Increasing aircraft production and deliveries helps improve the cash position as customers pay the bulk of an aircraft’s price when they receive jets.

The company’s shares were down around 1% in early afternoon trading.

Boeing’s existing 2023 guidance doesn’t include new deliveries to China, which have been paused for almost four years. Mr. Calhoun said he was optimistic more Chinese carriers would start flying their existing MAX jets and then take some new ones, though he declined to say when that might happen.

Boeing delivered 69 jets in December, boosting sales, though the commercial arm reported an operating loss of $626 million for the quarter ended Dec. 31.

Its defense division posted an operating profit of $112 million in the quarter. Profit margins lagged behind those of rivals such as

Lockheed Martin Corp.

that reported this week. Its services unit delivered an operating profit of $634 million.

Boeing on Wednesday reported a loss of $663 million for the quarter, compared with a deficit of $4.16 billion a year earlier. Sales rose 35% to $20 billion.

The adjusted per-share loss of $1.75 in the final quarter—which excludes certain pension items—fell short of expectations for a 20-cent profit among analysts polled by FactSet.

Boeing reported a loss of $5.01 billion in 2022 compared with a year-earlier deficit of $4.3 billion, with sales for the year rising 7% to $66.6 billion.

Write to Doug Cameron at Doug.Cameron@wsj.com