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Boeing posts wider loss but beats on cash flow
Boeing reported a wider-than-expected second-quarter loss as costs associated with its delayed Air Force One program weighed on earnings, although stronger revenue and better-than-expected cash generation signalled continued progress in the aerospace manufacturer's turnaround. The company posted an adjusted loss of US$0.76 per share, wider than analysts' expectations for a $0.28 per share loss. Revenue rose to $24.56 billion, topping forecasts of $24.26 billion. Boeing recorded a $280 million charge related to the program to deliver two next-generation 747 aircraft for use as Air Force One, reflecting increased investment as it works towards its targeted first delivery in 2028. Speaking to CNBC's Squawk on the Street, Ortberg said the Air Force One project had moved beyond the design stage. “It’s very important to our customer that we deliver that airplane on time,” he said. “We’re gonna put more resources on to make sure that we do that.” The Air Force One program has attracted renewed attention after President Donald Trump this month took his first flight aboard a luxury Boeing 747 donated by Qatar, which was intended to serve as an interim presidential aircraft while Boeing completes the new jets. The aircraft
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EasyJet backs Castlelake takeover proposal
EasyJet plc has agreed in principle to a £5.5 billion (A$10.6 billion) takeover by United States-based investment firm Castlelake, potentially taking the British low-cost airline private after more than two decades on the London stock market. The airline said its board would be prepared to recommend a cash offer of £6.90 per share, describing the revised proposal as reflecting a value that shareholders should consider. The new offer represents a 73% premium to EasyJet's closing price on 29 May when the private equity fund manager first disclosed its interest in the airline to British regulators. Announcing the agreement in principle on Sunday in a statement, the companies asked for an extension of the deadline to formally complete a deal that followed weeks of negotiations and several rejected offers. Under British takeover rules, Castlelake has until 3 August to submit a firm offer. EasyJet plc (LSE: EZJ) closed 20 pence (0.036%) higher at £5.582 pence on Friday, capitalising the company at £4.23 billion (A$8.12 billion). EasyJet had initially described Castlelake's approaches as "highly opportunistic", but after being granted limited access to commercial and financial information, the U.S. investor returned wit
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Hope on the horizon amid New York rail strike
New Yorkers dealt with massive travel disruptions amid a historic strike of rail workers, but it appears there may be a light at the end of the tunnel. “It’s much more promising today than it was yesterday,” James Louis, vice president of the Brotherhood of Locomotive Engineers, told CNN about the state of the talks Monday. The BLET is one of five unions with members on strike. The strike started on Saturday after talks to avert the walkout failed. Talks between the Metropolitan Transportation Authority, which runs the railway, and unions representing railroad workers resumed Sunday afternoon and then took a break. MTA CEO Janno Lieber said he was cautiously optimistic following the talks. “The talks yesterday were productive. The folks are working hard. We are headed in a positive direction, but we have to get it finished,” he told CNN affiliate WABC-7 news. Last year, a similar strike took place in New Jersey that lasted only three days. If a deal is reached on Monday, trains could resume operation before the Tuesday rush hour. The workers would return to work even before a deal is ratified. But should rank-and-file members at any of the five unions vote down any deal, a strike could quickly resume. Ac
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NY rail workers continue strike into third day
New York’s rail network is facing significant disruption as workers on the Long Island Rail Road (LIRR) continue their strike into a third day, affecting hundreds of thousands of commuters ahead of the Monday morning rush. Unions representing New York’s LIRR launched the strike over the weekend after failing to reach a deal with rail management over pay and work rules. The strike has already reached its second day and is the first strike on the LIRR in over 30 years for around 3,5000 union workers, following a two-day stoppage in 1994. The Metropolitan Transportation Authority (MTA) has warned there is "no substitute" for the railroad, urging commuters to work remotely if possible. As no formal talks between union leaders and management are scheduled for Sunday, the strike is likely to continue into the busy weekday rush on Monday. Limited shuttle services are being provided for stranded passengers, though the MTA has warned of "severe congestion and delays". New York Governor Kathy Hochul urged unions representing the LIRR to resume bargaining on Sunday, saying a long strike hurts workers and hundreds of thousands of commuters. “This is my official invitation. We didn’t want you to leave. You left. You’re wel
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Alaska Airlines to raise US$500m in debt over fuel crisis
Alaska Airlines has announced it will raise half a billion in debt, as the ongoing war in Iran continues to drive up jet fuel prices. The airline will issue debt securities that mature in 2031, in the wake of jet fuel prices nearly doubling in recent months. The price of fuel usually forms around a quarter of the operating expense for an airline, and for carriers that are more reliant on imports, the effect is being felt heavily. Alaskan Airlines will be the third United States-based airline to raise debt in the wake of the war with Iran, joining American Airlines and JetBlue Airways, which raised US$1.4 billion and $500 million, respectively.

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American Airlines cuts guidance, reports net loss
American Airlines has become the latest airline to cut its 2026 earnings forecast following a surge in fuel costs that added billions to expenses this year. The company expects earnings per share to come in at a loss of 40 cents per share to a profit of US$1.10 per share. This is a steep decrease from the January forecast of $1.70 to $2.70. It did, however, follow the trend of Wall Street analysts trimming forecasts for the industry since the U.S.-Israel attacks on Iran this year. American Airlines made this guidance under the assumption that fuel would be $4 per gallon. “Even in a volatile operating environment, our pretax margin improved by nearly 2 points year over year, and we still anticipate modest profitability for the year assuming the current forward fuel curve,” American Airlines CEO Robert Isom said. Fuel is generally their biggest expense after labour. For the second quarter, the company expects a loss of 20 cents per share to earnings of 20 cents per share. It also expects revenue to rise 13.5% to 16.5% for the second quarter. This comes after American Airlines delivered revenue of US$13.91 billion for the first quarter, up from $12.55 billion the same time last year. This was also above expect
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Southwest Airlines Q2 forecasts miss expectations
Southwest Airlines second-quarter forecasts fell below analysts expectations as the war in Iran increases fuel prices. For the second quarter, the airline expects adjusted earnings per share between US$0.35 and $0.65, with fuel costs expected to reach $4.10 and $4.15 per gallon. This is higher than the $2.73 gallon it cost in the first quarter. Analysts polled by LSEG expected Q2 guidance to reach $0.55 per share. The company also said its previous guidance of $4 per share, which it expected in January, would “not be productive at this time”. “Achieving this outcome would require lower fuel prices and/or stronger revenue performance to offset higher fuel expense,” the airline said in an earnings release. “The Company expects to provide updates to this guidance as appropriate.” Other airlines, like United, have also decreased or cut their guidance amid the higher fuel costs. They are also pulling back on their capacity growth plans to cut costs, which can drive up airfare when fewer seats are for sale. Southwest said it expects its capacity to be flat to up no more than 1% in the second quarter, and unit revenues to rise by 16.5% to as much as 18.5% over last year. Despite headwinds created by the conflic
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United Airlines cuts guidance amid rising fuel costs
United Airlines slashes its 2026 earnings guidance as it grapples with rising oil prices caused by the war in Iran. The airline said it has already begun adjusting its schedule for 2026 to account for higher fuel prices, with an expected 5-point capacity reduction versus its original plan. It also said it could earn between US$7 and $11 per share on an adjusted basis this year, down from the previous forecasts it released in January of between $12 and $14 per share. Analysts polled by LSEG forecasted that United’s full-year earnings per share would be $9.58. For the second quarter, United expects earnings per share of between $1 and $2. Analysts expected $2.08 for the quarter. The airline estimated that fuel prices would average $4.30 a gallon in the second quarter. United said it anticipates revenue will cover around 40% to 50% of the fuel increase in the second quarter, as much as 80% in the third quarter, and between 85% and 100% by the end of the year. "Moments of uncertainty for the airline industry may also create opportunity for United," United CEO Scott Kirby said. "We have demonstrated quarter after quarter that we are built to withstand disruptions, and this moment is no different.” While Un
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Carnival predicts US$500m hit to profits from fuel costs
Cruise operator Carnival Corporation reported record revenue last quarter, but has forecast an over US$500 million (A$726.4 million) hit to its full-year profits due to surging fuel costs. Carnival’s adjusted earnings per share were US$0.20, up from $0.13 one year ago and beating Zacks consensus estimates of $0.18. Revenue was $6.17 billion, rising from $5.81 billion and above estimates by 0.97%. “We delivered a strong start to the year, with record first-quarter operating results that exceeded our guidance, driven by healthy fundamentals and solid execution across the business,” said CEO Josh Weinstein. “This performance supported an increase to our full year operational outlook of nearly $150 million, helping to mitigate the impact of higher fuel prices.” Adjusted net income was $275 million, up from $174 million last year, despite a $54 million hit from higher fuel prices and currency rates. Operating income was $607 million, growing from $543 million. The company expects an impact of over $500 million from fuel prices. Oil prices have soared amid the United States and Israel’s war on Iran, with Brent crude prices have risen 51% since the beginning of March. Fuel consumption per available lower berth day fell