Shares of Spirit AeroSystems Holdings Inc. (SPR) surged 4.3% in premarket trading Wednesday after the aircraft components maker swung to a narrower-than-expected loss on revenue that fell less than forecast. The company reported a net loss of $163.0 million, or $1.57 a share, after net income of $163.1 million, or $1.55 a share, in the year-ago period, as the suspension of Boeing Co's (BA) production of the 737 MAX plane led to lower margins as given "abnormal" costs associated with the COVID-19 pandemic. Excluding non-recurring items, the company swung to a per-share loss of 79 cents from a profit of $1.68, but beat the FactSet consensus for a loss of $1.27 a share. Revenue dropped 45% to $1.08 billion, but was above the FactSet consensus of $1.02 billion, as beats by its fuselage systems wing systems businesses offset a miss by its propulsion systems business. Among actions the company has taken preserve liquidity and cut costs amid the COVID-19 pandemic include cutting the dividend, suspending share buybacks, deferring repayments of an advance from Boeing and cutting jobs and work schedules. The company said it will not provide 2020 financial guidance given the continued uncertainties surrounding the 737 MAX grounding and the COVID-19 pandemic. The stock has plunged 73.2% over the past three months through Tuesday, while the S&P 500 has declined 14.3%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
May 06, 2020 08:13 ET (12:13 GMT)
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