Boeing Q1 results reveal T-7 trainer trouble
The T-7A Red Hawk is scheduled to achieve IOC with the US Air Force in 2024. (Photo: Boeing)
Boeing's T-7 next generation trainer programme has suffered financial difficulties linked to supplier problems and COVID-19 complications.
Boeing's T-7 advanced trainer has been troubled by financial problems with the manufacturer posting a $367 million charge for the programme, caused by supplier negotiations influenced by supply chain problems, COVID-19 issues and inflationary pressures.
The charge was declared by the manufacturer in its Q1 2022 results, published on 27 April and which also showed that defence related activities saw a drop in revenue to $5.5 billion - a 24% decrease from quarterly figures recorded for the same period in 2021.
On a more positive note, the manufacturer pointed to a number of key contracts and manufacturing milestones secured or achieved over the course of Q1 2022, including, an order for six USSOCOM MH-47G Block II Chinook helicopters; the building of New Zealand's first P-8A MPA and completion of the 400th T-7A Red Hawk test flight.
Shephard's Defence Insight suggests that a procurement decision covering two low-rate production and eight rounds of full-rate production will be approved by the US DoD for the T-7A effort after 2023, with the USAF currently on course to buy 351 aircraft.
Boeing's military aircraft deliveries were broadly in line with numbers recorded in Q1 2021. The new figures revealed 22 AH-64E Apache attack helicopters were made, alongside seven CH-47F Chinooks, four F/A-18 fighters, four KC-46 tankers, three P-8 MPAs and one F-15 jet.
Related Equipment in Defence Insight
More from Defence Notes
-
![Taiwan approved for purchase of $11 billion in weapons from US]()
Taiwan approved for purchase of $11 billion in weapons from US
The US State Department’s approval of a multi-billion-dollar sale of weapons to Taiwan includes tactical mission networks equipment, uncrewed aerial systems, artillery rocket systems and self-propelled howitzers as well as anti-tank guided missiles.
-
![Ireland spells out $2.3 billion shopping list in five-year defence spending plan]()
Ireland spells out $2.3 billion shopping list in five-year defence spending plan
Ireland’s multi-annual investment in capital defence spending is set to rise from €300m in 2026 to €360m in 2029–2030 with major upgrades across land, air, maritime and cyber domains.
-
![US National Security Strategy prioritises advanced military capabilities and national industry]()
US National Security Strategy prioritises advanced military capabilities and national industry
The 2025 NSS has emphasised investment in the US nuclear and air defence inventory and national industry, but it leaves multiple unanswered questions on how the White House will implement this approach.
-
![Canada set to look away from its neighbour and across the Atlantic for partners]()
Canada set to look away from its neighbour and across the Atlantic for partners
While non-EU UK struggles to join the Security Action for Europe initiative, which provides loans for defence programmes, Canada has become the first country outside Europe to get access – and did so for a nominal fee.
-
![NATO experiments with solutions to integrate networks, AI and uncrewed systems]()
NATO experiments with solutions to integrate networks, AI and uncrewed systems
During the latest edition of the NATO DiBaX, the alliance tested multiple capabilities to inform requirements for future efforts.
