Investing.com -- Boeing's (NYSE:BA) deliveries of its 737 jets "held firm" in September thanks in part to measures taken by the aerospace giant to offset the impact of an ongoing strike by workers in the US Pacific Northwest, according to analysts at Bank of America.
Boeing delivered around 28 of the planes during the month, down slightly from 32 units in August, the BofA analysts said, citing data from aviation analytics group Cirlum.
Calling the total "solid," the analysts noted that 70% of the monthly deliveries were carried out prior to the onset of the work stoppage.
Third-quarter deliveries also remained "strong," with approximately 92 of Boeing's popular 737s delivered during the period, up from 70 in the second and third quarters, the data showed.
However, when compared to the corresponding timeframes in 2023 and 2022, 737 deliveries are down 20% and 17%, respectively, the BofA analysts said.
They flagged that the company's delivery performance going forward "will largely depend" on the duration of the strike, which is now in its third week.
The workers have rebuffed two pay proposals from Boeing, prolonging the labor action and placing further pressure on the jetmaker's finances and production during a time when its safety record is already under intense scrutiny. Boeing's credit rating is also hovering at close to junk status, Reuters has reported.
Boeing Chief Financial Officer Brian West has warned that the work stoppage may crimp the company's supply chain as well.
Last week, Boeing said it had put forward a sweetened deal to the workers that would have included a 30% general pay bump over four years and an improvement in retirement benefits. Boeing said it was its "best and final" offer.
However, the International Association of Machinists and Aerospace Workers District 751, which represents the 33,000 striking workers, rejected the approach, saying it was "thrown at us" by Boeing without prior negotiations.
A mediator has been engaged to help break the impasse, Bloomberg News reported.
Boeing is also mulling a potential stock sale worth at least $10 billion as part of a bid to raise funding, according to Bloomberg.