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Boeing 737 Max Deliveries Expected to Rise Significantly

Boeing 737 Max Deliveries Expected to Rise Significantly
Norwegian Air Benefits from Increased Production
Norwegian Air is experiencing early advantages from Boeing’s accelerated production of the 737 Max, having received two aircraft ahead of schedule in the second quarter. This development signals a recovery for the U.S. manufacturer following a period marked by constrained and unpredictable output. During a second-quarter earnings briefing on July 11, Norwegian CEO Geir Karlsen noted that Boeing has “significantly ramped up” production to the “30s” per month, describing the progress as “very promising.”
Karlsen emphasized that the early delivery of Norwegian’s two most recent leased 737 Max jets reflects a substantial improvement in the visibility of Boeing’s delivery schedule. He regarded this advancement as “nice to see” and a “big compliment” to Boeing, which has been striving to restore confidence after previous safety crises.
Strategic Fleet Expansion and Market Challenges
Norwegian is preparing to receive the first aircraft from its own order of 50 CFM International Leap-1B-powered 737 Max jets by the end of the year. The airline is also facing a critical decision regarding the exercise of 30 additional options, which may include the larger Max 10 variant. Karlsen highlighted that the terms for these options are “very attractive,” with pricing estimated to be 10 to 15 percent below current market rates.
Despite this positive momentum, Boeing and its customers continue to face significant challenges. The manufacturer is managing a “huge backlog” of orders, a concern reiterated by Karlsen. Furthermore, recent safety issues, such as those raised by the U.S. National Transportation Safety Board (NTSB) regarding potential engine problems, could affect market confidence and influence airline decisions on future deliveries. While some carriers, including Allegiant, have expressed optimism by securing credit lines backed by 737 Max deliveries, others remain cautious. For example, T’way Air is proceeding with its scheduled deliveries, but overall market reactions remain mixed as Boeing works to rebuild its reputation.
Capacity constraints are also impacting the broader industry. Alongside Boeing’s backlog, the grounding of numerous Airbus A320 aircraft for inspections of their Pratt & Whitney PW1100G engines is expected to restrict capacity growth in Europe for several years. Karlsen anticipates that these limitations will help support load factors and yields, even as Norwegian projects capacity growth of only 3 percent this year, a significant reduction from the double-digit increases seen in recent years.
Norwegian’s Financial Recovery and Future Outlook
Norwegian’s improved outlook coincides with the airline’s emergence from a business reconstruction process initiated in 2021. Having repaid its debt, the company plans to issue its first shareholder dividend in August. Chairman Svein Harald Oygard stated, “We have laid the basis for a sustainable, profitable airline.”
For the quarter ending June 30, 2025, Norwegian Group, including its recent acquisition of Wideroe, reported a 10 percent year-on-year revenue increase to NKr10.3 billion ($1.02 billion). Operating profit nearly doubled to NKr1.25 billion, while net profit also almost doubled to NKr932 million. Higher yields have helped offset cost pressures stemming from limited capacity growth, a weak Norwegian krone, and industry inflation.
At the end of the second quarter, Norwegian operated 90 mainline aircraft, comprising 28 737 Max 8s and 62 737-800s, with plans to expand its fleet to 96 aircraft by summer 2026.

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