Company: SPR
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001628280-25-021582
Chunk: 114

Company: Spirit AeroSystems Holdings, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 1
Chunk 114
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 were as follows: 

Three Months EndedPrime CustomerApril 3,2025March 28,2024($ in millions)Boeing$871.8 $1,088.6 Airbus352.5 317.1 Other297.5 297.1 Total net revenues$1,521.8 $1,702.8 

Changes in Estimates

During the quarter ended April 3, 2025, we recognized unfavorable changes in estimates of $301.1 million, which included net forward loss charges of $293.4 million, and unfavorable cumulative catch-up adjustments related to periods prior to the first quarter of 2025 of $7.7 million. The forward losses in the first quarter were primarily driven by schedule changes, current production performance, and supply chain cost growth on the A350 and A220 programs, schedule changes, production cost and supply chain cost growth on the B787 program, increased costs related to factory performance on the B767 program, and supply chain cost estimates on the KC-135 program. The unfavorable cumulative catch-up adjustments primarily relate to increased production costs and schedule changes implemented by Boeing on the B737 program and schedule changes and increased production costs on the B777 program. Additionally, we are maintaining a higher cost profile for a planned rate increase that has been delayed due to production rate limitations on the B737 program, and production cost overruns on the A320 program. As referenced above, we utilize a periodic forecasting process to assess the progress and performance of our programs. We may continue to experience forward losses in the future as a result of production schedule impacts from our customers, increases in costs related to persistent inflation, or other factors resulting in cost estimates higher than our original forecast. 

During the same period in the prior year, we recognized total unfavorable changes in estimates of $534.6 million, which included net forward loss charges of $495.4 million, and unfavorable cumulative catch-up adjustments related to periods prior to the first quarter of 2024 of $39.2 million. 

Three Months Ended April 3, 2025 as Compared to Three Months Ended March 28, 2024

Revenue.  Net revenue for the three months ended April 3, 2025 was $1,521.8 million, a decrease of $181.0 million, or 10.6%, compared to net revenue of $1,702.8 million for the same period in the prior year. The decrease