Boeing (BA  ) reported third-quarter results that were above expectations. However, the company's stock ended up 2% lower as management was negative about the company's near-term prospects due to the coronavirus and issues stemming from the 737 Max.

Boeing expects about 7,000 job cuts due to diminished demand from airlines due to decreased travel and the grounding of the 737 Max. However, the company expects that regulators will soon lift this ban.

Inside the Numbers

Boeing posted a third-quarter loss of $1.39 per share which was better than expectations of $2.52 per share. This marked Boeing's fourth straight quarterly loss. Revenue also came in above expectations sat $14.1 billion vs $13.9 billion which was a decline of 29% from last year.

Boeing's stock has been hit hard by two factors - the coronavirus and 737 Max. The ban on the 737 Max means that Boeing can't make deliveries and generate cash. The coronavirus has resulted in airlines canceling orders for new planes.

There were some hopes as the summer ended that the coronavirus would recede and travel would continue to normalize. However, this is no longer the case. Coronavirus infections have been increasing in many parts of the world with many countries going down into lockdown once again.

Health officials are saying that the situation won't return to normal until late 2021 or early 2022. This obviously means more pain for the travel industry and companies like Boeing. This means that its goal to become cash-flow positive by the end of the year is less likely. In the third quarter, it had a negative cash flow of $5.1 billion. So far in 2020, it's lost 381 net orders for new planes and is projecting a much lower sales count for the remainder of the decade.

In the conference call, CEO Dave Calhoun said the company's current focus is on cutting costs to survive this year-long slump. By the end of 2021. it's looking to shrink its workforce to 130,000 from 160,000 currently. It's also looking to cut office space by 30%.

Stock Price Impact

Another source of revenue - defense spending - is also expected to remain depressed for the remainder of the decade since many countries will prioritize government spending to improve healthcare and stimulate the economy.

Overall, Boeing's stock has been a massive underperformed the last couple of years ever since the 737 Max issues started. The stock is down 67% since its peak in early 2019. Currently, it's 40% up from the March lows.

Some recent hopes that travel activity was picking up, a vaccine would be available, and the world would get back to normal sometime next year now looks like a fantasy. Expect Boeing to continue underperforming.