The Boeing Company (BA) Q3 2025 earnings summary

Executive summary

• Revenues rose 28% year-over-year to $65.5B for the nine months ended September 30, 2025, driven by higher commercial deliveries and improved defense performance, with third quarter revenue up 30% to $23.3B and 160 commercial deliveries, the highest since 2018.

• Net loss attributable to shareholders was $6.0B for the nine months, an improvement from $8.0B loss in the prior year, with a third quarter net loss of $5.3B.

• Operating margin improved to -6.9% for the nine months and to (20.5)% for the quarter, reflecting lower charges on fixed-price development programs.

• Major one-time items included a $4.9B reach-forward loss on the 777X program, delaying first delivery to 2027, and legal settlements related to the 737 MAX.

• Total backlog increased to $636B, with over 5,900 commercial airplanes.

Financial highlights

• Revenue rose 30% year-over-year to $23.3B in Q3, with Commercial Airplanes revenue up 49% to $11.1B, Defense up to $6.9B, and Global Services up 10% to $5.4B.

• Net loss for the quarter was $5.3B, improved from $6.2B loss in the prior year quarter; diluted loss per share was $(7.14).

• Free cash flow for the quarter was $238M, a turnaround from negative $1.3B last year; operating cash flow was $1.1B.

• Cash and investments stable at $23.0B; consolidated debt at $53.4B, with $8.7B in short-term debt and $10.0B in undrawn credit facilities.

• Operating margin improved to (20.5)% from (32.3)% year-over-year.

Outlook and guidance

• 737 production stabilized at 38 per month, with FAA agreement to increase to 42 per month; 787 production stabilized at 7 per month, with investments in South Carolina.

• 777X first delivery now expected in 2027 due to certification delays, with cash neutrality targeted by 2028 and positive cash flow from 2029.

• 2025 free cash flow usage outlook improved to ~$2.5B, better than prior $3B estimate; higher CapEx anticipated for Charleston and St. Louis expansions.

• Certification of 737-7 and 737-10 delayed to 2026; ongoing supply chain and regulatory risks may impact future deliveries.