The Boeing Company (BA) Q4 2025 earnings summary

Executive summary

• Achieved highest quarterly revenue since 2018 at $23.9 billion, up 57% year-over-year, driven by improved operational performance and higher commercial and defense deliveries.

• Delivered 600 commercial airplanes in 2025, the highest since 2018, and secured over 1,100 commercial orders, resulting in a record backlog of $567 billion.

• Completed the acquisition of Spirit AeroSystems and divested Digital Aviation Solutions for $10.6 billion, strengthening the balance sheet.

• Defense business achieved key milestones, including delivery of the first T-7A Red Hawk and a major contract win for the U.S. Air Force sixth-generation fighter.

• Services segment (BGS) posted record orders and backlog, and launched a unified e-commerce platform.

Financial highlights

• Quarterly revenue reached $23.9 billion, up 57% year-over-year; full-year revenue rose 34% to $89.5 billion.

• Core EPS for the quarter was $9.92, primarily reflecting an $11.83 gain from the Digital Aviation Solutions sale; full-year core EPS was $1.19, up significantly year-over-year.

• Free cash flow was positive $375 million for the quarter and a usage of $1.9 billion for the year, both improved from prior periods.

• Cash and marketable securities increased to $29.4 billion, with a debt balance of $54.1 billion.

• Q4 net earnings were $8.2 billion, compared to a $3.9 billion loss a year ago.

Outlook and guidance

• Expects positive free cash flow of $1–$3 billion in 2026, despite a $1 billion negative impact from Spirit integration.

• Capital expenditures projected to rise to $4 billion in 2026, supporting production ramp-ups and integration.

• 2026 free cash flow expected to be negative in the first half, turning positive and accelerating in the second half.

• Long-term free cash flow target of $10 billion remains attainable, contingent on certification milestones and production rate increases.

• Management emphasized ongoing recovery momentum and focus on stable operations, development program completion, and stakeholder trust rebuilding.