Boeing reported third‑quarter 2025 revenue of $23.27 billion, up 30% year‑over‑year and above the $21.97 billion consensus estimate. The company posted a GAAP loss of $5.339 billion and a diluted loss per share of $7.14, largely driven by a $4.9 billion charge related to delays in the 777X program.
The $4.9 billion charge pushes the first delivery of the 777X to 2027 and adds to cumulative 777X program charges that now total about $15 billion. Despite the loss, Boeing generated $238 million in free cash flow, its first positive figure since the fourth quarter of 2023, and its total backlog rose to $636 billion, including more than 5,900 commercial aircraft on order.
In the Commercial Airplanes segment, Boeing delivered 160 aircraft in the quarter, the highest quarterly total since 2018. Production of the 737‑MAX stabilized at 38 planes per month, and the FAA approved an increase to 42 planes per month. The 787 program continued at a steady rate of seven aircraft per month. Certification of the 737‑7 and 737‑10 is now expected in 2026, pending resolution of anti‑ice system issues.
The Defense, Space & Security segment generated $6.90 billion in revenue, up 25% year‑over‑year, and reported operating earnings of $114 million, a turnaround from a $2.384 billion loss in the prior year. Global Services revenue rose 8% to $5.40 billion, with an operating margin of 17.5%.
Management reiterated guidance for the remainder of 2025, noting that the company expects to maintain the 737 production rate at 38 planes per month while pursuing FAA approval to increase the rate to 42. The company also highlighted its focus on stabilizing the 777X program and maintaining the 787 production pace, positioning the firm to continue converting its robust backlog into revenue and cash flow in the coming quarters.
Boeing’s 777X program has faced persistent delays since its initial target entry into service in 2020, with regulatory scrutiny, supply‑chain challenges, and design complexity contributing to the setbacks. The 737‑MAX production ramp‑up to 42 planes per month is a positive development for the company’s core commercial business. The Defense, Space & Security segment’s recovery is attributed to higher volume and new contract wins, while Global Services continues to demonstrate strong performance with consistent revenue growth and healthy operating margins. Boeing operates in a duopoly with Airbus, and delays in key programs can impact its competitive positioning.
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