WASHINGTON–Boeing reported a substantial reduction in its third-quarter losses on Tuesday, supported by stronger performance in its defense and services businesses, even as higher production costs continued to weigh on its commercial aircraft operations.
The Arlington, Virginia-based aerospace manufacturer posted a net loss of $116 million for the July-September quarter, compared with a $5.34 billion loss during the same period in 2025.
Quarterly revenue increased 4% to $24.19 billion from $23.27 billion a year earlier, reflecting improved performance across key business segments.
Boeing’s adjusted loss narrowed to 34 cents per share from $7.47 per share in the year-earlier quarter.
The company also reported a record total order backlog of $745 billion, including orders for more than 6,300 commercial aircraft, providing visibility into future production and revenue.
Despite the improvement in overall financial results, Boeing’s commercial aircraft division continued to face challenges associated with manufacturing expenses and production adjustments.
The company delivered 161 commercial airplanes during the quarter, compared with 160 in the corresponding period last year.
Revenue from the commercial aircraft business declined 3% to $10.7 billion, reflecting an unfavorable mix of aircraft deliveries and increased production-related costs.
The division recorded an operating loss of $697 million, a significant improvement from the $5.35 billion operating loss reported a year earlier.
Boeing attributed continued financial pressure to higher anticipated supply-chain expenses and costs associated with planned changes to aircraft production.
The company is working to stabilize production of its 737 aircraft at 47 planes per month, while manufacturing of the 787 Dreamliner remained steady at eight aircraft per month.
Boeing also reported regulatory progress involving two variants of its 737 MAX aircraft family.
The Federal Aviation Administration granted amended type certification to the 737-7 during the third quarter, followed by certification of the larger 737-10 in October.
Meanwhile, certification flight testing continued for the long-delayed 777-9 aircraft, with Boeing maintaining its target of delivering the first plane in 2027.
The company secured 300 net commercial aircraft orders during the quarter, including commitments from Turkish Airlines, Ethiopian Airlines and Lufthansa.
Its commercial aircraft order backlog reached a record $612 billion.
“Recent milestones, including certification of the 737-7 and 737-10 and selection to design and build the Navy’s sixth-generation fighter aircraft, are important steps as we continue building on our progress,” Boeing President and CEO Kelly Ortberg said.
Boeing’s defense, space and security division delivered stronger results, with quarterly revenue increasing 15% to $7.9 billion.
Operating earnings climbed to $492 million from $114 million during the same period last year, supported by higher business volumes, improved operational performance and a $252 million gain from the sale of HRL Laboratories.
The company said it had been selected by the U.S. Navy to design and manufacture the F/A-XX next-generation fighter aircraft.
Boeing also received a seven-year contract to expand production of PAC-3 missile seekers, strengthening its position in military aviation and missile defense programs.
Its global services business recorded quarterly revenue of $5.6 billion, representing a 4% increase from a year earlier.
Operating earnings in the division rose 9% to approximately $1 billion.
During the quarter, Boeing Global Services secured a U.S. Army contract to provide maintenance support for the AH-64 Apache helicopter fleet.
The division ended September with an order backlog of $33 billion.
Although the company’s latest financial results showed a significant improvement from the previous year, Boeing executives emphasized that further work is needed to stabilize operations and improve long-term profitability.
Ortberg said the company remains committed to strengthening safety standards, manufacturing quality and operational efficiency.
“But we are not done. We remain focused on safety and quality as we redouble our efforts on Lean and disciplined execution to deliver on our commitments and build the durable performance our stakeholders expect,” he said.
Boeing’s third-quarter performance reflected progress in reducing losses and rebuilding its financial position, although manufacturing costs, production challenges and the execution of major aircraft programs remain important factors in its recovery. (Source: IANS)
