EVERETT — Boeing reported third-quarter results Tuesday showing higher revenue, a sharply narrowed net loss and positive free cash flow, as the company advanced key certification milestones on its 737 MAX family and continued ramping production, including at its new Everett North Line.
“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 in a statement. “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.”
Overall, Boeing posted revenue of $24.2 billion for the quarter ended Sept. 30, up 4% from $23.3 billion a year earlier. It recorded a net loss of $116 million, or 26 cents per share, compared with a net loss of $5.34 billion, or $7.14 per share, in the third quarter of 2025. On a core basis, which excludes certain pension and other items, the loss was 34 cents per share. Operating cash flow reached $1.5 billion, and free cash flow was $464 million. The company’s total backlog rose to a record $745 billion, including more than 6,300 commercial airplanes valued at $612 billion.
Commercial Airplanes revenue was $10.7 billion, down 3% on a less favorable delivery mix, with an operating loss of $697 million. The unit delivered 161 airplanes, including 124 737s, 10 767s, 5 777s and 22 787s. It booked 300 net orders, including from Turkish Airlines, Ethiopian Airlines and Lufthansa. The 737 program is progressing toward stabilized production of 47 airplanes per month. The 787 program remains stable at 8 per month. The 777X program continues certification flight testing, with first delivery targeted for 2027.
Those results follow several operational advances in the Puget Sound region since the second quarter.
In early July, Boeing launched low-rate initial production on its new $1 billion 737 MAX North Line at the Everett factory—the first 737 final-assembly line outside Renton in more than 50 years. The line, which began loading aircraft July 6 and held a ribbon-cutting July 10, is designed to support the production increases. On Oct. 26, the first 737 MAX 10 built on the North Line, a WestJet aircraft, rolled out of the Everett factory.
Certification progress also accelerated. The FAA issued an amended type certificate for the 737-7 in early August and for the 737-10 on Oct. 20, completing the MAX family. The 737-10, which can seat up to 230 passengers and accounts for more than 1,550 orders, incorporates enhanced safety systems. Deliveries of both variants are expected to begin in the coming months.
Labor stability also improved this year when on Oct. 1, members of the Society of Professional Engineering Employees in Aerospace (SPEEA) ratified four-year contracts covering roughly 17,000 engineers, scientists and technical workers, averting a potential strike. The deals include an immediate 10% raise and projected average pay gains of about 32% over four years.
Defense, Space & Security revenue rose 15% to $7.9 billion and produced $492 million in operating earnings, reflecting higher volume and improved performance. The segment delivered 33 units, including seven KC-46 tankers. Backlog stood at $101 billion. During the quarter, Boeing was selected by the U.S. Navy to design, build and deliver the F/A-XX next-generation fighter. It also received a seven-year contract to expand PAC-3 Seeker production and an award for AH-64 Apache fleet maintenance services.
Global Services revenue was $5.6 billion, with operating earnings of $1.0 billion and a margin of 18.3%. Results reflected higher volume, partially offset by the impact of a prior divestiture.
Overall, Boeing ended the quarter with cash and marketable securities of $20.7 billion and debt of $45.9 billion, with access to $10 billion in undrawn credit facilities.
For the first nine months of 2026, Boeing reported revenue of $71.0 billion, a net loss of $551 million, or $1.04 per share, and free cash flow of negative $359 million.
Author: Mario Lotmore
