Boeing Co (BA, Financial) released its 8-K filing on April 23, 2025, detailing its financial performance for the first quarter of 2025. The aerospace and defense giant reported a revenue of $19.5 billion, exceeding the analyst estimate of $19,434.24 million. However, the company posted a GAAP loss per share of ($0.16), which, although an improvement from the previous year's ($0.56), was better than the estimated loss of ($0.70) per share.
Company Overview
Boeing Co (BA, Financial) is a leading aerospace and defense firm operating through three segments: Commercial Airplanes, Defense, Space & Security, and Global Services. The company is a key competitor in the commercial aircraft market against Airbus and in the defense sector against firms like Lockheed and Northrop.
Performance and Challenges
The first quarter results reflect Boeing's ongoing recovery efforts, with revenue growth primarily driven by increased commercial airplane deliveries. The company delivered 130 airplanes, a significant increase from 83 in the same quarter last year. Despite this progress, Boeing continues to face challenges, including a GAAP net loss of $31 million and a core (non-GAAP) loss per share of ($0.49), indicating ongoing operational hurdles.
Financial Achievements
Boeing's revenue increase to $19.5 billion, up 18% from $16.6 billion in the previous year, underscores the company's improved operational performance and commercial delivery volume. The total company backlog grew to $545 billion, including over 5,600 commercial airplanes, highlighting strong future demand.
Key Financial Metrics
Operating cash flow was reported at ($1.6) billion, a significant improvement from ($3.4) billion in the previous year, reflecting better working capital management and higher deliveries. Free cash flow, a critical metric for assessing liquidity, was ($2.3) billion, compared to ($3.9) billion last year.
| Financial Metric | Q1 2025 | Q1 2024 | Change |
|---|---|---|---|
| Revenue | $19,496 million | $16,569 million | 18% |
| Net Loss | ($31) million | ($355) million | NM |
| Operating Cash Flow | ($1,616) million | ($3,362) million | NM |
| Free Cash Flow | ($2,290) million | ($3,929) million | NM |
Segment Performance
The Commercial Airplanes segment reported a revenue of $8.1 billion, a 75% increase from the previous year, driven by higher deliveries. The Defense, Space & Security segment saw a 9% decline in revenue to $6.3 billion, while Global Services revenue remained stable at $5.1 billion, with a slight increase in operating margins to 18.6%.
Analysis and Commentary
Boeing's first quarter results indicate a positive trajectory in terms of revenue growth and operational improvements. However, the company continues to face challenges in achieving profitability, as reflected in its GAAP and core losses per share. The increase in backlog and commercial deliveries suggests strong future demand, but the company must address its operational inefficiencies to capitalize on these opportunities fully.
Our company is moving in the right direction as we start to see improved operational performance across our businesses from our ongoing focus on safety and quality," said Kelly Ortberg, Boeing president and chief executive officer.
Overall, Boeing's first quarter results highlight the company's progress in recovery efforts, yet underscore the need for continued focus on operational improvements to achieve sustained profitability.
Explore the complete 8-K earnings release (here) from Boeing Co for further details.
