Boeing has reported its financial results for the fourth quarter and full year 2025, marking a significant milestone: its first profitable annual performance since 2018. However, this return to the black comes with a substantial caveat, as the bottom-line profit was primarily driven by a one-time divestiture. The underlying operational picture remains mixed, despite notable improvements in aircraft deliveries.
Operational Recovery Amid Persistent Segment Losses
On an operational level, Boeing is showing clear signs of recovery. The company delivered 160 commercial aircraft in Q4, bringing the total for 2025 to 600 units. This represents the highest annual delivery volume since 2018. This surge in output was instrumental in generating a positive free cash flow of $375 million for the quarter, marking the second consecutive quarter of positive cash generation and exceeding analyst forecasts.
Nevertheless, the core business segments continued to struggle financially. The Commercial Airplanes division reported revenue of $11.4 billion but posted an operating loss of $632 million. Similarly, the Defense, Space & Security unit remained unprofitable, recording a loss of $507 million. This result was partly due to a $565 million charge on the KC-46A tanker program.
One-Time Sale Masks Core Business Challenges
The company’s overall profitability was overwhelmingly supported by a singular transaction. Boeing’s Q4 revenue jumped 57% to $23.9 billion. Its net income under US-GAAP accounting standards reached $8.2 billion, equating to $10.23 per share. Crucially, $9.6 billion of this profit originated from the sale of its Digital Aviation Solutions unit—which includes the Jeppesen and ForeFlight businesses—to the private equity firm Thoma Bravo.
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Excluding this special gain, Boeing’s core operating divisions would have remained in deficit for the period.
Strategic Moves and Analyst Outlook
CEO Robert “Kelly” Ortberg highlighted the completed acquisition of supplier Spirit AeroSystems in December 2025, a move intended to stabilize the supply chain and enhance quality control. The current monthly production rate for the 737 MAX stands at 42 aircraft, with plans to increase it to 47.
Following the earnings release, several research firms updated their assessments. RBC Capital Markets reaffirmed its “Outperform” rating with a $265 price target, emphasizing the consecutive quarters of positive cash flow. TD Cowen raised its price target to $270, while Vertical Research set its target at $281.
Looking ahead, Boeing enters 2026 with a substantial order backlog valued at $682 billion, representing over 6,100 commercial aircraft. Management is targeting the delivery of approximately 500 Boeing 737 models in 2026 and aims to achieve a free cash flow between $1 billion and $3 billion for the year.
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