Boeing reports 1st annual profit since 2018

Boeing reported its first annual profit since 2018 on gains from an asset sale, as it eyes increased plane production while pointing to progress emerging from a lengthy slump.

Full-year 2025 profits were US$1.9 billion ($3.15b), Boeing reported, compared with a loss of US$11.9b in 2024.

Boeing has faced heavy regulatory scrutiny following fatal 2018 and 2019 crashes that led to a grounding of the 737 MAX and intensified scrutiny of its commercial aviation programme that limited output.

While Boeing last year delivered the highest number of planes since 2018, the driving factor behind both quarterly and annual profit was completion of a US$10.6b sale of aviation software assets including Jeppesen to Thoma Bravo.

Boeing won approvals in 2025 from the US Federal Aviation Administration to lift production on both the MAX and its other top-selling plane, the 787 Dreamliner.

The company expects further production increases on both programs in 2026.

“As we work together to continue our turnaround, we’re making good progress and there’s a lot to be optimistic about as we start the year,” CEO Kelly Ortberg said in a letter to employees.

And in an interview with CNBC, Ortberg said Boeing expects free cashflow of between US$1b and US$3b in 2026.

Wall Street has been monitoring Boeing’s progress on the benchmark after it previously targeted US$10b in free cashflow as a medium-term objective.

“We’re marching to this US$10b free cashflow number and it’s going to take us a little bit of time, but we’ve got a methodical plan to get there,” Ortberg told CNBC.

Defence hit

In terms of Tuesday’s results, Boeing reported a quarterly profit of US$8.1b, compared with a loss of US$3.9b in the year-ago quarter.

Revenues for the quarter were US$23.9b, up 57% from the year-ago period on near tripling of airplane deliveries.

Boeing has been in a downturn since the MAX crashes, which together claimed 346 lives.

The company appeared to turn a corner under prior company leadership, hosting an investor day in November 2022 after the MAX was returned to service.

But Boeing was soon plunged back into crisis mode after a January 2024 Alaska Airlines flight in which a window panel blew out mid-flight, necessitating an emergency landing.

Ortberg joined as CEO a few months later, working closely with FAA regulators on a series of performance indicators linked to production increases.

In 2025, Boeing won approval to raise output on the MAX to 42 per month and the 787 to eight per month.

The company is eyeing production increases in 2026 of 47 MAX planes monthly and 10 per month for the 787.

Boeing also pointed to progress in the certification process with US regulators for the 737-10 aircraft.

On the downside, Boeing’s defence business accounted for a US$0.6b hit in the KC-46 military refuelling aircraft “driven by higher estimated production support and supply chain costs,” the company said.

Shares fell 2.8% in morning trading.

-Agence France-Presse