Boeing Reports Q4 2025 Profit Driven by Asset Sale; Core Operations Face Continued Pressure

Boeing has released its financial-results for the fourth quarter and full year of 2025, reporting a headline profit largely attributed to the strategic sale of its Digital Aviation Solutions business. According to the company’s official press release, revenue for the quarter surged to $23.9 billion, a 57% increase compared to the same period in 2024. However, beneath the headline figures, the aerospace giant continues to grapple with operational challenges and costs associated with stabilizing its production lines.

The fourth quarter marked a significant turning point for Boeing’s corporate structure. The company finalized its acquisitions of Spirit AeroSystems in December 2025, a move designed to consolidate manufacturing quality and safety. Simultaneously, Boeing completed the divestiture of its Digital Aviation Solutions unit, generating cash used to offset the debt incurred from the Spirit acquisition. While these moves reshaped the balance sheet, core operational metrics indicate that the manufacturers is still in a recovery phase.

CEO Kelly Ortberg emphasized the company’s focus on the future, stating in the release that while progress is evident, the priority remains on stabilizing operations and fully integrating Spirit AeroSystems to restore Boeing’s reputation for quality.

Financial Overview: A Complex Picture

Boeing’s reported GAAP earnings per share (EPS) for the fourth quarter stood at $10.23, a stark contrast to the loss of $5.46 per share reported in Q4 2024. However, the company disclosed that this figure includes a substantial one-time gain of $11.83 per share from the sale of the Digital Aviation Solutions business. When excluding this divestiture, the core result reflects an operational loss.

According to financial data released by the company:

• Revenue: $23.9 billion (up from $15.2 billion in Q4 2024).
• Net Earnings: $8.2 billion, compared to a net loss of $3.86 billion in the prior year.
• Operating Cash Flow: $1.3 billion for the quarter.

For the full year of 2025, Boeing reported total revenue of $89.5 billion, a 34% increase year-over-year, and delivered 600 commercial-aircraft, the highest annual total since 2018.

AirPro News Analysis

While the headline profit of $10.23 per share appears robust, it masks the underlying reality of Boeing’s manufacturing economics. Without the $11.83 per share gain from selling off assets, the company would have posted a core loss of approximately $1.91 per share. This suggests that the cost of building and delivering jets remains higher than the revenue they generate, driven by supply chain inefficiencies and the heavy costs of reintegrating Spirit AeroSystems. The “beat” on revenue confirms strong demand, but the operational losses highlight that profitability from core manufacturing is still a work in progress.

Strategic Restructuring

The fourth quarter of 2025 was defined by two major transactions that have fundamentally altered Boeing’s operational footprint.

Acquisition of Spirit AeroSystems

In December, Boeing completed the acquisition of Spirit AeroSystems, bringing the manufacturing of key aerostructures, such as fuselages, back in-house. The deal had an enterprise value of approximately $8.3 billion, including net debt. The strategic goal, as outlined by Boeing management, is to improve safety protocols and production stability by directly controlling the quality of airframe components. The company noted that this acquisition negatively impacted Commercial Airplanes segment margins by approximately 1.5 percentage points in the quarter.

Divestiture of Digital Aviation Solutions

To finance the reintegration of its supply chain, Boeing sold its Digital Aviation Solutions business, which includes Jeppesen and ForeFlight, to private equity firm Thoma Bravo. The transaction generated approximately $10.6 billion in cash proceeds. Boeing stated that these funds were immediately deployed to repay debt associated with the Spirit AeroSystems purchase, effectively keeping the company’s leverage neutral regarding the acquisition.

Operational Updates

Commercial Airplanes

The Commercial Airplanes division delivered 160 aircraft in the fourth quarter, contributing to revenue of $11.4 billion, more than double the $4.8 billion recorded in Q4 2024. Despite the revenue jump, the segment reported a negative operating margin of -5.6%. While this is a significant improvement from the -43.9% margin seen a year ago, it underscores the continued high costs of production.

Production rates for key programs have increased:

• 737 MAX: Production has risen to 42 airplanes per month.
• 787 Dreamliner: The program is transitioning to a rate of 8 airplanes per month.

The company also reported a record total backlog valued at $682 billion, comprising over 6,100 commercial aircraft.

Defense, Space & Security

The Defense, Space & Security segment reported revenue of $7.4 billion, a 37% increase year-over-year. However, the unit posted an operating loss of $507 million (a -6.8% margin). The results were weighed down by $0.6 billion in losses on the KC-46A Tanker program, which continues to face supply chain costs and production support challenges.

Market Reaction and 2026 Outlook

Despite the reported profit, market reaction was tepid. Boeing stock fell approximately 1.5% to 2.5% in pre-market trading following the release. Analysts have characterized the report as a “trust test,” noting that while the revenue growth confirms strong market demand, the wider-than-expected operational losses indicate that factory inefficiencies persist.

Looking ahead to 2026, Boeing reaffirmed its guidance for free cash flow between $1 billion and $3 billion for the full year. Management cautioned that the company expects to burn cash in the first half of 2026 due to seasonal factors and the integration of Spirit AeroSystems, with positive cash flow generation expected to return in the second half of the year.

FAQ

Why did Boeing report a profit if they lost money on operations?

Boeing reported a net profit because of a one-time gain of roughly $11.83 per share from selling its Digital Aviation Solutions business. This sale generated enough cash to cover the operational losses from building airplanes and the costs associated with the Spirit AeroSystems acquisition.

What is the status of the Spirit AeroSystems acquisition?

The acquisition was finalized in December 2025. Boeing now owns Spirit AeroSystems, allowing it to bring fuselage manufacturing in-house to better control quality and safety.

How many planes is Boeing building per month?

As of the fourth quarter of 2025, Boeing is producing 42 737 MAX airplanes per month and is transitioning to 8 787 Dreamliners per month.

Sources

• Boeing