Boeing(US:BA) Jin Rong Jie·2025-07-30 02:54Core Insights - Boeing has shown significant signs of recovery in its Q2 financial report, with a substantial increase in aircraft deliveries and revenue growth, marking a clear signal of recovery for the long-troubled aerospace manufacturer [1] Financial Performance - Boeing's Q2 revenue reached $22.75 billion, a 35% increase from $16.866 billion in the same period last year [3] - The net loss narrowed to $612 million, compared to a loss of $1.439 billion in the previous year [3] - Core loss per share was $1.24, better than market expectations [3] - Adjusted free cash flow was $200 million, significantly exceeding the estimated loss of $1.79 billion [3] - The loss was primarily due to a settlement agreement with the U.S. Department of Justice, which involved a payment of $445 million related to two fatal incidents of the 737 Max aircraft [3] - The commercial airplanes segment saw an 81% revenue increase, reaching $10.87 billion [3] - Operating margin improved to -5.1%, compared to the same period last year [3] - Defense and aerospace segment revenue grew by 10% to $6.6 billion, while service revenue increased by 8% to $5.3 billion [3] Production and Delivery Capacity - Boeing delivered a total of 150 commercial airplanes in Q2, a 63% year-over-year increase, marking the highest delivery volume for the company in Q2 since 2018 [4] - Cumulative commercial airplane deliveries for the first half of 2025 are projected to reach 280 units, a 60% increase [4] - The production rate for the 737 aircraft has reached 38 units per month, which is the production cap set by the FAA following the incident [4] - The production rate for the 787 aircraft remains at 7 units per month [4] - Boeing plans to apply for an increase in the 737 production capacity to 42 units per month later this year [4] - The backlog of undelivered orders has increased to $619 billion, including $522 billion worth of over 5,900 commercial aircraft orders [4] - In Q2, Boeing secured 455 new commercial aircraft orders, including 120 787s and 30 777-9s for Qatar Airways, and 32 787-10s for British Airways [4]