Boeing reported a net loss of $428 million for the second quarter of 2026, with an adjusted loss per share of $0.76 that fell short of analyst expectations of a $0.30 loss. The result was weighed down by a $280 million charge on the Air Force One (VC-25B) program.
Despite the loss, Boeing's revenue rose 8% year-over-year to $24.56 billion. The company delivered 171 commercial jets in the quarter, up 14% from 150 a year earlier, and generated $631 million in free cash flow compared to a cash burn of $200 million in the same period last year.
Commercial and Defense Divergence
Boeing's Commercial Airplanes segment posted revenue of $11.8 billion, up from $10.9 billion a year earlier. The company is ramping up 737 MAX output to 47 aircraft per month and expects first deliveries of the 737-7 and 737-10 in 2027. The 787 production rate has stabilized at 8 per month, with plans to increase to 10.
In contrast, the Defense, Space & Security segment swung to an operating loss of $15 million, compared to a profit of $110 million a year earlier, though revenue rose 13% to $7.5 billion.
Air Force One Program and Backlog
The Air Force One program remains a significant challenge. Boeing expects the first delivery in 2028, but the program is reported to be four years behind schedule and over $1 billion over budget.
Boeing's total backlog grew to a record $715 billion, including more than 6,200 commercial aircraft valued at $597 billion. The company ended the quarter with $20 billion in cash and investments and debt of $45.9 billion, and reiterated its full-year free cash flow guidance of $1 billion to $3 billion.
Following the results, Boeing's stock rose around 1.2%. Separately, the FAA on Monday requested another inspection of Boeing planes after reports of improperly installed cabin seats.