Boeing’s BCA: Margin Still Red, But Turning

Boeing is steadily making progress toward improving the operating margin for Boeing Commercial Airplanes (BCA). It now expects to become positive by mid-year in 2027. The improved margin reflects the strides made since digesting a few years with negative results for numerous reasons.

BCA’s margin ended Q1 at minus 6.1 percent, up from minus 6.6 percent year-over-year. It is better than the -7.5 to -8.0 percent that CFO Jay Malave mentioned in March during a Bank of America conference. And it will get better. “ We still expect progressive improvement sequentially this year, and it will turn positive by mid next year as we increase deliveries and improve our cost base. Over the next 18 months, we have a solid path to positive margins on BCA”, Malave said on Wednesday during Boeing’s first quarter

earnings call.

BCA’s operating loss was slightly higher at $569 million versus minus $537 million in Q1 2025, although revenues were up by 13 percent to $9.2 billion. This reflects higher delivery volumes of 143 aircraft compared to 130 airliners in Q1 last year.