Boeing July Orders and Deliveries on Target

Boeing today published its July Orders and Deliveries report. Boeing delivered 53 aircraft during the month and took in firm orders for 38 aircraft during July. The company also reported 8 order cancellations to net 30 orders. While July included the Farnborough Air Show, much of the activity during the show was booked before the show. July Orders Boeing’s orders in July included 15 787-9s for AerCap, a major lessor, and 4 787-9 for Uganda National Airline Company. 21 orders were for the 737 MAX, including 2 for Luxair, 4 for TUI, 4 for Uganda National Airline Company, 5 for an unidentified customer, a BBJ for an unidentified customer, and 3 737 MAX for WestJet. [caption id="attachment_196598" align="aligncenter" width="580"] image:Boeing[/caption] Boeing also had several order cancellations during the month, including 8 cancellations for the 737 MAX. Their largest order announced at the Farnborough Air Show for 100 737 MAX aircraft was actually booked in June as an unidentified customer. Therefore that order from SMBC, a major lessor, did not impact the order book for July. July Deliveries Boeing delivered 53 aircraft in July, including 10 787s, 39 737 MAX, 1 777F, 2 KC-46A tankers, and 1 767-300F. The 737 lines are increasing production, with the North production line now operating in Everett. We expect Boeing to surpass both rate 42 and rate 47 by the end of the year as the restoration of many of their production certificate authorities returned after strong quality measurement. With senior management paying strong attention to quality, we expect Boeing to deliver markedly improved quality when compared with 2024 and 2025. End of July Backlog For all programs, Boeing’s backlog at the end of July, without accounting adjustments, is for 6,791 aircraft. Airbus backlog at the end of July is 9,358 aircraft, reflecting the gap built during the 737 MAX crisis and post-pandemic quality issues. The 737 MAX accounts for much less of the Boeing backlog than the A321neo at Airbus, with a more balanced order book between narrow-and wide-bodied aircraft. At Boeing, narrow-bodies account for about 71% of backlog, versus around 78% at Airbus. That difference is meaningful, with Boeing holding a 1,938 to 1,204 advantage over Airbus in wide-body aircraft. The Bottom Line Boeing appears to be on target to deliver 677 aircraft in 2026, and has routinely produced aircraft at the required average rate to reach, or possibly exceed, its target without major problems. Our analysis of monthly production from 2019-2025 indicates that Boeing is on-target to meet its annual guidance, and could potentially beat its sales and cash flow targets during the fourth quarter. With the certification of the 737-7 and pending certification of the 737-10, Boeing will finally return to a competitive footing in the narrow-body marketplace, where Airbus has out-delivered Boeing for the last six years. While that is unlikely to change in 2027, Boeing is continuing to narrow the gap while maintaining the lead in higher margin wide-body aircraft. While there is still a way to go, and the 777-X models to certify, Boeing continues to move in the right direction. It appears that Boeing is finally turning the corner under Kelly Ortberg’s leadership and a changing culture at the company. and therefore did not impact the order book for July. July Deliveries Boeing delivered 53 aircraft in July, including 10 787s, 39 737 MAX, 1 777F, 2 KC-46A tankers, and 1 767-300F. The 737 lines are increasing production, with the North production line now operating in Everett. We expect Boeing to surpass both rate 42 and rate 47 by the end of the year as the restoration of many of their production certificate authorities returned after strong quality measurement. With senior management paying strong attention to quality, we expect Boeing to deliver markedly improved quality when compared with 2024 and 2025. End of July Backlog For all programs, Boeing’s backlog at the end of July, without accounting adjustments, is for 6,791 aircraft. Airbus backlog at the end of July is 9,358 aircraft, reflecting the gap built during the 737 MAX crisis and post-pandemic quality issues. The 737 MAX accounts for much less of the Boeing backlog than the A321neo at Airbus, with a more balanced order book between narrow-and wide-bodied aircraft. At Boeing, narrow-bodies account for about 71% of backlog, versus around 78% at Airbus. That difference is meaningful, with Boeing holding a 1,938 to 1,204 advantage over Airbus in wide-body aircraft. The Bottom Line Boeing appears to be on target to deliver 677 aircraft in 2026, and has routinely produced aircraft at the required average rate to reach, or possibly exceed, its target. Our analysis of monthly production from 2019-2025 indicates that Boeing is on-target to meet its annual guidance, and could potentially beat its sales and cash flow targets during the fourth quarter. With the certification of the 737-7 and pending certification of the 737-10, Boeing will finally return to a competitive footing in the narrow-body marketplace, where Airbus has out-delivered Boeing for the last six years. While that is unlikely to change in 2027, Boeing is continuing to narrow the gap while maintaining the lead in higher margin wide-body aircraft. While there is still a way to go, including the 777-X models to certify, Boeing continues to move in the right direction. It appears that Boeing is finally turning the corner under Kelly Ortberg’s leadership and a changing culture at the company.

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