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Boeing, one of the world’s leading aerospace companies, develops and manufactures commercial jets, military aircraft, weapons systems, and strategic defense and intelligence systems. The company offers services and support to customers globally and provides financing for orders and deliveries. The U.S. government is a significant buyer of Boeing’s products.
One of Boeing’s (BA) biggest rivals, especially for commercial aircraft, is the Europe-based aerospace firm Airbus SE (EADSY). Boeing also has aerospace rivals based in Russia, China, and Japan. Additionally, the company’s defense and space business faces competition from major players like Lockheed Martin Corp. (LMT), Northrop Grumman Corp. (NOC), Raytheon Co. (RTX), General Dynamics Corp. (GD), U.K.-based PLC (BAESY), and Elon Musk’s SpaceX.
Key Takeaways
- Boeing produces commercial and military aircraft, weapons systems, strategic defense and intelligence systems, and related products and services.
- The company’s largest revenue source is its Commercial Airplanes business segment.
- While Commercial Airplanes bring in the most revenue, Boeing’s Global Services business is the largest contributor to profits.
- In early 2024, the company announced significant management changes, with the current CEO of Boeing as well as the CEO of the Commercial Airplanes segment stepping down in 2024.
- Though not specifically stated, it can be assumed these changes are due to the serious mechanical and safety errors witnessed on multiple Boeing aircraft.
Boeing’s Financials
According to Boeing’s 2024 fiscal year (FY) 10-K filing, the company reported a net loss attributable to its shareholders of $11.82 billion, an increase from the net loss of $2.22 billion in 2023. Revenue decreased by 14.5% year over year (YOY) to $66.52 billion.
Boeing uses earnings from operations as a profitability metric for its business segments. For the year ending 2024, the company reported a $10.71 billion loss from operations, much larger than the $773 million loss from operations reported in 2023.
The company is still suffering from the 2023 fallout of the many issues that have occurred with its 737 and 787 planes, which resulted in the company stopping production of those planes for brief periods; however, the planes are still being produced and delivered.
Boeing’s Business Segments
Boeing operates its business through three segments: Commercial Airplanes (BCA); Defense, Space & Security (BDS); and Global Services (BGS). The company provides a breakdown of revenue and earnings from operations for each of these segments.
The only sector that contributed to the company’s operating profit was its Global Services segment. The segment generated an operating profit of $3.62 billion. All other segments generated an operating loss, which resulted in a total operating loss of $10.71 billion.
Commercial Airplanes (BCA)
Boeing’s Commercial Airplane segment develops, produces, and markets commercial jet aircraft and provides fleet support services, primarily for the global airline industry. The segment supplies jetliners to meet global airlines’ varying requirements for transporting passengers and cargo.
For the FY 2024, the segment’s loss from operations ballooned to $7.96 billion from $1.63 billion in the previous year. Revenue dropped 32.57% YOY to $22.86 billion, comprising about 34.37% of Boeing’s total revenue.
Defense, Space & Security (BDS)
Boeing’s BDS segment researches, develops, produces, and modifies military aircraft and weapons systems for strike, surveillance, and mobility. The segment also researches, develops, produces, and modifies strategic defense and intelligence systems, as well as satellite systems. The segment’s top customer is the U.S. Department of Defense.
The BDS segment reported a loss from operations of $5.41 billion for 2024, an significant increase from the $1.76 billion operating loss from the previous year. Revenue dropped by 4.07% YOY to $23.92 billion, comprising 35.96% of the total for all segments.
Global Services (BGS)
Boeing’s Global Services segment offers services to its commercial and defense customers around the globe. The segment provides a wide range of platforms, systems, products, and services. These include supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, data analytics, and digital services.
Earnings from operations were $3.62 billion in 2024, up 8.68% YOY. It accounted for 100% of company-wide earnings from operations during the year. Revenue rose 8.61% YOY to $19.95 billion, comprising 30% of the total for all segments.
Boeing’s Recent Developments
In March 2024, it was announced that Boeing President and CEO, David Calhoun, will step down as CEO at the end of 2024. A replacement has not yet been announced. Additionally, Stan Deal, Boeing’s Commercial Airplanes President and CEO will retire from the company.
In the same month, the U.S. Space Force has awarded Boeing a contract to produce the WGS-12 communications satellite. The contract is valued at $439.6 million. This is the 12th Wideband Global SATCOM (WGS) satellite for the U.S. Space Force.
Who Owns Boeing?
Boeing is a public company owned by its shareholders. Its largest shareholders are Vanguard (8.71%), BlackRock (6.65%), and Capital Research Global Investors (5.3%).
What Is Bigger, Boeing or Airbus?
As of July 2025, Boeing had a market cap of $172.57 billion while Airbus had a market cap of $167.06 billion, making Boeing the larger company in terms of market capitalization.
Why Is Boeing Failing?
Boeing is currently not doing well in terms of performance due to a variety of factors. Like many companies, specifically travel-related companies, Boeing suffered due to the lockdowns from the COVID pandemic. After the pandemic receded and travel began, Boeing aircraft have suffered significant mechanical errors, such as fuselages and doors being ripped off, windows cracking, planes catching on fire, and more. All of this has hurt Boeing’s reputation and stock price.
The Bottom Line
Boeing is one of the largest and most prominent defense and commercial airline production companies in the world. While its Commercial Airplane business generates the bulk of its revenue, it has suffered due to the serious mechanical issues of some of its models. Its Global Services business is its largest contributor to operating profit; however, not enough to outweigh the losses of its other segments.
