Business & Markets
Boeing posts $428m loss after Air Force One charge
Boeing reported a $428 million second-quarter loss on Tuesday after booking $280 million in additional costs tied to the US presidential aircraft program, while pointing to higher revenue and production progress in its turnaround effort.
The US aerospace company said revenue rose 8% to $24.6 billion, helped by increased commercial plane deliveries and higher volume in its defense, space and security business. The quarterly loss was smaller than in the same period a year earlier.
Boeing said the latest losses on the VC-25B program, known as Air Force One, were for additional production and certification resources. The original 2018 contract covered modifying and outfitting two 747-8 aircraft for presidential use and aimed for initial delivery by December 2024. The current timeframe is for deliveries in mid-2028 and mid-2029.
Chief Executive Kelly Ortberg said Boeing was through the design phase of the program and was now modifying and testing the aircraft. He said the company would put more resources on the program to help deliver the planes on time.
Boeing said certification work for new 737 MAX and 777 planes was on track with US air regulators. It said it began transitioning production to 47 737 jets per month in the second quarter.
Ortberg said he did not foresee supply-chain problems in increasing monthly MAX production to 52 jets, but said moving to 57 and beyond would be harder. Boeing is also targeting an increase in 787 Dreamliner output from eight to 10 aircraft a month.
Ortberg said Boeing had made progress in obtaining Federal Aviation Administration certifications for new seats on some aircraft, though the process had delayed some deliveries. He also said Boeing had lagged its target for receiving General Electric Aerospace engines in the first half of 2026, slowing production for part of April.
On Monday, the FAA released a preliminary directive ordering inspections on more than 450 US 737 MAX jets over possible faulty installation of passenger seats. The regulator said incorrect installation could cause seats to disengage from seat tracks, injure passengers or crew during an emergency landing, or slow evacuation by blocking an aisle.
Boeing shares rose 4.6% by midday after the update.
Update
Boeing shares were up 4.6% by midday after the earnings update.
Chief Executive Kelly Ortberg told CNBC Boeing was through the design phase of the Air Force One program and was modifying and testing the aircraft.
Ortberg said Boeing would add resources to help deliver the presidential aircraft on time.
Ortberg said he did not foresee supply-chain problems increasing monthly MAX production to 52 jets, but said moving to 57 and beyond would be harder.
Boeing is targeting an increase in 787 Dreamliner production from eight to 10 aircraft a month.
Ortberg said Boeing lagged its target for receiving General Electric Aerospace engines in the first half of 2026, slowing production for a period in April.
Source note: AFP news report published on 28 July 2026 at 16:30:08 UTC.
Update
Boeing's second-quarter loss was bigger than analysts had projected.
The original Air Force One contract aimed for initial delivery by the end of 2024, while the current delivery timeframe is mid-2028 and mid-2029.
Boeing said it began transitioning 737 production to 47 jets per month in the second quarter.
Boeing said its new North Line in Everett is designed to help reach 52 MAX airplanes a month.
The FAA released a preliminary directive ordering inspections on more than 450 US 737 MAX jets over possible faulty passenger-seat installation.
Boeing shares rose 0.7 percent in pre-market trading.
Source note: AFP news report published on 28 July 2026 at 12:54:05 UTC.
Update
Boeing said the results included $280 million in losses on the VC-25B presidential plane program.
Boeing said the latest Air Force One expenses were for additional production and certification resources.
The company said certification efforts for new 737 MAX and 777 planes were on track with US air regulators.
Chief Executive Kelly Ortberg said Boeing's focus had been on restoring trust and that momentum was moving the company in the right direction.
Boeing shares rose 0.2% in pre-market trading.
Source note: AFP news report published on 28 July 2026 at 12:05:52 UTC.
Update
Boeing reported a second-quarter loss of $428 million.
The loss was smaller than in the year-ago period but bigger than analysts had projected.
Revenue rose 8% to $24.6 billion.
Boeing said broad-based revenue growth showed progress in its turnaround.
Source note: AFP news report published on 28 July 2026 at 11:46:59 UTC.
Uncertainty notes
The FAA inspection directive was described as preliminary.
Future aircraft delivery and production-rate targets remain subject to certification, supply-chain and production progress.
Source
AFP news report published on .