Company: BA
Filing Date: 2025-04-23
Form Type: 10-Q
Source: 0000012927-25-000031
Chunk: 91

Company: BOEING CO
Filing Date: 2025-04-23
Form: 10-Q
Item: Item 3
Chunk 91
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)Includes revenues earned from foreign military sales through the U.S. government.

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BGS revenues consisted of the following:(Dollars in millions)Three months ended March 3120252024Revenue from contracts with customers:Commercial$2,971 $3,000 Government1,996 1,934 Total revenues from contracts with customers4,967 4,934 Intersegment revenues eliminated on consolidation96 111 Total segment revenues$5,063 $5,045 Revenue recognized at a point in time54 %54 %Revenue recognized on fixed-price contracts86 %87 %Revenue from the U.S. government(1)30 %29 %(1)Includes revenues earned from foreign military sales through the U.S. government.Earnings in Equity Method InvestmentsDuring the three months ended March 31, 2025 and 2024, our share of (loss)/income from equity method investments was ($4) and $72. The loss in 2025 was primarily driven by investments held in Unallocated items, eliminations, and other. The income in 2024 was primarily driven by investments held at our BDS segment.BacklogOur total backlog includes contracts that we and our customers are committed to perform. The value in backlog represents the estimated transaction prices on performance obligations to our customers for which work remains to be performed. Backlog is converted into revenue, primarily based on the cost incurred or at delivery and acceptance of products, depending on the applicable revenue recognition model.Our backlog at March 31, 2025 was $544,736. We expect approximately 24% to be converted to revenue through 2026 and approximately 71% through 2029, with the remainder thereafter. There is significant uncertainty regarding the timing of when backlog will convert into revenue. We may experience reductions to backlog and/or significant order cancellations due to various factors including delivery delays, production disruptions and delays to entry into service of the 777X, 737-7 and/or 737-10.Unallocated Items, Eliminations and OtherUnallocated items, eliminations and other include common internal services that support Boeing’s global business operations and eliminations of certain sales between segments. We generally allocate costs to business segments based on the U.S. Government Cost Accounting Standards (CAS). Components of Unallocated items, eliminations and other income/(expense) are shown in the following table.

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Three months ended March 3120252024Share-based plans($30)$10 Deferred compensation5