Company: BA
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001628280-25-047023
Chunk: 51

Company: BOEING CO
Filing Date: 2025-10-29
Form: 10-Q
Item: Item 2
Chunk 51
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 financially significant exposure. Risk remains that we may be required to record additional reach-forward losses in future periods.

Approximately 3,200 International Association of Machinists and Aerospace Workers District 837 (IAM 837) represented employees at our St. Louis area sites have been on strike since August 4, 2025. This is disrupting our St. Louis operations. Programs impacted include F/A-18, F-15, T-7A, MQ-25 and Weapons. If we are unable to successfully negotiate a new contract with IAM 837 and the strike continues for a prolonged period, our financial position, results of operations and cash flows could be materially impacted.

49

Global Services

Results of Operations

(Dollars in millions)Nine months ended September 30Three months ended September 302025202420252024Revenues$15,714 $14,835 $5,370 $4,901 Earnings from operations$2,930 $2,620 $938 $834 Operating margins18.6%17.7%17.5%17.0%

Revenues

BGS revenues for the nine months ended September 30, 2025 increased by $879 million compared with the same period in 2024, primarily due to higher government and commercial services revenue. The net unfavorable impact of cumulative contract catch-up adjustments for the nine months ended September 30, 2025 was $93 million lower than the prior year comparable period.

BGS revenues for the three months ended September 30, 2025 increased by $469 million compared with the same period in 2024, primarily due to higher commercial and government services revenue. The net favorable impact of cumulative contract catch-up adjustments for the three months ended September 30, 2025 was $42 million higher than the net unfavorable impact in the prior year comparable period.

Earnings From Operations

BGS earnings from operations for the nine months ended September 30, 2025 increased by $310 million compared with the same period in 2024, due to higher commercial and government services revenue and a 2025 gain on asset disposition. The net unfavorable impact of cumulative contract catch-up adjustments for the nine months ended September 30, 2025 was $71 million lower than the prior year comparable period.

BGS earnings from operations for the three months ended September 30, 2025 increased by $104 million compared with the same period in 2024, primarily due to higher commercial and government