Company: BA
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001628280-25-047023
Chunk: 108

Company: BOEING CO
Filing Date: 2025-10-29
Form: 10-Q
Item: Item 1
Chunk 108
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CA, partially offset by lower charges on BDS fixed-price development programs. Cost of sales as a percentage of Revenues decreased during the nine months ended September 30, 2025, 

40

compared with the same period in 2024 primarily due to lower charges on BDS fixed-price development programs, partially offset by higher reach-forward losses at BCA.

Cost of sales for the three months ended September 30, 2025, increased by $4,298 million, or 20%, compared with the same period in 2024, primarily due to higher revenues and an increase in reach-forward losses at BCA, partially offset by lower charges on BDS fixed-price development programs. Cost of sales as a percentage of Revenues decreased during the three months ended September 30, 2025, compared with the same period in 2024 primarily due to lower charges on BDS fixed-price development programs, partially offset by higher reach-forward losses at BCA.

Research and Development

Research and development expense, net is summarized in the following table:

(Dollars in millions)Nine months ended September 30Three months ended September 302025202420252024Commercial Airplanes$1,657 $1,852 $565 $779 Defense, Space & Security618 728 198 234 Global Services91 103 32 36 Other285 293 102 105 Total$2,651 $2,976 $897 $1,154 

Research and development expense decreased by $325 million and $257 million during the nine and three months ended September 30, 2025, compared to the same periods in 2024. The decrease in expense was primarily due to lower spending at BCA and BDS.

Backlog

(Dollars in millions)September 302025December 312024Commercial Airplanes$534,613 $435,175 Defense, Space & Security76,084 64,023 Global Services24,634 21,403 Unallocated items, eliminations and other357 735 Total Backlog$635,688 $521,336 Contractual backlog$598,551 $498,802 Unobligated backlog37,137 22,534 Total Backlog$635,688 $521,336 

Contractual backlog of unfilled orders excludes purchase options, announced orders for which definitive contracts have not been executed, orders where customers have the unilateral right to terminate, and