Company: SPR
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001364885-25-000011
Chunk: 15

Company: Spirit AeroSystems Holdings, Inc.
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 2
Chunk 15
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 third quarter of 2025, compared to 178 shipsets delivered in the same period of the prior year, primarily driven by higher deliveries of the A320. Deliveries for business/regional jet components decreased to 49 shipsets delivered during the third quarter of 2025, compared to 66 shipsets delivered in the same period of the prior year. In total, deliveries increased to 392 shipsets during the third quarter of 2025, compared to 332 shipsets delivered in the same period of the prior year. 

Gross (Loss) Profit.  Gross loss was ($619.6) million for the three months ended October 2, 2025, compared to gross loss of ($246.0) million for the same period in the prior year. The increase in loss from the prior year period was primarily driven by higher forward loss charges and lower program margins on Boeing programs, partially offset by lower cumulative catch-up adjustments and lower excess capacity charges. In the third quarter of 2025, we recognized $55.2 million of excess capacity production costs driven by cost overruns and production schedule changes on B737 MAX and A220 programs, compared to excess capacity cost of $70.1 million in the same period of the prior year. In the third quarter of 2025, we recognized $14.4 million of unfavorable cumulative catch-up adjustments related to periods prior to the third quarter of 2025, and $585.2 million of net forward loss charges. As mentioned in Note 4 Changes in Estimates to our condensed consolidated financial statements included in Item 1 of Part I of this Quarterly Report, the forward losses recorded in the third quarter of 2025 were primarily driven by schedule changes, increased supply chain cost and overall production cost growth on the B737 program, foreign exchange rates, current production performance and supply chain cost growth on the A350 and A220 programs, and production cost and supply chain cost growth, which includes the Company’s latest estimate for tariffs on the B787 program. In the third quarter of 2024, we recorded $25.7 million of unfavorable cumulative catch-up adjustments related to periods prior to the third quarter of 2024, and $217.2 million of net forward loss charges primarily driven by production performance, and supply chain cost growth on the A350 and A220 programs, additional labor and supply chain cost growth on the B787 program, and increased costs related to factory performance on the B767 program.  

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SG&A and