Boeing’s Defence, Space & Security division reported revenue of $7.4bn in the fourth quarter (Q4) of 2025, marking a 37% increase from $5.4bn in the same period last year.
The unit recorded an operational loss of $507m for the reported quarter ended 31 December 2025, an improvement compared to a $2.27bn loss in the previous year’s fourth quarter.
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Operating margin reached -6.8%, up from -41.9%, which the company attributed to stabilising operations and increased output.
During Q4 2025, Defence, Space & Security secured a contract with the US Air Force for 15 KC-46A Tankers and obtained an order from the US Army for 96 AH-64E Apache helicopters.
The division also delivered the first operational T-7A Red Hawk aircraft to the US Air Force at Joint Base San Antonio-Randolph.
The business saw its backlog rise to a record $85bn, with 26% of orders coming from customers outside the US.
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By GlobalDataLosses on the KC-46A programme totalled $600m in the quarter due to increased production support and supply chain costs.
For the full year 2025, Defence, Space & Security posted revenue of $27.2bn, up 14% from $23.9bn a year earlier.
The division’s annual operational loss stood at $128m, compared with a $5.4bn loss reported for 2024.
Deliveries for the year totalled 131 units, up from 112 in 2024, with 37 completed in the fourth quarter.
Boeing, as a whole, registered revenue of $89.5bn in 2025, increasing 34% from $66.5bn in the prior year.
The overall company backlog grew to a record $682bn, as of 31 December 2025, driven largely by 1,173 net commercial airplane orders during the year.
Boeing president and CEO Kelly Ortberg said: “We made significant progress on our recovery in 2025 and have set the foundation to keep our momentum going in the year ahead.
“We completed the acquisition of Spirit AeroSystems and the sale of portions of the Digital Aviation Solutions business and remain focused on promoting stable operations, completing our development programs, rebuilding trust with our stakeholders, and fully restoring Boeing to the iconic company we all know it can be.”
Last month, Boeing received an $8.6bn contract from the US Department of Defense to supply F-15 IA aircraft to the Israeli Air Force.
