Boeing (BA) traded in the low $230s on Thursday, building on the positive momentum generated by a Q1 2026 earnings report that delivered the clearest evidence yet that the company’s multi-year recovery is real and gaining traction. After years of quarterly results that offered hope in one segment and disappointment in another, Q1 2026 managed to show improvement across essentially all three of Boeing’s major business lines simultaneously — a genuinely unusual outcome for a company that has spent the better part of the last decade managing one crisis after another.
Total Q1 revenue came in at $22.2 billion, up 14% year-on-year, anchored by 143 commercial aircraft deliveries — a 10% increase over Q1 2025 and, crucially, ahead of Airbus’s 114 deliveries in the same period. It was the first quarter Boeing had out-delivered its European rival since approximately Q1 2019, before the 737 MAX grounding upended years of American narrowbody dominance. The GAAP net loss narrowed to just $7 million, compared to $31 million in Q1 2025, while the non-GAAP core loss per share improved from $0.49 to $0.20. Operating cash flow swung sharply from negative $1.6 billion a year earlier to negative $179 million — a $1.4 billion improvement that signals the cash burn era is approaching its end.
The 737 MAX programme is the backbone of the recovery. Boeing is currently producing the aircraft at 42 units per month, following FAA approval to increase from the capped rate that was imposed after the January 2024 Alaska Airlines door plug incident. CEO Kelly Ortberg told CNBC the company is targeting 47 aircraft per month this summer, with “all systems go” on the supply chain readiness for that step-up. The 737-10 entered the second phase of its Type Inspection Authorisation during Q1, keeping certification on track for 2026 and first deliveries in 2027. Both the 737 MAX 7 and MAX 10 — which represent entirely new customer capacity for short and ultra-short haul routes — remain on the certification schedule management has guided for.
The commercial backlog reached a record $576 billion in Q1, with total company backlog — including defence and services — hitting $695 billion. Q1 orders included 50 737 MAX jets for Aviation Capital Group, 30 787-10s for Delta Air Lines, and 20 737-8s for Air India. Biman Bangladesh Airlines placed its largest-ever aircraft order for 14 787 Dreamliner jets in late April. Carrier demand for available delivery slots remains strong enough that Ortberg noted on the earnings call that airlines are actively looking to “jump in line” whenever slots open up.
The defence business contributed meaningfully, posting revenue of $7.6 billion, up 21% year-on-year, with Global Services generating $5.4 billion and an 18.1% operating margin. Boeing Global Services also secured its largest-ever Landing Gear Exchange Programme agreement with Singapore Airlines Group and advanced training capabilities. The MQ-25A carrier-based refuelling drone completed a test flight after eight years in development, underlining the depth of the defence backlog.
One wildcard is China. Bloomberg reported in March that Boeing is negotiating an order for up to 500 737 MAX jets from Chinese carriers, a deal that would be a watershed moment for a company whose China exposure collapsed from roughly 25% of its order book to approximately 2% during the tariff escalation. The Boeing CEO flagged that the Trump administration is central to unlocking those deals. At $230, with analyst price targets averaging around $250 to $265, the market is pricing in a recovery that is real but not yet complete. Free cash flow guidance of $1 to $3 billion for the full year is the number to watch — and Q1’s trajectory suggests the upper end of that range is achievable if delivery momentum holds.
Ewan is a reporter at the Foreign Policy Journal, primarily covering US current affairs and news related to NYSE-listed stocks. He has over two decades of experience in journalism and digital publishing.
