The Boeing Company ( BA ) reported a strong start to the year on Wednesday, with first-quarter revenue of $22.22 billion, up 14% year over year and above the $21.78 billion estimate, with shares trading higher following the results.

Earnings And Cash Flow Update

Adjusted loss per share of 20 cents came in significantly better than the expected 84-cent loss, while GAAP loss per share was 11 cents.

Core operating earnings rose 47% to $293 million, with core operating margin improving to 1.3%.

Results reflected 143 commercial deliveries and improved operational performance.

Operating cash flow came in at a negative $0.2 billion, while non-GAAP free cash flow was negative $1.5 billion.

Cash and marketable securities totaled $20.9 billion, down from $29.4 billion at the start of the quarter due to debt repayments and free cash flow usage, while total debt stood at $47.2 billion.

Total backlog increased to a record $695 billion.

Commercial Airplanes

Commercial Airplanes revenue rose 13% to $9.2 billion, with an operating margin of (6.1)%, as deliveries increased 10% to 143 aircraft.

The segment booked 140 net orders, including deals with Aviation Capital Group, Delta Air Lines, Inc. ( DAL ) , and Air India, and ended the quarter with a backlog of over 6,100 airplanes valued at a record $576 billion.

The 737 program is producing at 42 per month, while the 787 program is stabilizing at eight per month.

Boeing ( BA ) expects certification of the 737-7 and 737-10 in 2026, with first deliveries in 2027, and anticipates the 777X’s first delivery in 2027.

Defense, Space & Security

Defense, Space & Security revenue grew 21% to $7.6 billion, with operating margin improving to 3.1% on higher volume and operational stability.

The segment secured a seven-year PAC-3 Seeker agreement and expanded its partnership with Rheinmetall, while backlog reached a record $86 billion.

Global Services

Global Services revenue increased 6% to $5.4 billion, with an operating margin of 18.1%, reflecting higher government volume and the impact of the Digital Aviation Solutions divestiture.

The segment ended the quarter with a record backlog of $33 billion and secured a Landing Gear Exchange Program agreement with Singapore Airlines Group.

Outlook

CEO Kelly Ortberg said, “We’re building on our momentum with a strong start to the year and growing record-breaking backlog across our business, while supporting our customers with inspiring missions like Artemis II.”

Boeing ( BA ) said it is increasing production and maintaining focus on safety and quality.

BA Price Action: Boeing ( BA ) shares were up 2.93% at $225.58 at the time of publication on Wednesday, according to Benzinga Pro data.

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