Boeing Continues Its Upward Climb In First Half Of 2025

After years of challenges, Boeing appears to be on a steady upward course. During the first half of 2025 the company announced it had delivered 280 aircraft compared to 175 in the same period of 2024 representing a 60% increase in production.

The total included 209 Boeing 737’s, of which 3 were conversions to P-8 maritime aircraft. The company is now producing the narrowbody aircraft at a rate of 38 737’s per month, which is the cap imposed by the FAA following a production shutdown in the wake of the Alaska Airlines door blowout in January 2024. An FAA review to move to a rate of 47 per month is expected to occur at the end of the year.

Also notable is the increasing production of the Boeing 787. The company produced 37 of the widebody aircraft in the first half of 2025 compared to 22 in the same period in 2024. Production of the 787 hit 8 aircraft per month in the past quarter, an almost doubling of the rate in the first quarter.

Deliveries are a crucial bellwether of financial health, as the bulk of payment for the aircraft from airline or lessor customers occurs at delivery. In the past, Boeing has stated that it does not make money on the Boeing 737 at delivery rates below 38 per month.

June, the last month of the quarter, also showed important progress. Boeing delivered 60 aircraft, which was its highest total since the Alaska Airlines incident 18 months earlier. This represented a 27% increase over the same month in 2024.

Of that total, 8 aircraft were delivered to China, including 5 737’s, 2 777’s and 1 787. China had refused delivery of aircraft in April as retaliation for the “Liberation Day” tariffs imposed by the US. An exemption negotiated in May allowed for Boeing to resume deliveries.

June was also a strong month for orders, with Boeing booking new orders for 54 737’s and 62 787’s. Of the latter, British Airways alone ordered 32 aircraft.

However, June did not surpass the bookings of May, which were the sixth highest order volume in company history, largely due to orders from the mid-east carriers of Qatar and Etihad as part of the Presidential visit (“A Very Good Month for Boeing, Forbes.com, May 21, 2025),

It has been almost a year since Kelly Ortberg was announced as the new CEO of Boeing. Since then, the stock has increased over 20% in value, indicating the Street is generally positive on the company’s performance. Analysts hold a “Moderate Buy” consensus rating on the stock.

Ortberg’s turnaround plan emphasizes safety as a foundation for progressive profitability. In that regard, the continuing growth in production is validating his overall strategy.

However, Boeing still faces challenges The crash of an Air India Boeing 787 on June 12 in Ahmedabad, India resulted in the death of 260 people. This was the first crash of a 787 Dreamliner and engine fuel control switches have been a focus of scrutiny.

A preliminary report issued Saturday by the Aircraft Accident Investigation Board of India stated that “At this stage of the investigation, there are no recommended actions” for the 787 or GenX engines. However, Air India as well as several South Korean airlines have ordered inspections of their 787 fuel cutoff switches.

And the International Association of Machinists (IAM) has preemptively authorized a strike by its 3,200 workers of the Boeing Defense, Space and Security unit in St. Louis, Missouri, if contract negotiations are not successful. A previous strike in 2024 slowed production of KC-46, F-15 and F-18 aircraft and forced layoffs. The unit only recently returned to profitability after years of losses on fixed price contracts.

And the ongoing chaotic tariff environment continues to exacerbate persistent supply chain instability.

Nevertheless, the outlook is considerably more positive than a year ago for Boeing, and by extension, for the overall industry.