Boeing’s chief financial officer, Jay Malave, told investors at the UBS Global Industrials and Transportation Conference that the company expects higher deliveries of its 737 and 787 jets in 2026 compared with 2025. Malave said the increased production will be a key driver of the company’s cash‑flow trajectory, with free‑cash‑flow projected to be in the low single‑digit billions next year.
The guidance follows a turnaround in Boeing’s cash‑flow profile. In the third quarter of 2025 the company posted a $0.2 billion free‑cash‑flow, a sharp improvement from the $1.9 billion negative free‑cash‑flow reported in Q3 2024. The rebound is linked to a ramp‑up in production— the 737 MAX production rate has been approved to increase to 42 aircraft per month, and the 787 program is also expanding output at the Charleston facility.
Malave explained that the shift to production‑led growth is made possible by the company’s recent clearing of its stockpile of deliverable aircraft. With the inventory no longer a source of deliveries, future growth will come from higher production volumes. The CFO also noted that a $4.9 billion charge related to the 777X program has been shifted from 2025 into 2026, and a DOJ payment tied to 737 MAX incidents has been moved to 2026, both of which affect the cash‑flow outlook.
Boeing’s commercial airplane segment remains the primary driver of the outlook. The 737 and 787 programs are expected to deliver the bulk of the increased deliveries, while the defense, space & security, and global services segments continue to provide steady revenue streams. The company’s guidance reflects confidence that the commercial segment will recover to pre‑pandemic levels, supported by strong demand from airlines and a favorable competitive environment against Airbus in the narrow‑body market.
Investors reacted positively to the guidance. The company’s stock rose between 8% and 10% in trading on the day of the announcement, reflecting relief after the 777X delay and confidence in the company’s ability to generate low‑single‑digit‑billion free‑cash‑flow in 2026. Malave’s remarks about a $10 billion free‑cash‑flow target and the potential to pay down debt further reinforced the market’s optimism.
The 2026 outlook signals a significant operational and financial recovery for Boeing. A return to positive free‑cash‑flow in 2026, coupled with higher 737 and 787 deliveries, positions the company to rebuild its cash reserves, reduce debt, and compete more effectively with Airbus. The guidance also indicates that Boeing is moving beyond the 777X delay and is focused on sustaining growth through production efficiency and inventory management.
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