Earnings Per Share

12 Months Ended

Dec. 31, 2025

Basic and diluted earnings per share are computed using the two-class method, which is an earnings allocation method that determines earnings per share for common shares and participating securities. The undistributed earnings are allocated between common shares and participating securities as if all earnings had been distributed during the period. Participating securities and common shares have equal rights to undistributed earnings.

Basic earnings per share is calculated by taking net earnings attributable to Boeing shareholders, less Mandatory convertible preferred stock dividends accumulated during the period and earnings available to participating securities, divided by the basic weighted average common shares outstanding.

Diluted earnings per share is calculated by taking net earnings attributable to Boeing shareholders, less Mandatory convertible preferred stock dividends accumulated during the period and earnings available to participating securities, divided by the diluted weighted average common shares outstanding. Diluted weighted average common shares outstanding is calculated using the treasury stock method for share-based compensation awards and the if-converted method for Mandatory convertible preferred stock and Exchangeable Notes. Under the if-converted method, if the potential conversion of our Mandatory convertible preferred stock and/or Exchangeable Notes is dilutive, net earnings attributable to Boeing shareholders is adjusted to add back the Mandatory convertible preferred stock dividends accumulated during the period and/or the periodic interest expense on the Exchangeable Notes, net of tax.

The elements used in the computation of Basic and Diluted earnings/(loss) per share were as follows:


(In millions - except per share amounts)
Years ended December 31,	2025	2024	2023
Basic
Net earnings/(loss) attributable to Boeing shareholders	$2,235	($11,817)	($2,222)
Less: Mandatory convertible preferred stock dividends accumulated during the period	345	58
Less: earnings available to participating securities	1
Net earnings/(loss) available to common shareholders	$1,889	($11,875)	($2,222)
Diluted
Basic Net earnings/(loss) available to common shareholders	$1,889	($11,875)	($2,222)
Add: Mandatory convertible preferred stock dividends accumulated during the period
Add: interest expense on Exchangeable Notes, net of tax
Net earnings/(loss) available to common shareholders	$1,889	($11,875)	($2,222)
Basic
Basic weighted average shares outstanding	760.0	647.2	606.1
Less: participating securities(1)	0.2	0.3	0.3
Basic weighted average common shares outstanding	759.8	646.9	605.8
Diluted
Basic weighted average shares outstanding	760.0	647.2	606.1
Dilutive potential common shares(2)	2.5
Diluted weighted average shares outstanding	762.5	647.2	606.1
Less: participating securities(1)	0.2	0.3	0.3
Diluted weighted average common shares outstanding	762.3	646.9	605.8
Net earnings/(loss) per share:
Basic	$2.49	($18.36)	($3.67)
Diluted	2.48	(18.36)	(3.67)

(1)Participating securities include certain instruments in our deferred compensation plan.

(2)Diluted earnings per share includes any dilutive impact of stock options, restricted stock units, performance restricted stock units, Mandatory convertible preferred stock and Exchangeable Notes.

The following table represents potential common shares that were not included in the computation of Diluted earnings/(loss) per share. Potential common shares from performance restricted stock units, restricted stock units and stock options were not included because their effect was antidilutive based on their strike price or the performance condition was not met. Potential common shares from Mandatory convertible preferred stock and Exchangeable Notes were not included because their effect was antidilutive based on the application of the if-converted method.


(Shares in millions)
Years ended December 31,	2025	2024	2023


Performance restricted stock units	0.5	0.7
Restricted stock units	0.1	0.5
Stock options	0.8	0.8	0.8
Mandatory convertible preferred stock	33.8
Exchangeable Notes	0.1

In addition, potential common shares of 11.6 million and 5.7 million for the years ended December 31, 2024 and 2023, were excluded from the computation of Diluted earnings/(loss) per share, because the effect would have been antidilutive as a result of incurring a net loss in those periods.