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Segment and Revenue Information
 12 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment and Revenue Information Segment and Revenue Information
We operate in three reportable segments: BCA, BDS, and BGS. All other activities fall within Unallocated items, eliminations and other. See page 59 for the Summary of Business Segment Data, which is an integral part of this note.
BCA develops, produces and markets commercial jet aircraft principally to the commercial airline industry worldwide. Revenue on commercial aircraft contracts is recognized at the point in time when an aircraft is completed and accepted by the customer.
BDS engages in the research, development, production and modification of the following products and related services: manned and unmanned military aircraft and weapons systems, surveillance and engagement, strategic defense and intelligence systems, satellite systems and space exploration. BDS revenue is generally recognized over the contract term (over time) as costs are incurred.
BGS provides parts, maintenance, modifications, logistics support, training, data analytics and information-based services to commercial and government customers worldwide. BGS segment revenue and costs include certain products and services provided to other segments. Revenue on commercial spare parts contracts is recognized at the point in time when a spare part is delivered to the customer. Revenue on other contracts is generally recognized over the contract term (over time) as costs are incurred.
Our chief operating decision maker is currently our President and Chief Executive Officer (CEO). The primary profitability measurement used by the CEO to review segment operating results is Segment operating (loss)/earnings. The CEO uses Segment operating (loss)/earnings to allocate resources (including employees, financial and capital resources) for each segment predominantly in the annual planning process. Segment operating (loss)/earnings is used to monitor segment results compared to prior period, forecasted results, and the annual plan.
The following table reconciles segment Revenues to Segment operating (loss)/earnings:
BCABDSBGS
For the year ended December 31, 2023
Revenues$33,901 $24,933 $19,127 
Less:
Research and development expense, net2,036 919 107 
Other segment items(1)
33,500 25,778 15,691 
Segment operating (loss)/earnings($1,635)($1,764)$3,329 
For the year ended December 31, 2024
Revenues$22,861 $23,918 $19,954 
Less:
Research and development expense, net2,386 917 132 
Other segment items(1)
28,444 28,414 16,204 
Segment operating (loss)/earnings($7,969)($5,413)$3,618 
For the year ended December 31, 2025
Revenues$41,494 $27,234 $20,923 
Less:
Research and development expense, net2,202 877 125 
Gain on Digital Aviation Solutions Divestiture(2)
(9,566)
Other segment items(1)
46,371 26,485 16,890 
Segment operating (loss)/earnings($7,079)($128)$13,474 
(1)    Primarily includes costs of products and services and general and administrative expenses.
(2)    See Note 3 for additional discussion.
While our principal operations are in the United States, Canada and Australia, some key suppliers and subcontractors are located in Europe and Japan. Revenues, including foreign military sales, are reported by customer location and consisted of the following:
Years ended December 31,202520242023
Asia$16,466 $11,994 $10,013 
Europe11,419 8,734 10,520 
Middle East7,023 4,635 6,594 
Oceania1,587 1,565 1,655 
Canada1,781 1,472 1,256 
Africa1,625 1,143 825 
Latin America, Caribbean and other1,479 1,246 1,524 
Total non-U.S. revenues41,380 30,789 32,387 
United States48,083 36,171 45,380 
Estimated potential concessions and other considerations to 737 MAX customers, net of insurance recoveries
 (443)27 
Total revenues$89,463 $66,517 $77,794 
Revenues from the U.S. government (including FMS), primarily recorded at BDS and BGS, represented 35%, 42% and 37% of consolidated revenues for 2025, 2024 and 2023, respectively. Approximately 4% and 3% of operating assets were located outside the United States as of December 31, 2025 and 2024.
The following tables present BCA, BDS and BGS revenues from contracts with customers disaggregated in a number of ways, such as geographic location, contract type and the method of revenue recognition. We believe these best depict how the nature, amount, timing and uncertainty of our revenues and cash flows are affected by economic factors.
BCA revenues by customer location consisted of the following:
Years ended December 31,
202520242023
Revenue from contracts with customers:
Asia$11,733 $8,060 $6,328 
Europe6,536 3,956 6,172 
Middle East4,202 2,012 4,311 
Other non-U.S.2,504 1,815 2,431 
Total non-U.S. revenues24,975 15,843 19,242 
United States16,357 7,326 14,501 
Estimated potential concessions and other considerations to 737 MAX customers, net of insurance recoveries
 (443)27 
Total revenues from contracts with customers41,332 22,726 33,770 
Intersegment revenues, eliminated on consolidation162 135 131 
Total segment revenues$41,494 $22,861 $33,901 
Revenue recognized on fixed-price contracts100 %100 %100 %
Revenue recognized at a point in time100 %99 %99 %
BDS revenues on contracts with customers, based on the customer's location, consisted of the following:
Years ended December 31,
202520242023
Revenue from contracts with customers:
U.S. customers$21,070 $18,589 $20,051 
Non-U.S. customers(1)
6,164 5,329 4,882 
Total segment revenue from contracts with customers$27,234 $23,918 $24,933 
Revenue recognized over time99 %99 %99 %
Revenue recognized on fixed-price contracts58 %54 %58 %
Revenue from the U.S. government(1)
91 %91 %91 %
(1)Includes revenues earned from FMS.
BGS revenues consisted of the following:
Years ended December 31, 202520242023
Revenue from contracts with customers:
Commercial$12,015 $11,736 $11,020 
Government8,508 7,832 7,751 
Total revenues from contracts with customers20,523 19,568 18,771 
Intersegment revenues eliminated on consolidation400 386 356 
Total segment revenues$20,923 $19,954 $19,127 
Revenue recognized at a point in time53 %53 %51 %
Revenue recognized on fixed-price contracts86 %86 %87 %
Revenue from the U.S. government(1)
31 %29 %30 %
(1)Includes revenues earned from FMS.
Earnings in Equity Method Investments
During the years ended December 31, 2025, 2024 and 2023, our share of income from equity method investments was $33, $104, and $70, respectively. In 2025, 2024 and 2023, earnings from equity method investments were primarily driven by investments held at our BDS segment.
Backlog
Our total backlog includes contracts that we and our customers are committed to perform. The value in backlog represents the estimated transaction prices on performance obligations to our customers for which work remains to be performed. Backlog is converted into revenue, primarily based on the cost incurred or at delivery and acceptance of products, depending on the applicable revenue recognition model.
Our backlog at December 31, 2025 was $682,207. We expect approximately 13% to be converted to revenue through 2026 and approximately 55% through 2029, with the remainder thereafter. There is significant uncertainty regarding the timing of when backlog will convert into revenue. We may experience reductions to backlog and/or significant order cancellations due to various factors including delivery delays, production disruptions and delays to entry into service of the 777X, 737-7 and/or 737-10.
Unallocated Items, Eliminations and other
Unallocated items, eliminations and other include common internal services that support Boeing’s global business operations and eliminations of certain sales between segments. We generally allocate costs to business segments based on the U.S. Government Cost Accounting Standards (CAS).
Components of Unallocated items, eliminations and other (expense)/income are shown in the following table.
Years ended December 31,202520242023
Share-based plans($49)$171 $62 
Deferred compensation(182)(114)(188)
Amortization of previously capitalized interest(92)(93)(95)
Research and development expense, net(411)(377)(315)
Eliminations and other unallocated items(2,297)(1,634)(1,223)
Unallocated items, eliminations and other($3,031)($2,047)($1,759)
Eliminations and other unallocated items expense during the years ended December 31, 2025 and 2024 included earnings charges of $445 and $244 related to agreements with the U.S. Department of Justice. For additional discussion, see Note 23 to our Consolidated Financial Statements.
Pension and Other Postretirement Benefit Expense
Pension costs are allocated to BDS and BGS businesses supporting government customers using CAS, which employ different actuarial assumptions and accounting conventions than GAAP. These costs are allocable to government contracts. Other postretirement benefit costs are allocated to business segments based on CAS, which is generally based on benefits paid. FAS/CAS service cost adjustment represents the difference between the Financial Accounting Standards (FAS) pension and postretirement service costs calculated under GAAP and costs allocated to the business segments. Non-operating pension and postretirement expenses represent the components of net periodic benefit costs other than service cost. These expenses are included in Other income, net. Components of FAS/CAS service cost adjustment are shown in the following table:
Years ended December 31,202520242023
Pension FAS/CAS service cost adjustment$784 $811 $799 
Postretirement FAS/CAS service cost adjustment261 293 257 
FAS/CAS service cost adjustment$1,045 $1,104 $1,056 
Assets
Segment assets are summarized in the table below.
December 31,20252024
Commercial Airplanes$91,837 $84,177 
Defense, Space & Security16,723 15,350 
Global Services16,026 16,704 
Unallocated items, eliminations and other43,649 40,132 
Total$168,235 $156,363 
Assets included in Unallocated items, eliminations and other primarily consist of Cash and cash equivalents, Short-term and other investments, tax assets, capitalized interest and assets managed centrally on behalf of the three principal business segments and intercompany eliminations.
Capital Expenditures
Years ended December 31,202520242023
Commercial Airplanes$626 $508 $420 
Defense, Space & Security373 296 192 
Global Services187 212 127 
Unallocated items, eliminations and other1,756 1,214 788 
Total$2,942 $2,230 $1,527 
Capital expenditures for Unallocated items, eliminations and other relate primarily to assets managed centrally on behalf of the three principal business segments.
Depreciation and Amortization
Years ended December 31,202520242023
Commercial Airplanes$455 $400 $464 
Defense, Space & Security
221 209 219 
Global Services296 304 320 
Centrally Managed Assets (1)
981 923 858 
Total$1,953 $1,836 $1,861 
(1)Amounts shown in the table represent depreciation and amortization expense recorded by the individual business segments. Depreciation and amortization for centrally managed assets are allocated to business segments based on usage and occupancy. In 2025, $747 was allocated to the primary business segments, of which $361, $300 and $86 was allocated to BCA, BDS and BGS, respectively. In 2024, $705 was allocated the primary business segments, of which $339, $289 and $77 was allocated to BCA, BDS and BGS, respectively. In 2023, $650 was allocated to the primary business segments, of which $311, $264 and $75 was allocated to BCA, BDS and BGS, respectively.