Key Takeaways

  • Boeing logged a $565 million loss on the KC-46 tanker.
  • Defense business showed signs of improvement through most of 2025.
  • Production support costs involved ‘keeping higher levels of quality and engineering support’.

Strategic Implications

This development may indicate Boeing’s ongoing challenges with fixed-price contracts. The focus on improving production quality suggests a shift in strategy to mitigate future losses. However, the KC-46 program’s technical issues suggest that risks remain, even if reduced over time.