BA · Earnings call · 2026Q3T · Full report

Defense Contract Demand

BOEING CO · 2026-10-27 · Importance 52 · Surprise 42

Boeing reported strong demand across its defense and space portfolio, including a seven-year PAC-3 Seeker contract intended to accelerate and eventually triple production. A U.S. Air Force award for 22 additional F-15EX aircraft brought the total under contract to 120, with management citing potential additional demand. The U.S. Navy selected Boeing for the F/A-XX next-generation fighter, and management said defense growth expectations have moved from low-single-digit revenue growth toward high-middle-single-digit or higher. Boeing also cited MQ-25 and T-7 reaching Milestone C and said its products are in strong demand.

Key facts

• Boeing said its defense awards were being underwritten with appropriate contract types and cited movement of MQ-25 and T-7 to Milestone C.
• Boeing said the NGAD contract is cost-plus; it would not disclose the F/A-XX contract type, but called it appropriate.