Boeing Co. (NYSE:BA)

The financial metrics presented demonstrate fluctuating performance across the observed period. Several ratios exhibit volatility, particularly profitability measures, while asset utilization appears relatively stable. Adjustments to reported figures generally result in differing, and in some cases, significantly altered results, suggesting the impact of these adjustments is material.

Asset Turnover

Reported and adjusted total asset turnover ratios remain consistent across the years, fluctuating between 0.43 and 0.57. This indicates a relatively stable efficiency in generating revenue from its asset base. There is no clear upward or downward trend.

Liquidity

Both the reported and adjusted current ratios show a slight decline from 1.33 to 1.19 and 1.36 to 1.22 respectively, with a temporary increase in 2024. This suggests a moderate decrease in short-term liquidity over the period, though it remains above one, indicating sufficient current assets to cover current liabilities. The adjusted ratios consistently show a slightly higher liquidity position than the reported figures.

Leverage

Reported debt to equity and financial leverage ratios are unavailable for most of the period, becoming available in 2025 at 9.92 and 30.85 respectively. The adjusted figures for these years are notably lower, at 6.68 and 19.93, indicating that adjustments significantly reduce the apparent level of financial leverage. Reported debt to capital shows an initial increase from 1.35 to 1.49, followed by a decrease to 0.91. The adjusted debt to capital ratio mirrors this trend, declining from 1.26 to 0.87. This suggests a decreasing reliance on debt financing over time, though the magnitude differs between reported and adjusted values.

Profitability

Reported net profit margin exhibits substantial volatility, moving from -6.75% to -17.77% before becoming positive at 2.50%. The adjusted net profit margin also fluctuates, but to a lesser extent, ranging from -4.28% to 4.05%. The adjustments appear to improve the reported profitability figures, particularly in the earlier years. Reported return on equity (ROE) is only available for 2025 at 40.98%, while the adjusted ROE is 42.93%. Reported return on assets (ROA) shows a similar pattern of volatility, transitioning from -3.03% to 1.33%. The adjusted ROA demonstrates a similar trend, moving from -2.08% to 2.15%, but generally remains lower than the reported ROA.

In summary, the financial position appears to be undergoing changes, with profitability showing the most significant fluctuations. The differences between reported and adjusted figures highlight the importance of understanding the nature of these adjustments and their impact on the overall financial picture. The increasing availability of leverage ratios towards the end of the period allows for a more complete assessment of the company’s financial risk profile.

The period under review demonstrates fluctuating performance in revenue generation relative to asset utilization. Revenues exhibited an initial increase followed by a decline and subsequent recovery, while total assets generally increased over the five-year span. The adjusted total asset turnover ratio mirrors the reported ratio, indicating the adjustments to total assets did not materially alter the efficiency metric.

Revenue Trend

Revenues increased from US$62,286 million in 2021 to US$66,608 million in 2022, representing a growth of approximately 7.0%. A more substantial increase was observed between 2022 and 2023, with revenues reaching US$77,794 million, a rise of roughly 16.8%. However, revenues decreased in 2024 to US$66,517 million, a decline of approximately 14.5%. A significant recovery occurred in 2025, with revenues reaching US$89,463 million, representing a growth of approximately 34.5% from the prior year.

Total Asset Trend

Total assets experienced a slight decrease from US$138,552 million in 2021 to US$137,100 million in 2022. They remained relatively stable between 2022 and 2023 at US$137,012 million. A notable increase occurred in 2024, with total assets rising to US$156,363 million, and continued into 2025, reaching US$168,235 million. This indicates a consistent expansion of the asset base in the latter part of the period.

Adjusted Total Asset Turnover

The adjusted total asset turnover ratio remained consistent with the reported ratio across all years, indicating the adjustments made to total assets did not significantly impact the calculated turnover. The ratio began at 0.45 in 2021 and increased to 0.49 in 2022. Further improvement was seen in 2023, reaching 0.57. A decrease to 0.43 was observed in 2024, followed by a recovery to 0.53 in 2025. This suggests a fluctuating ability to generate revenue from its asset base, with 2023 and 2025 representing the most efficient periods and 2024 the least efficient.

The correlation between revenue fluctuations and the adjusted total asset turnover ratio suggests that changes in revenue directly influence the efficiency with which assets are utilized. The increase in assets in 2024 and 2025 did not immediately translate into a proportional increase in revenue, as evidenced by the dip in the ratio in 2024, but the substantial revenue growth in 2025 improved the ratio.

The adjusted current ratio exhibited fluctuations over the five-year period. Initially, the ratio demonstrated an increase followed by a decline, then a subsequent rise before ending with a slight decrease. A review of the underlying components reveals trends in both adjusted current assets and adjusted current liabilities that contribute to these observed changes.

Adjusted Current Ratio Trend

The adjusted current ratio began at 1.36 in 2021, increasing to 1.35 in 2024. However, it experienced a dip to 1.25 in 2022 and 1.17 in 2023 before recovering. The ratio concluded the period at 1.22 in 2025, representing a slight decrease from the prior year.

Adjusted Current Assets

Adjusted current assets showed a generally upward trend throughout the period, increasing from US$109,056 million in 2021 to US$128,535 million in 2025. The most significant increase occurred between 2023 and 2024, with a rise of US$3,726 million. Growth was more moderate in other periods.

Adjusted Current Liabilities

Adjusted current liabilities consistently increased over the five years, rising from US$80,092 million in 2021 to US$105,318 million in 2025. The largest absolute increase in adjusted current liabilities was observed between 2024 and 2025, with an increase of US$10,373 million. The rate of increase in liabilities generally accelerated over time.

Relationship between Assets and Liabilities

The adjusted current ratio’s fluctuations appear to be driven by the differing rates of change in adjusted current assets and adjusted current liabilities. While both components generally increased, the faster growth of liabilities in 2022 and 2023 contributed to the declines in the adjusted current ratio during those years. Conversely, the comparatively larger increase in assets in 2024 led to the ratio’s recovery. The continued increase in liabilities, albeit at a slower pace than assets in 2025, resulted in a slight decrease in the ratio.

Overall, the adjusted current ratio indicates a fluctuating, but generally stable, short-term liquidity position. The company’s ability to manage its current assets and liabilities will be crucial in maintaining this position.

The information presents trends in total debt, shareholders’ equity, and associated debt-to-equity ratios, both reported and adjusted, over a five-year period. A notable shift in shareholders’ equity is observed, moving from a substantial deficit to a positive value by the end of the period. This movement significantly impacts the debt-to-equity ratios.

Total Debt

Total debt exhibits a relatively stable pattern. It decreased from US$58.102 billion in 2021 to US$52.307 billion in 2023, then experienced slight increases in 2024 and 2025, reaching US$54.098 billion. The fluctuations appear moderate and do not indicate a dramatic shift in the company’s borrowing strategy.

Shareholders’ Equity (Deficit)

Shareholders’ equity began as a significant deficit, at US$-14.999 billion in 2021, and continued to worsen, reaching a deficit of US$-17.233 billion in 2023. However, a substantial improvement is evident in 2024 and 2025, with the deficit narrowing to US$-3.908 billion and ultimately transforming into a positive equity of US$5.454 billion. This turnaround is a key driver of changes in the debt-to-equity ratios.

Adjusted Total Debt

Adjusted total debt follows a similar trend to total debt, decreasing from US$59.641 billion in 2021 to US$54.121 billion in 2023, and then increasing slightly to US$56.365 billion in 2025. The adjusted figures are consistently higher than the reported total debt, suggesting the adjustments involve the inclusion of certain liabilities not captured in the initial total debt figure.

Adjusted Total Equity (Deficit)

The trend in adjusted total equity mirrors that of shareholders’ equity, starting with a deficit and improving significantly over time. The adjusted deficit decreased from US$-12.415 billion in 2021 to US$-1.752 billion in 2024, culminating in a positive equity of US$8.439 billion in 2025. The adjusted equity values are consistently higher than the reported shareholders’ equity, indicating that the adjustments add to the equity position.

Adjusted Debt to Equity Ratio

The adjusted debt-to-equity ratio demonstrates a dramatic decrease over the period. While values are unavailable for the earlier years, the ratio is reported as 9.92 in 2024 and falls to 6.68 in 2025. This decline is primarily attributable to the substantial improvement in adjusted total equity. The ratio suggests a decreasing reliance on debt financing relative to equity as the period progresses.

In summary, the financial position appears to have undergone a significant positive transformation, driven by a substantial increase in equity. This improvement has resulted in a lower adjusted debt-to-equity ratio, indicating a strengthening financial structure.

The information presents a five-year trend of debt and capital figures, culminating in calculated ratios. Total debt exhibited a slight decrease from 2021 to 2023, followed by modest increases in 2024 and 2025. Total capital demonstrated a more volatile pattern, declining through 2023 before experiencing substantial growth in both 2024 and 2025. These movements influence the observed debt-to-capital ratios.

Reported Debt to Capital

The reported debt-to-capital ratio increased from 1.35 in 2021 to 1.49 in 2023, indicating a growing reliance on debt financing relative to capital. However, this trend reversed in subsequent years, with the ratio decreasing to 1.08 in 2024 and further to 0.91 in 2025. This suggests an improvement in the company’s capital structure, potentially due to increased equity or reduced debt.

Adjusted Debt to Capital

The adjusted debt-to-capital ratio followed a similar trajectory to the reported ratio, though with different magnitudes. It began at 1.26 in 2021 and rose to 1.37 in 2023, before declining to 1.03 in 2024 and 0.87 in 2025. The adjusted ratio consistently remained below the reported ratio across all periods, suggesting that the adjustments made to debt and capital figures resulted in a more conservative leverage assessment. The decline in both 2024 and 2025 indicates a strengthening financial position based on the adjusted figures.

The difference between reported and adjusted ratios suggests the presence of items impacting the initial calculations. The adjustments appear to be consistently reducing the overall debt-to-capital ratio, implying a potential reclassification or refinement of certain financial elements. The substantial increase in total capital in 2024 and 2025 is a key driver of the declining ratios in those years, indicating a significant shift in the company’s financing structure.

Debt and Capital Trends

Adjusted total debt remained relatively stable between 2021 and 2025, fluctuating within a narrow range. Adjusted total capital, however, experienced a more pronounced change, decreasing from 47,226 in 2021 to 39,600 in 2023, then increasing significantly to 64,804 in 2025. This suggests a strategic shift in capital allocation or financing activities, particularly in the later years of the observed period.

The financial position reflected a significant shift in shareholders’ equity over the observed period. Total assets remained relatively stable between 2021 and 2023, with a noticeable increase in both 2024 and 2025. A substantial improvement in shareholders’ equity is evident from 2023 to 2025, transitioning from a significant deficit to a positive balance. This change is mirrored in the adjusted equity figures. The adjusted financial leverage ratio demonstrates a decreasing trend, indicating a strengthening financial position.

Total Assets

Total assets experienced minimal fluctuation from 2021 to 2023, hovering around US$137-138 billion. A considerable increase occurred in 2024, reaching US$156.363 billion, and continued into 2025, reaching US$168.235 billion. This suggests a period of expansion or increased investment in assets during the latter part of the period.

Shareholders’ Equity (Deficit)

Shareholders’ equity consistently registered a deficit from 2021 to 2023, deepening each year. The deficit peaked at US$-17.233 billion in 2023. A dramatic turnaround began in 2024, with the deficit significantly reduced to US$-3.908 billion, culminating in a positive equity balance of US$5.454 billion in 2025. This indicates a substantial improvement in the company’s net worth.

Adjusted Total Assets

Adjusted total assets closely mirrored the trend of total assets, exhibiting stability from 2021 to 2023 and then increasing in 2024 and 2025. The values are nearly identical to the reported total assets, suggesting minimal adjustments were made.

Adjusted Total Equity (Deficit)

The trend in adjusted total equity mirrored that of shareholders’ equity, with a consistent deficit from 2021 to 2023, followed by a substantial reduction in the deficit in 2024 and a move to positive equity in 2025. The adjusted equity values are also very close to the reported equity values.

Adjusted Financial Leverage

The adjusted financial leverage ratio was first reported in 2025 at 19.93. This indicates the proportion of assets financed by equity. The reported financial leverage in 2025 was 30.85, suggesting the adjustments made to equity had a significant impact on the leverage calculation, resulting in a lower ratio. The decrease in adjusted financial leverage from 2025 suggests a strengthening of the company’s financial structure and reduced reliance on debt financing relative to equity.

The period under review demonstrates significant volatility in profitability metrics. Reported net profit margin fluctuates considerably, experiencing losses throughout the initial years and a substantial decline in 2024 before a return to positive territory in 2025. A similar pattern, though with differing magnitudes, is observed in the adjusted net profit margin.

Adjusted Net Profit Margin Trend

The adjusted net profit margin begins at 1.06% in 2021, indicating a modest level of profitability after adjustments. This is followed by a decline to -4.28% in 2022 and -3.63% in 2023, suggesting increasing pressure on earnings. The most substantial decrease occurs in 2024, with the adjusted net profit margin falling to -19.62%, representing a significant loss. A notable recovery is then seen in 2025, with the adjusted net profit margin rising to 4.05%, indicating improved profitability following the prior year’s difficulties.

The magnitude of the loss in 2024, as reflected in both reported and adjusted net profit margins, is considerably larger than in previous loss-making years. This suggests a potentially significant event or series of events negatively impacting earnings during that period. The subsequent recovery in 2025, while positive, does not fully offset the losses experienced in the preceding years.

Relationship to Revenues

Revenues generally trend upward over the period, increasing from US$62,286 million in 2021 to US$89,463 million in 2025. However, the increase in revenue does not consistently translate into improved profitability, particularly evident in 2024 where revenue decreased from 2023 but the adjusted net profit margin experienced its largest decline. This suggests that factors beyond revenue generation, such as cost control or operational efficiency, play a crucial role in determining overall profitability.

The divergence between reported and adjusted net profit margins suggests the presence of significant adjustments being made to reported earnings. Further investigation into the nature of these adjustments would be necessary to fully understand the underlying financial performance of the entity.

Net Earnings (Loss) Attributable to Boeing Shareholders

The net earnings attributable to Boeing shareholders mirror the trends observed in the profit margins. Losses are recorded in 2021, 2022, and 2023, culminating in a substantial loss in 2024 before a return to positive earnings in 2025. The scale of the 2024 loss is significantly larger than the losses in prior years, aligning with the substantial decline in both reported and adjusted net profit margins.

The period under review demonstrates significant volatility in both net earnings and shareholders’ equity, ultimately impacting return on equity calculations. Initial years exhibit substantial losses, followed by a move towards profitability and equity growth in the later years. The adjusted figures reveal a similar pattern, though with differing magnitudes.

Net Earnings and Shareholders’ Equity

Net earnings attributable to Boeing shareholders were negative for the first three years of the period, reaching a peak loss of US$4.935 billion in 2022 before decreasing to a loss of US$2.222 billion in 2023. A substantial loss of US$11.817 billion was recorded in 2024, followed by a return to profitability with earnings of US$2.235 billion in 2025. Shareholders’ equity mirrored this trend, remaining in deficit throughout the initial period and reaching a peak deficit of US$17.233 billion in 2023. Equity improved significantly in 2024 and 2025, moving into a positive balance of US$5.454 billion by the end of 2025.

Reported Return on Equity (ROE)

Reported ROE is only available for 2025, registering at 40.98%. The absence of reported ROE figures for prior years is likely due to the negative shareholders’ equity during those periods, rendering the calculation meaningless.

Adjusted Net Earnings and Adjusted Total Equity

Adjusted net earnings also showed initial losses, with a peak loss of US$2.854 billion in 2022, followed by a loss of US$2.821 billion in 2023. Similar to the reported figures, 2024 saw a substantial loss of US$13.053 billion, before a return to profitability with earnings of US$3.623 billion in 2025. Adjusted total equity followed a comparable trajectory, remaining negative for the first four years and reaching a peak deficit of US$14.521 billion in 2023. A significant improvement occurred in 2024 and 2025, culminating in a positive equity balance of US$8.439 billion.

Adjusted Return on Equity (ROE)

Adjusted ROE is only available for 2025, registering at 42.93%. This value is slightly higher than the reported ROE for the same period. The consistent application of adjustments appears to have a marginal positive impact on the ROE calculation in the final year. The trend in adjusted net earnings and equity suggests that, had positive equity existed in earlier years, adjusted ROE would have been negative during those periods.

The substantial swings in both reported and adjusted financial metrics highlight a period of significant challenges and eventual recovery. The positive shift in both earnings and equity in 2025 suggests a potential turning point, though the magnitude of the prior losses indicates a considerable effort was required to achieve this outcome.

The adjusted return on assets (ROA) exhibited considerable fluctuation over the five-year period. Initially positive, it transitioned to negative values before recovering to positive territory. A review of the underlying components reveals insights into these shifts.

Adjusted ROA Trend

The adjusted ROA began at 0.48% in 2021. It then decreased to -2.08% in 2022 and remained relatively stable at -2.06% in 2023. A significant decline was observed in 2024, with the adjusted ROA reaching -8.35%. The final year, 2025, showed a substantial recovery to 2.15%.

Net Earnings Impact

Adjusted net earnings (loss) attributable to Boeing shareholders mirrored the volatility seen in the adjusted ROA. Positive earnings of US$660 million in 2021 were followed by losses of US$2,854 million in 2022 and US$2,821 million in 2023. The loss widened considerably to US$13,053 million in 2024 before a return to profitability with earnings of US$3,623 million in 2025. This suggests that changes in profitability were a primary driver of the adjusted ROA fluctuations.

Asset Base Considerations

Adjusted total assets remained relatively consistent between 2021 and 2023, fluctuating around US$137 billion. A noticeable increase occurred in 2024, reaching US$156,270 million, and continued into 2025, reaching US$168,204 million. While asset growth contributed to the denominator in the ROA calculation, the more significant driver of the observed changes appears to be the performance of adjusted net earnings.

Comparison to Reported ROA

The adjusted ROA consistently differed from the reported ROA. The reported ROA was negative throughout the period, with a more pronounced decline in 2024 (-7.56%) compared to the adjusted ROA (-8.35%). The adjustments made to net earnings and total assets resulted in a less negative, and ultimately positive, adjusted ROA in 2025, indicating that the adjustments had a material impact on the profitability metric.

In summary, the adjusted ROA experienced a period of instability, heavily influenced by significant swings in adjusted net earnings. While asset levels increased over the period, the primary driver of the ROA trend appears to be the company’s profitability, as reflected in the adjusted net earnings figures.