Boeing's latest earnings report points to a more positive operating outlook for 2026, driven largely by improving aircraft deliveries and production progress. For the global aerospace industry, demand is no longer the primary concern—supply is. Boeing's renewed urgency to raise output is being welcomed across its supply chain, including aerospace manufacturers in Taiwan.
Strong fourth quarter revenue
In the fourth quarter of 2025, Boeing reported revenue of US$23.9 billion, a 57% increase from a year earlier. While its commercial aircraft division remained unprofitable, losses narrowed significantly, reflecting improved production stability.
Deliveries were the main driver of the revenue rebound. Boeing delivered 160 aircraft in the fourth quarter—nearly double the level of a year earlier. Monthly production of the 737 MAX has recovered to 42 aircraft, while output of the 787 Dreamliner has risen to eight per month. Production of the long-delayed 777X remains on track, with Boeing maintaining its target for first deliveries in 2027.
For the full year, Boeing delivered 600 aircraft, its highest total since 2018. The company expects to deliver 500 units of the 737 in 2026 and anticipates delivery growth of more than 10% across all aircraft programs.
Orders remain robust. Boeing recorded 336 net new orders in the fourth quarter, pushing its backlog above 6,100 aircraft, with a total value of US$567 billion—another record high.
Taiwanese suppliers eye opportunities
The improved delivery outlook has raised expectations not only for Boeing's own turnaround but also for its global supplier base. Taiwanese aerospace manufacturers, including Evergreen Aviation Technologies, Drewloong Precision, Aerowin Technology, Magnate Technology, and Aerospace Industrial Development Corporation (AIDC), have expressed optimism that increased production will translate into higher order volumes.
Boeing executives emphasized that meeting its 2026 delivery targets will require continued progress in stabilizing production rates and expanding capacity, while avoiding the quality lapses that have plagued the company in recent years.
Supply chain challenges persist
The aerospace supply chain remains under strain after the pandemic. Demand for aircraft surged as global travel rebounded, but supply chains that were disrupted or hollowed out during Covid have been slow to recover. While Boeing and Airbus continue to accumulate orders, upstream suppliers have struggled to ramp up production fast enough to meet demand.
Boeing's planned acquisition of Spirit AeroSystems is expected to play a critical role in easing these bottlenecks. Once the deal is completed, the company believes it will be better positioned to stabilize production and support rising delivery volumes beginning in 2026.
Taiwan's growing aerospace role
Among Taiwanese suppliers, Drewloong Precision has one of the highest exposures to Boeing, serving as a key supplier of components for the 737 program. With Boeing projecting higher 737 deliveries, Drewloong expects capacity utilization to increase quarter by quarter in 2026, potentially rising from the current rate tied to 42 aircraft per month to as many as 52 by year-end.
Evergreen Aviation Technologies, meanwhile, supplies components for GE aircraft engines and Boeing airframe structures. In 2025, the company also entered Airbus's supply chain as a Tier 1 supplier, becoming one of the few manufacturers qualified to serve both of the world's leading aircraft makers. Its maintenance, repair, and overhaul business further positions it to benefit from the expanding global fleet of Boeing aircraft.
Boeing also accounts for a meaningful share of revenue at Aerowin Technology, Magnate Technology, and AIDC. As aircraft deliveries recover, the outlook for Taiwan's aerospace components sector has improved, with rising production at Boeing expected to ripple across the industry.
Article edited by Jerry Chen
