As Boeing continues its turnaround plan, the US aircraft assembler has had a further boost with S&P Ratings removing its credit watch negative status on the company on April 28, 2025.
The rating agency noted the company's increasing and stable production output of the popular 737 MAX family aircraft, as well as cash usage in the first quarter being less than expected. S&P said the company “appears on track” to recover from its tumultuous 2024, which was marred with production halts and caps as a result of strike action and safety issues.
“We estimate that Boeing has increasing capacity to absorb unexpected headwinds risks to sustainably higher production and to near-term aircraft deliveries, including those posed by tariffs and counter-tariffs with the US and its trading partners,” S&P read in its report. The report noted that Boeing's “sizable inventory” of aircraft parts will also provide a “cushion from tariff volatility”.
The agency reaffirmed Boeing's BBB- rating with a negative outlook. The outlook largely reflects Boeing's recovery in aircraft production and delivery could progress slower than expected. S&P said the slow production and delivery recovery, along with other factors, leaves Boeing exposed to higher-than-expected cash usage.