Boeing (NYSE:BA) reported better-than-expected group revenue in the second quarter, driven by improved operational execution and higher volumes in its commercial aircraft division. However, shares declined over 3% during intra-day trading.

Revenue from the commercial airplanes unit rose to $10.87 billion, topping Wall Street’s forecast of $10.4 billion. The defense segment also outperformed expectations.

CEO Kelly Ortberg stated that operational changes focused on enhancing safety and quality had started to yield positive results, noting improvements in airplane deliveries and product reliability. Ortberg, who took over in 2024, has worked to restore confidence following a high-profile mid-air panel incident.

Ortberg added that the company remains focused on rebuilding trust and advancing its recovery amid a volatile global backdrop. He also pointed to progress in mitigating tariff risks, supported by a U.S.-China trade truce and a preliminary deal with the EU that exempts aircraft from new levies.

Boeing posted a core loss of $1.24 per share for the quarter, better than analysts had anticipated.