Published on : Friday, July 28, 2017
“We continue to make solid progress executing our five-year turnaround plan,” said Alain Bellemare, President and Chief Executive Officer, Bombardier Inc. “We are improving our operating margins, transforming our operations and executing on our growth programs, which will allow us to deliver long-term sustainable value to our customers and shareholders. With our strong performance over the first half of the year, we are well positioned to achieve our full-year guidance and expect EBIT before special items at high end of our range, between $580 million and $630 million.”
For the quarter, Bombardier reported revenues of $4.1 billion. EBIT before special items grew to $164 million, up 55% over the same period last year. EBIT margins before special items(1) were 8.2% for Transportation, a robust 8.9% at Business Aircraft and 7.7% at Aerostructures. Commercial Aircraft recorded an EBIT loss in line with the C Series ramp-up plan. Free cash flow usage(1) was also in line with plan at $570 million for the quarter.
Highlighting the Company’s performance in the second quarter were strong orders at Transportation, which reported a book-to-bill(3) of 1.4. Transportation’s operational transformation and site specialization strategy also continues to gain traction, with key milestones announced in the quarter for its operations in Germany, Switzerland and Belgium. In Business Aircraft, Bombardier’s all new, class-defining, ultra-long range business jet, the Global 7000, exceeded 500 flight-test hours, and remains on schedule to enter service in the second half of 2018.
Bombardier also announced that Mrs. Sheila Fraser expressed her intention to resign from the Company’s Board of Directors for personal reasons. The Board accepted Mrs. Fraser’s resignation and thanks her for her five years of dedicated service and the insight and wisdom she brought to Bombardier during her tenure.