Press Releases

Bombardier Raises Full Year Guidance Following Solid First Half Execution and Market Momentum, Reports Second Quarter 2021 Results

  • Raised FY2021 guidance: (i) aircraft deliveries expected to reach ~120 units, revenues to exceed $5.8B; (ii) profitability increased to greater than $175M adjusted EBIT(1) and adjusted EBITDA(1) expected to be greater than $575M vs previously announced $100M and $500M, respectively; (iii) Free cash flow usage(1) now expected to be better than $300M for the year vs $500M(2)
  • Business jet revenues continue positive trend; second quarter year-over-year revenues up 50%, totalling $1.5B, mainly driven by a 45% increase in deliveries and greater contribution from services as flight hours continue industry-wide climb. Adjusted EBITDA for the quarter up by $112M year over year to $143M. Reported EBIT from continuing operations for the quarter was $36M
  • Strong free cash flow generation for the quarter of $91M from continuing operations, including the negative impact of approximately $60M non-recurring cash items(3), representing an improvement of $841M year over year. Reported cash flows from operating activities – continuing operations for the quarter was $155M and net additions to PP&E and intangible assets – continuing operations for the quarter were $64M
  • Second quarter unit book-to-bill(4) climbing to ~1.8 on strong sales activity throughout the portfolio and increased interest in business aviation
  • Pro-forma liquidity(5) at quarter end was ~$2.1B and pro-forma net debt(5) was ~$5.3B, including $1.0B maturing in the next 3 years. The Corporation continues to evaluate various options to address other debt maturities in an opportunistic manner

All amounts in this press release are in U.S. dollars unless otherwise indicated.
Amounts in tables are in millions, unless otherwise indicated.

MONTRÉAL, Aug. 05, 2021 (GLOBE NEWSWIRE) — Bombardier (TSX: BBD.B) announced today its financial results for the second quarter of 2021 and raised its full year guidance, confirming that aircraft deliveries, revenues, profitability and cash usage are all expected to outperform previously communicated targets.

“Bombardier’s raised guidance stems from all-around solid execution in the first half of 2021, greater confidence in market momentum, and our ability to accelerate initiatives supporting our recurring savings objective,” said Éric Martel, President and Chief Executive Officer, Bombardier. “Our team’s concerted efforts have already supported stronger full year margins and have allowed us to focus diligently on our priorities of maturing the Global 7500 aircraft program, executing our aftermarket growth strategy and deleveraging our balance sheet.”

“We are well on our way to reposition Bombardier as the world’s business jet manufacturer of choice, and confident our passenger-experience-centric aircraft portfolio and expanding service offerings are well suited to meet growing interest, demand and utilization in private aviation,” added Martel.

Raised 2021 Full Year Guidance

Business jet deliveries (in units) 110 – 120 ~120
Revenues >$5.6 billion >$5.8 billion
Adjusted EBIT >$100 million >$175 million
Adjusted EBITDA >$500 million >$575 million
Free cash flow usage Usage better than $500 million
(including ~$200 million of non-
recurring outflows)(6)
Usage better than $300 million
(including ~$200 million of non-
recurring outflows)(3)

Second Quarter 2021 Financial Performance

Business jet revenues during the second quarter of 2021 climbed to $1.5 billion, up 50% year over year, fueled by increases in both aircraft deliveries and services. Aircraft deliveries totaled 29 in Q2, up 45% year over year, reflecting strong demand for large-category jets. Worldwide business jet utilization continued to rise, nearly reaching pre-pandemic levels in North America and Europe, buoying revenue contribution from services activities to $295 million, up 29% year over year. Aircraft sales equally accelerated, reaching a unit book-to-bill ratio of approximately 1.8 for the quarter, further highlighting strong interest in business aviation.

Adjusted EBITDA for the quarter was up $112 million year over year to $143 million, reflecting favourable aircraft deliveries and mix, improved cost structure, disciplined implementation of cost-reduction programs and consistent progression through the Global 7500 aircraft’s learning curve. In addition, the increase was boosted by a higher contribution from business aircraft services, mainly due to increased fleet flight hours resulting from easing travel restrictions and progress on vaccinations consistent with the increase in revenues. Reported EBIT from continuing operations for the quarter was $36 million.

The second quarter notably saw strong free cash flow (FCF) generation. The positive $91 million from continuing operations FCF total for the quarter represents an improvement of $841 million year over year and included a negative impact of approximately $60 million in non-recurring cash items.

Continuing Balance Sheet Deleveraging Actions

Pro-forma liquidity at quarter end was ~$2.1 billion and pro-forma net debt was ~$5.3 billion. Over the quarter, Bombardier successfully implemented a series of actions to reduce net debt as well as pay out, or refinance, nearer-term maturities, all as part of the company’s previously announced plan to create debt maturity runway. With $1.0 billion maturing in the next three years, the company can more effectively focus on the execution of its strategy, including learning curve progression for the Global 7500 aircraft and other operational improvements, and will continue managing debt in a pragmatic yet opportunistic manner.

Progress on Strategic Priorities

While progress on the Global 7500 aircraft unit costs and on overall recurring savings initiatives begin to yield bottom line benefit, Bombardier remains focused on expanding its service network and diversifying top-line revenue streams. During the second quarter, the Singapore Service Centre expansion project completed the construction phase and the teams will now focus on maintenance capacity ramp up to fully utilize the facility’s quadrupled footprint.

As construction also progresses on new or expanded facilities in Miami, USA, Melbourne, Australia and Biggin Hill, U.K., Bombardier introduced its Certified Pre-owned Aircraft program to further diversify customer offerings. Under the program, Bombardier will offer a “like-new” experience backed by a one-year warranty(7) and manufacturer-recommended aircraft modifications and updates. This program will deepen Bombardier’s involvement in the fast-moving pre-owned market, which is seeing strong demand coupled with a supply shortage of high-quality, sought-after aircraft.


Results of the Quarter
Three-month periods ended June 30 2021 2020 Variance
Revenues(9) $ 1,524 $ 1,223 25 %
Adjusted EBITDA $ 143 $ 31 361 %
Adjusted EBITDA margin(1)(9) 9.4 % 2.5 % 690 bps
Adjusted EBIT $ 32 $ (44 ) nmf
Adjusted EBIT margin(1)(9) 2.1 % (3.6 ) % 570 bps
EBIT(9) $ 36 $ 403 (91 ) %
EBIT margin(9) 2.4 % 33.0 % (3060) bps
Net income from continuing operations $ 139 $ 150 (7 ) %
Net income (loss) from discontinued operations $ —  $ (373 ) 100 %
Net income (loss) $ 139 $ (223 ) 162 %
Diluted EPS from continuing operations (in dollars) $ 0.05 $ 0.06 $ (0.01 )
Diluted EPS from discontinued operations (in dollars) $ 0.01 $ (0.19 ) $ 0.20
$ 0.06 $ (0.13 ) $ 0.19
Adjusted net loss(1)(9) $ (137 ) $ (248 ) 45 %
Adjusted EPS (in dollars)(1)(9) $ (0.06 ) $ (0.11 ) $ 0.05
Cash flows from operating activities
Continuing operations $ 155 $ (692 ) nmf
Discontinued operations $ —  $ (265 ) 100 %
$ 155 $ (957 ) nmf
Net additions to PP&E and intangible assets
Continuing operations $ 64 $ 58 10 %
Discontinued operations $ —  $ 21 (100 ) %
$ 64 $ 79 (19 ) %
Free cash flow (usage)
Continuing operations $ 91 $ (750 ) nmf %
Discontinued operations $ —  $ (286 ) 100 %
$ 91 $ (1,036 ) nmf %
As at June 30, 2021
December 31, 2020 Variance
Cash and cash equivalents excluding Transportation $ 2,288 $ 1,779 29 %
Cash and cash equivalents from Transportation $ —  $ 671 (100 ) %
$ 2,288 $ 2,450 (7 ) %
Available short-term capital resources(10) $ 2,288 $ 3,203 (29 ) %
Aviation order backlog (in billions of dollars)
Business aircraft(11) $ 10.7 $ 10.7 %

About Bombardier

Bombardier is a global leader in aviation, creating innovative and game-changing planes. Our products and services provide world-class experiences that set new standards in passenger comfort, energy efficiency, reliability and safety.

Headquartered in Montréal, Canada, Bombardier is present in more than 12 countries including its production/engineering sites and its customer support network. The Corporation supports a worldwide fleet of more than 4,900 aircraft in service with a wide variety of multinational corporations, charter and fractional ownership providers, governments and private individuals.

News and information is available at or follow us on Twitter @Bombardier.

Bombardier, Global and Global 7500 are trademarks of Bombardier Inc. or its subsidiaries.

For information

Francis Richer de La Flèche Anna Cristofaro
Vice President, Financial Planning Manager
and Investor Relations Communications
Bombardier Bombardier
+1 514 855 5001 x13228 +1 514 855 8678

The Management’s Discussion and Analysis and the Interim Consolidated Financial Statements are available at

bps: basis points
nmf: information not meaningful
(1) Non-GAAP financial measures. Refer to the Non-GAAP financial measures section in Overview for definitions of these metrics and to the Analysis of consolidated results section and Liquidity and capital resources section in Overview for reconciliations to the most comparable IFRS measures.
(2) See the forward-looking statements disclaimer.
(3) Non-recurring cash items include the impact of payments of residual value guarantee liability, consent fee with respect to the Consent Solicitations process conducted by the Corporation and restructuring costs.
(4) Defined as net new aircraft orders in units over aircraft deliveries in units.
(5) Non-GAAP measures. Pro-forma liquidity is defined as cash and cash equivalents as at June 30, 2021 of $2.3 billion, plus $0.4 billion of short-term restricted cash as collateral for bank guarantees, and less $0.6 billion paid to repurchase certain of outstanding Senior Notes in July 2021. Pro-forma net debt is defined as long-term debt as at June 30, 2021 of $8.0 billion, less $0.6 billion paid to redeem certain outstanding Senior Notes in July 2021, and less pro-forma liquidity of approximately $2.1 billion.
(6) Non-recurring items include legacy outflows related to credit and residual value guarantee liabilities and reverse factoring, and approximately $50 million of restructuring costs for the full year of 2021.
(7) One-year warranty on the airframe. Certain conditions apply.
(8) Restated for the sale of Transportation, refer to Note 17 – Disposal of business to our Interim consolidated financial statements for more details.
(9) Includes continuing operations only. Results from CRJ and aerostructure businesses for 2020 were part of continuing operations under IFRS.
(10) Defined as cash and cash equivalents as at June 30, 2021; defined as cash and cash equivalents including cash and cash equivalents from Transportation plus the undrawn amounts under Transportation’s revolving credit facility and our senior secured term loan as at December 31, 2020.
(11) Includes order backlog for both manufacturing and services.


This press release is based on reported earnings in accordance with IFRS and on the following non-GAAP financial measures:

Non-GAAP financial measures
Adjusted EBIT EBIT excluding special items. Special items comprise items which do not reflect the Corporation’s core performance or where their separate presentation will assist users of the consolidated financial statements in understanding the Corporation’s results for the period. Such items include, among others, the impact of restructuring charges, impact of business disposals and significant impairment charges and reversals.
Adjusted EBITDA Adjusted EBIT plus amortization and impairment charges on PP&E and intangible assets.
Adjusted net income (loss) Net income (loss) excluding special items, accretion on net retirement benefit obligations, certain net gains and losses arising from changes in measurement of provisions and of financial instruments carried at FVTP&L and the related tax impacts of these items.
Free cash flow (usage) Cash flows from operating activities less net additions to PP&E and intangible assets.

Non-GAAP financial measures are mainly derived from the consolidated financial statements but do not have standardized meanings prescribed by IFRS. The exclusion of certain items from non-GAAP performance measures does not imply that these items are necessarily non-recurring. Other entities in our industry may define the above measures differently than we do. In those cases, it may be difficult to compare the performance of those entities to ours based on these similarly-named non-GAAP measures.

Adjusted EBIT, adjusted EBITDA and adjusted net income (loss)
Management uses adjusted EBIT, adjusted EBITDA and adjusted net income (loss) for purposes of evaluating underlying business performance. Management believes these non-GAAP earnings measures in addition to IFRS measures provide users of our Financial Report with enhanced understanding of our results and related trends and increases the transparency and clarity of the core results of our business. Adjusted EBIT, adjusted EBITDA and adjusted net income (loss) exclude items that do not reflect our core performance or where their exclusion will assist users in understanding our results for the period. For these reasons, a significant number of users of the MD&A analyze our results based on these financial measures. Management believes these measures help users of MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.

Free cash flow (usage)
Free cash flow is defined as cash flows from operating activities less net additions to PP&E and intangible assets. Management believes that this non-GAAP cash flow measure provides investors with an important perspective on the Corporation’s generation of cash available for shareholders, debt repayment, and acquisitions after making the capital investments required to support ongoing business operations and long-term value creation. This non-GAAP cash flow measure does not represent the residual cash flow available for discretionary expenditures as it excludes certain mandatory expenditures such as repayment of maturing debt. Management uses free cash flow as a measure to assess both business performance and overall liquidity generation.

Reconciliations of non-GAAP financial measures to the most comparable IFRS financial measures are provided in the table hereafter, except for the following reconciliations:

  • adjusted EBIT to EBIT – see the Consolidated results of operations section; and
  • free cash flow usage to cash flows from operating activities – see the Free cash flow usage table in the Liquidity and capital resources section in the MD&A.
   Reconciliation of adjusted EBITDA to EBIT(1)
Three-month periods
ended June 30

Six-month periods
ended June 30

2021 2020 2021
EBIT $ 36 $ 403 $ 55 $ 508
Amortization 111 75 205 152
Impairment charges on PP&E and intangible assets(2) 8 3 19
Special items excluding impairment charges on PP&E and intangible assets(2) (4 ) (455 ) 3 (562 )
Adjusted EBITDA $ 143 $ 31 $ 266 $ 117


(1) Includes continuing operations only.
(2) Refer to the Consolidated results of operations section for details regarding special items.


This press release includes forward-looking statements, which may involve, but are not limited to: statements with respect to our objectives, anticipations and outlook or guidance in respect of various financial and global metrics and sources of contribution thereto, targets, goals, priorities, market and strategies, financial position, financial performance, market position, capabilities, competitive strengths, credit ratings, beliefs, prospects, plans, expectations, anticipations, estimates and intentions; general economic and business outlook, prospects and trends of an industry; customer value; expected demand for products and services; growth strategy; product development, including projected design, characteristics, capacity or performance; expected or scheduled entry-into-service of products and services, orders, deliveries, testing, lead times, certifications and execution of orders in general; competitive position; expectations regarding revenue and backlog mix; the expected impact of the legislative and regulatory environment and legal proceedings; strength of capital profile and balance sheet, creditworthiness, available liquidities and capital resources, expected financial requirements, and ongoing review of strategic and financial alternatives; the introduction of, productivity enhancements, operational efficiencies, cost reduction and restructuring initiatives, and anticipated costs, intended benefits and timing thereof; the anticipated business transition to growth cycle and cash generation; expectations, objectives and strategies regarding debt repayment, refinancing of maturities and interest cost reduction; expectations regarding availability of government assistance programs, compliance with restrictive debt covenants; expectations regarding the declaration and payment of dividends on our preferred shares; intentions and objectives for our programs, assets and operations; and the impact of the COVID-19 pandemic on the foregoing and the effectiveness of plans and measures we have implemented in response thereto; and expectations regarding gradual market and economic recovery in the aftermath of the COVID-19 pandemic. As it relates to the sale of the Transportation business to Alstom, this press release also contains forward-looking statements with respect to the benefits of such transaction, the use of the proceeds derived from the transaction and its impact on our outlook, guidance and targets, operations, infrastructure, opportunities, financial condition, business plan and overall strategy.

Forward-looking statements can generally be identified by the use of forward-looking terminology such as “may”, “will”, “shall”, “can”, “expect”, “estimate”, “intend”, “anticipate”, “plan”, “foresee”, “believe”, “continue”, “maintain” or “align”, the negative of these terms, variations of them or similar terminology. Forward-looking statements are presented for the purpose of assisting investors and others in understanding certain key elements of our current objectives, strategic priorities, expectations, outlook and plans, and in obtaining a better understanding of our business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes.

By their nature, forward-looking statements require management to make assumptions and are subject to important known and unknown risks and uncertainties, which may cause our actual results in future periods to differ materially from forecast results set forth in forward-looking statements. While management considers these assumptions to be reasonable and appropriate based on information currently available, there is risk that they may not be accurate. The assumptions underlying the forward-looking statements made in this press release include the following material assumptions: the deployment of the proceeds from the sale of the Transportation business to Alstom on terms allowing the Corporation, when combined to other financing sources and free cash flow generation, to repay or otherwise manage its various maturities for the next three years; growth of the business aviation market and increase of the Corporation’s share of such market; proper identification of recurring cost savings and executing on our cost reduction plan; optimization of our real estate portfolio, including through the sale or other transaction in respect of real estate assets on favorable terms; and access to working capital facilities on market terms. For additional information, including with respect to other assumptions underlying the forward-looking statements made in this press release, refer to the Forward-looking statements — Assumptions section in the MD&A of our financial report for the fiscal year ended December 31, 2020. Given the impact of the changing circumstances surrounding the COVID-19 pandemic and the related response from the Corporation, governments (federal, provincial and municipal), regulatory authorities, businesses, suppliers, customers, counterparties and third-party service providers, there is inherently more uncertainty associated with the Corporation’s assumptions as compared to prior years.

Certain factors that could cause actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to, risks associated with general economic conditions, risks associated with our business environment (such as risks associated with the financial condition of business aircraft customers; trade policy; increased competition; political instability and force majeure events or global climate change), operational risks (such as risks related to developing new products and services; development of new business ; order backlog; the transition to a pure-play business aviation company; the certification of products and services; the execution of orders; pressures on cash flows and capital expenditures based on seasonality and cyclicality; execution of our strategy, productivity enhancements, operational efficiencies, restructuring and cost reduction initiatives; doing business with partners; product performance warranty and casualty claim losses; regulatory and legal proceedings; environmental, health and safety risks; dependence on certain customers, contracts and suppliers; supply chain risks; human resources; reliance on information systems; reliance on and protection of intellectual property rights; reputation risks; risk management; tax matters; and adequacy of insurance coverage), financing risks (such as risks related to liquidity and access to capital markets; retirement benefit plan risk; exposure to credit risk; substantial debt and interest payment requirements; restrictive debt covenants; reliance on debt management and interest cost reduction strategies; and reliance on government support), market risks (such as foreign currency fluctuations; changing interest rates; increases in commodity prices; and inflation rate fluctuations). For more details, see the Risks and uncertainties section in Other in this MD&A. Any one or more of the foregoing factors may be exacerbated by the ongoing COVID-19 outbreak and may have a significantly more severe impact on the Corporation’s business, results of operations and financial condition than in the absence of such outbreak. As a result of the current COVID-19 pandemic, additional factors that could cause actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to: risks related to the impact and effects of the COVID-19 pandemic on economic conditions and financial markets and the resulting impact on our business, operations, capital resources, liquidity, financial condition, margins, prospects and results; uncertainty regarding the magnitude and length of economic disruption as a result of the COVID-19 outbreak and the resulting effects on the demand environment for our products and services; uncertainty regarding market and economic recovery in the aftermath of the COVID-19 pandemic; emergency measures and restrictions imposed by public health authorities or governments, fiscal and monetary policy responses by governments and financial institutions; disruptions to global supply chain, customers, workforce, counterparties and third-party service providers; further disruptions to operations, orders and deliveries; technology, privacy, cyber security and reputational risks; and other unforeseen adverse events.

Readers are cautioned that the foregoing list of factors that may affect future growth, results and performance is not exhaustive and undue reliance should not be placed on forward-looking statements. Other risks and uncertainties not presently known to us or that we presently believe are not material could also cause actual results or events to differ materially from those expressed or implied in our forward-looking statements. The forward-looking statements set forth herein reflect management’s expectations as at the date of this report and are subject to change after such date. Unless otherwise required by applicable securities laws, we expressly disclaim any intention, and assume no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.