Bombardier Posts Fourth Consecutive Year of Diversified Growth and Solid Financial Performance
Bombardier (BDRBF) reported strong financial results for 2024, with revenues growing 8% year-over-year to $8.7 billion, driven by 146 aircraft deliveries and record service revenue exceeding $2.0 billion. The company's adjusted EBITDA increased 11% to $1.36 billion, with a 15.7% margin.
Key financial highlights include net income of $370 million, adjusted net income of $547 million, and diluted EPS of $3.40. Free cash flow generation reached $232 million, while the backlog grew to $14.4 billion. The company achieved significant deleveraging with approximately $400 million in debt reduction, reducing the adjusted net debt to adjusted EBITDA ratio from 3.3x to 2.9x.
Due to new U.S. tariffs announced on February 1, 2025, affecting imports from Canada, Mexico, and China, Bombardier has deferred providing guidance and 2025 objectives until further assessment of potential impacts.
Bombardier (BDRBF) ha riportato risultati finanziari solidi per il 2024, con un aumento dei ricavi dell'8% rispetto all'anno precedente, arrivando a 8,7 miliardi di dollari, grazie a 146 consegne di aeromobili e a un record nei ricavi dei servizi superiori a 2,0 miliardi di dollari. L'EBITDA rettificato dell'azienda è aumentato dell'11%, raggiungendo 1,36 miliardi di dollari, con un margine del 15,7%.
I principali punti salienti finanziari includono un utile netto di 370 milioni di dollari, un utile netto rettificato di 547 milioni di dollari e un utili per azione (EPS) diluiti di 3,40 dollari. La generazione di flusso di cassa libero ha raggiunto 232 milioni di dollari, mentre l'ordine arretrato è cresciuto a 14,4 miliardi di dollari. L'azienda ha ottenuto una significativa riduzione del debito con circa 400 milioni di dollari di riduzione del debito, facendo scendere il rapporto tra debito netto rettificato e EBITDA rettificato da 3,3x a 2,9x.
In seguito ai nuovi dazi americani annunciati il 1 febbraio 2025, che colpiscono le importazioni da Canada, Messico e Cina, Bombardier ha rinviato la fornitura di indicazioni e obiettivi per il 2025 fino a un'ulteriore valutazione dei potenziali impatti.
Bombardier (BDRBF) reportó resultados financieros sólidos para 2024, con ingresos creciendo un 8% interanual hasta alcanzar $8.7 mil millones, impulsados por 146 entregas de aeronaves y un ingreso récord por servicios que superó los $2.0 mil millones. El EBITDA ajustado de la compañía aumentó un 11% a $1.36 mil millones, con un margen del 15.7%.
Los puntos destacados financieros clave incluyen un ingreso neto de $370 millones, un ingreso neto ajustado de $547 millones y un EPS diluido de $3.40. La generación de flujo de caja libre alcanzó $232 millones, mientras que la cartera de pedidos creció a $14.4 mil millones. La compañía logró una importante reducción de deuda con aproximadamente $400 millones en reducción de deuda, disminuyendo la ratio de deuda neta ajustada a EBITDA ajustado de 3.3x a 2.9x.
Debido a los nuevos aranceles de EE. UU. anunciados el 1 de febrero de 2025, que afectan las importaciones de Canadá, México y China, Bombardier ha pospuesto la provisión de orientación y objetivos para 2025 hasta una evaluación más profunda de los impactos potenciales.
Bombardier (BDRBF)는 2024년 강력한 재무 성과를 보고했으며, 수익은 전년 대비 8% 증가한 87억 달러에 달했습니다. 이는 146대의 항공기 인도와 20억 달러를 초과하는 서비스 수익의 기록에 힘입은 것입니다. 회사의 조정된 EBITDA는 11% 증가하여 13억 6천만 달러에 이르렀고, 마진은 15.7%입니다.
주요 재무 하이라이트로는 3억 7천만 달러의 순이익, 5억 4천7백만 달러의 조정된 순이익 및 3.40 달러의 희석 주당순이익(EPS)이 포함됩니다. 자유 현금 흐름 생성은 2억 3천2백만 달러에 달했으며, 수주 잔고는 144억 달러로 증가했습니다. 회사는 약 4억 달러의 부채 감축을 통해 상당한 디레버리징을 달성했으며, 조정된 순부채 대비 조정 EBITDA 비율을 3.3배에서 2.9배로 낮췄습니다.
2025년 2월 1일에 발표된 미국의 새로운 관세로 인해 캐나다, 멕시코 및 중국으로부터의 수입에 영향을 미치므로 Bombardier는 잠재적 영향 평가가 끝날 때까지 2025년 목표 및 가이던스 제공을 연기했습니다.
Bombardier (BDRBF) a rapporté de bons résultats financiers pour 2024, avec des revenus en hausse de 8 % par rapport à l'année précédente, atteignant 8,7 milliards de dollars, grâce à 146 livraisons d'avions et des recettes de services record dépassant 2,0 milliards de dollars. L'EBITDA ajusté de l'entreprise a augmenté de 11 %, atteignant 1,36 milliard de dollars, avec une marge de 15,7 %.
Les points clés financiers comprennent un bénéfice net de 370 millions de dollars, un bénéfice net ajusté de 547 millions de dollars et un bénéfice par action (EPS) dilué de 3,40 dollars. La génération de flux de trésorerie libre a atteint 232 millions de dollars, tandis que le carnet de commandes a augmenté à 14,4 milliards de dollars. L'entreprise a réalisé une désendettement significatif avec environ 400 millions de dollars de réduction de la dette, réduisant le ratio de la dette nette ajustée par rapport à l'EBITDA ajusté de 3,3x à 2,9x.
En raison des nouveaux droits de douane américains annoncés le 1er février 2025, affectant les importations du Canada, du Mexique et de la Chine, Bombardier a reporté la communication de ses orientations et objectifs pour 2025 jusqu'à une évaluation plus approfondie des impacts potentiels.
Bombardier (BDRBF) hat für 2024 starke finanzielle Ergebnisse gemeldet, mit einem Umsatzwachstum von 8% im Vergleich zum Vorjahr auf 8,7 Milliarden USD. Dies wurde durch 146 Flugzeuglieferungen und Rekorddienstleistungen von über 2,0 Milliarden USD ermöglicht. Das adjustierte EBITDA des Unternehmens stieg um 11% auf 1,36 Milliarden USD, mit einer Marge von 15,7%.
Wichtige finanzielle Eckdaten beinhalten einen Nettogewinn von 370 Millionen USD, einen adjustierten Nettogewinn von 547 Millionen USD und einen verwässerten EPS von 3,40 USD. Der freie Cashflow betrug 232 Millionen USD, während der Auftragsbestand auf 14,4 Milliarden USD anwuchs. Das Unternehmen erzielte eine signifikante Schuldenreduzierung mit etwa 400 Millionen USD an Schuldenabbau, was das Verhältnis von adjustierter Nettoverschuldung zu adjustiertem EBITDA von 3,3x auf 2,9x senkte.
Wegen neuer US-Zölle, die am 1. Februar 2025 angekündigt wurden und die Importe aus Kanada, Mexiko und China betreffen, hat Bombardier es verschoben, eine Prognose und Ziele für 2025 bis zur weiteren Bewertung der möglichen Auswirkungen bereitzustellen.
- Revenue growth of 8% to $8.7 billion
- Record service revenue exceeding $2.0 billion
- Adjusted EBITDA up 11% to $1.36 billion
- Aircraft deliveries increased to 146 units from 138 in 2023
- Backlog growth to $14.4 billion
- Debt reduction of $400 million
- Improved net debt to EBITDA ratio from 3.3x to 2.9x
- Net income decreased from $445M in 2023 to $370M in 2024
- Free cash flow declined from $257M to $232M
- Operating cash flow decreased from $623M to $405M
- Uncertainty due to new U.S. tariffs affecting guidance
- Revenues beat guidance and grew year-over-year to
$8.7 billion , driven by record service performance exceeding$2.0 billion , and 146 aircraft deliveries. - Adjusted EBITDA(1) up
11% year-over-year to$1.36 billion , and adjusted EBITDA margin(2) reached15.7% . Full-year reported EBIT reached$878 million . - Net income and adjusted net income(1) were
$370 million and$547 million respectively. Diluted EPS(3) reached$3.40 , while adjusted EPS(2) was up31% year-over-year, from$3.94 t o$5.16 . - Free cash flow generation(1) of
$232 million ; reported cash flows from operating activities(3) and net additions to PP&E and intangible assets were at$405 million and$173 million respectively. - Backlog(4) up year-over-year to
$14.4 billion as at December 31, 2024. Unit book-to-bill(5) of 1.0 demonstrates consistent demand. - Solid progress on deleveraging sees approximately
$400 million debt reduction(6)(7) launched in 2024, adjusted net debt to adjusted EBITDA ratio(2) was reduced from 3.3x in 2023 to 2.9x. Further balance sheet strengthening with the purchase of approximately$635 million in annuities(8) for some pension plans. Available liquidity(1) of$2.1 billion ; cash and cash equivalents were$1.7 billion as at December 31, 2024. - In light of the rapidly evolving landscape stemming from the February 1, 2025 executive orders signed by the President of the United States regarding new tariffs, Bombardier has elected to defer providing guidance and 2025 objectives(9).
All amounts in this press release are in U.S. dollars, unless otherwise indicated.
Amounts in tables are in millions except per share amounts, unless otherwise indicated.
MONTRÉAL, Feb. 06, 2025 (GLOBE NEWSWIRE) -- Bombardier Inc. (TSX: BBD.B) today announced solid fourth quarter and full-year 2024 financial results, closing out the company’s fourth consecutive year of sustained growth across all key metrics.
“Our team passionately and proudly executed our plan in 2024 at a very high level, growing revenue to meet guidance, growing deliveries, growing our backlog, meaningfully expanding our margins, and reaching a net leverage ratio of 2.9x,” said Éric Martel, President and Chief Executive Officer, Bombardier. “Four years ago, we outlined a bold vision for how we wanted to structure Bombardier for success. Our company has accomplished more than we set out to, including reaching our 2-billion-dollar service revenue ambition a full year ahead of schedule by rapidly elevating our customer experience and offerings. Whether in our operations, in the field or on our balance sheet, we have time and again demonstrated that we are strong and resilient.”
Strong Revenue Growth Driven by Impressive Services Performance
Bombardier reported total revenues of
Higher Deliveries and Order Activity Fuel Healthy Backlog
Bombardier continued to maintain a disciplined approach to its production, rounding out a particularly active fourth quarter of 2024 to reach total of 146 aircraft deliveries for the year, versus 138 in 2023. Backlog(4) was up
Increased Profitability Continues to Support Deleveraging Efforts
Bombardier maintained its profitable growth trajectory for 2024. Adjusted net income(1) saw a significant up-tick in 2024, reaching
Adjusted EBITDA(1) came in at
The company reported free cash flow (FCF) generation(1) of
Bombardier continued its successful progress on de-leveraging with approximately
In 2024, approximately
Update on 2025 Outlook
On February 1, 2025, the President of the United States issued three executive orders directing the United States to impose new tariffs on imports originating from Canada, Mexico and China. These orders call for additional
| (1) | Non-GAAP financial measure. A non-GAAP financial measure is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the Management Discussion & Analysis of the Corporation’s financial report for the fiscal year ended December 31, 2024 ("MD&A") for definitions of these metrics and reconciliations to the most comparable IFRS measures. |
| (2) | Non-GAAP financial ratio. A non-GAAP financial ratio is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics and reconciliations to the most comparable IFRS measures. |
| (3) | Only from continuing operations. |
| (4) | Represents order backlog for both manufacturing and Services. |
| (5) | Defined as net new aircraft orders in units over aircraft deliveries in units. |
| (6) | Including the partial repayment of |
| (7) | Using cash from the Corporation’s balance sheet. |
| (8) | In 2024, approximately |
| (9) | Refer to the Strategic Priorities and Investor Day Recap sections in the MD&A of the Corporation’s financial report for the six-month period ended June 30, 2024 for the most recent discussion of the 2025 Objectives. |
SELECTED RESULTS
| For the fiscal years ended December 31 | 2024 | 2023 | Variance | ||||||
| Revenues | $ | 8,665 | $ | 8,046 | 8 | % | |||
| Adjusted EBITDA(1) | $ | 1,360 | $ | 1,230 | 11 | % | |||
| Adjusted EBITDA margin(2) | 15.7 | % | 15.3 | % | 40 bps | ||||
| Adjusted EBIT(1) | $ | 915 | $ | 799 | 15 | % | |||
| Adjusted EBIT margin(2) | 10.6 | % | 9.9 | % | 70 bps | ||||
| EBIT | $ | 878 | $ | 793 | 11 | % | |||
| EBIT margin(3) | 10.1 | % | 9.9 | % | 20 bps | ||||
| Net income (loss) from continuing operations | $ | 370 | $ | 490 | $ | (120 | ) | ||
| Net income (loss) from discontinued operations(4) | $ | — | $ | (45 | ) | $ | 45 | ||
| Net income | $ | 370 | $ | 445 | $ | (75 | ) | ||
| Diluted EPS from continuing operations (in dollars) | $ | 3.40 | $ | 4.70 | $ | (1.30 | ) | ||
| Diluted EPS from discontinued operations (in dollars)(4) | $ | — | $ | (0.46 | ) | $ | 0.46 | ||
| $ | 3.40 | $ | 4.24 | $ | (0.84 | ) | |||
| Adjusted net income(1) | $ | 547 | $ | 416 | $ | 131 | |||
| Adjusted EPS (in dollars)(2) | $ | 5.16 | $ | 3.94 | $ | 1.22 | |||
| Cash flows from operating activities(5) | $ | 405 | $ | 623 | $ | (218 | ) | ||
| Net additions to PP&E and intangible assets | $ | 173 | $ | 366 | $ | (193 | ) | ||
| Free cash flow(1) | $ | 232 | $ | 257 | $ | (25 | ) | ||
| As at December 31 | 2024 | 2023 | Variance | ||||||
| Cash and cash equivalents | $ | 1,653 | $ | 1,594 | 4 | % | |||
| Available liquidity(1) | $ | 2,082 | $ | 1,845 | 13 | % | |||
| Order backlog (in billions of dollars)(6) | $ | 14.4 | $ | 14.2 | 1 | % | |||
| (1) | Non-GAAP financial measure. A non-GAAP financial measure is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics and reconciliations to the most comparable IFRS measures. |
| (2) | Non-GAAP financial ratio. A non-GAAP financial ratio is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics and reconciliations to the most comparable IFRS measures. |
| (3) | Supplementary financial measure. Refer to the Non-GAAP and other financial measures section of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics. |
| (4) | Discontinued operations are related to the sale of the Transportation business. The expenses recorded in discontinued operations for fiscal year 2023 principally relate to change in estimates of a provision for professional fees. |
| (5) | Only from continuing operations. |
| (6) | Represents order backlog for both manufacturing and Services. |
About Bombardier
At Bombardier (BBD-B.TO), we design, build, modify and maintain the world’s best-performing aircraft for the world’s most discerning people and businesses, governments and militaries. That means not simply exceeding standards, but understanding customers well enough to anticipate their unspoken needs.
For them, we are committed to pioneering the future of aviation – innovating to make flying more reliable, efficient and sustainable. And we are passionate about delivering unrivaled craftsmanship and care, giving our customers greater confidence and the elevated experience they deserve and expect. Because people who shape the world will always need the most productive and responsible ways to move through it.
Bombardier customers operate a fleet of more than 5,100 aircraft, supported by a vast network of Bombardier team members worldwide and 10 service facilities across six countries. Bombardier’s performance-leading jets are proudly manufactured in aerostructure, assembly and completion facilities in Canada, the United States and Mexico. In 2024, Bombardier was honoured with the prestigious “Red Dot: Best of the Best” award for Brands and Communication Design.
For Information
For corporate news and information, including Bombardier’s Environmental, Social and Governance report, as well as the company’s plans to cover all its flight operations with a Sustainable Aviation Fuel (SAF) blend utilizing the Book and Claim system visit bombardier.com.
Learn more about Bombardier’s industry-leading products and customer service network at bombardier.com. Follow us on X @Bombardier.
Bombardier is a registered trademark of Bombardier Inc. or its subsidiaries.
Media Contacts
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| Francis Richer de La Flèche Vice President, Financial Planning and Investor Relations Bombardier +1 514 240-9649 | Mark Masluch Senior Director, Communications Bombardier +1 514 855-7167 |
The Management’s Discussion and Analysis and the Consolidated Financial Statements are available at ir.bombardier.com.
CAUTION REGARDING NON-GAAP AND OTHER FINANCIAL MEASURES
This press release is based on reported earnings in accordance with IFRS and on the following non-GAAP and other financial measures:
| Non-GAAP and Other Financial Measures | |
| Non-GAAP Financial Measures | |
| Adjusted EBIT | EBIT excluding certain 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 restructuring charges (reversals), loss (gain) related to disposal of business, impairment and program termination (reversals), certain one-time pension related items included in other expense (income) such as loss (gain) on pension annuity purchases, and non-commercial legal claims. |
| Adjusted EBITDA | Adjusted EBIT plus amortization charges on PP&E and intangible assets. |
| Adjusted net income (loss) | Net income (loss) from continuing operations excluding restructuring charges (reversals), loss (gain) related to disposal of business, impairment and program termination (reversals), certain one-time pension related items included in other expense (income) such as loss (gain) on pension annuity purchases, non-commercial legal claims, certain net gains and losses arising from changes in measurement of provisions and of financial instruments carried at FVTP&L, accretion on net retirement benefit obligation, losses (gains) on repayment of long-term debt, changes in discount rates of provisions and the related tax impacts of these items |
| Free cash flow (usage) | Cash flows from operating activities - continuing operations less net additions to PP&E and intangible assets. |
| Available liquidity | Cash and cash equivalents, plus undrawn amounts under credit facilities. |
| Non-GAAP Financial Ratios | |
| Adjusted EPS | EPS calculated based on adjusted net income attributable to equity holders of Bombardier Inc., using the treasury stock method, giving effect to the exercise of all dilutive elements. |
| Adjusted EBIT margin | Adjusted EBIT, as a percentage of total revenues. |
| Adjusted EBITDA margin | Adjusted EBITDA, as a percentage of total revenues. |
| Adjusted net debt to adjusted EBITDA ratio | Adjusted net debt divided by adjusted EBITDA. |
| Supplementary Financial Measure | |
| EBIT margin | EBIT, as a percentage of total revenues. |
Non-GAAP and other financial measures are measures mainly derived from the consolidated financial statements but are not standardized financial measures under the financial reporting framework used to prepare our financial statements. Therefore, these might not be comparable to similar non-GAAP and other financial measures used by other issuers. The exclusion of certain items from non-GAAP or other financial measures does not imply that these items are necessarily non-recurring.
Adjusted EBIT
Adjusted EBIT is defined as the EBIT excluding certain items which do not reflect the Corporations 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 restructuring charges (reversals)(1), loss (gain) related to disposal of business(2), impairment and program termination (reversals)(3), certain one-time pension related items included in other expense (income) such as loss (gain) on pension annuity purchases, and non-commercial legal claims. Management uses adjusted EBIT for purposes of evaluating underlying business performance. Management believes presentation of this non-GAAP operating earnings measure in addition to IFRS measures provides 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. For these reasons, a significant number of users of the MD&A analyze our results based on this financial measure. Management believes this measure helps users of the MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.
Adjusted EBITDA
Adjusted EBITDA is defined as the EBIT excluding restructuring charges (reversals)(1), loss (gain) related to disposal of business(2), impairment and program termination (reversals)(3), certain one-time pension related items included in other expense (income) such as loss (gain) on pension annuity purchases, non-commercial legal claims, and amortization charges on PP&E and intangible assets. Management uses adjusted EBITDA for purposes of evaluating underlying business performance. Management believes this non-GAAP operating earnings measure in addition to IFRS measures provides 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, since it excludes the effects of items that are usually associated with investing or financing activities and 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 this financial measure. Management believes this measure helps users of the MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
Adjusted net income (loss)
Adjusted net income (loss) is defined as the net income (loss) from continuing operations adjusted for certain specific items that are significant but are not, based on management’s judgment, reflective of the Corporation’s underlying operations. These include adjustments related to restructuring charges (reversals)(1), loss (gain) related to disposal of business(2), impairment and program termination (reversals)(3), certain one-time pension related items included in other expense (income) such as loss (gain) on pension annuity purchases, non-commercial legal claims, certain net gains and losses arising from changes in measurement of provisions and of financial instruments carried at FVTP&L, accretion on net retirement benefit obligation, losses (gains) on repayment of long-term debt, changes in discount rates of provisions and the related tax impacts of these items. Management uses adjusted net income (loss) for purposes of evaluating underlying business performance. Management believes this non-GAAP earnings measure in addition to IFRS measures provides users of our Financial Report with enhanced understanding of our results and related trends and increase the transparency and clarity of the core results of our business. Adjusted net income (loss) excludes 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 this financial measure. Management believes this measure helps users of the 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 (usage) is defined as cash flows from operating activities - continuing operations 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 (usage) as a measure to assess both business performance and overall liquidity generation.
Available liquidity
Available liquidity is defined as cash and cash equivalents plus undrawn amounts under credit facilities. Management believes that this non-GAAP financial measure provides investors with an important perspective on the Corporation’s ability to meet expected liquidity requirements, including the support of product development initiatives and to ensure financial flexibility. This measure does not have any standardized meaning prescribed by IFRS and therefore, may not be comparable to similar measures presented by other companies.
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
Adjusted EPS
Adjusted EPS is defined as the adjusted net income (loss) attributable to equity shareholders of Bombardier Inc., divided by the weighted-average diluted number of common shares for the period. Management uses adjusted EPS for purposes of evaluating underlying business performance. Management believes this non-GAAP financial ratio in addition to IFRS measures provides 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 EPS excludes 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 this financial measure. Management believes this measure helps users of the MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.
Adjusted EBIT margin
Adjusted EBIT margin is defined as the adjusted EBIT expressed as a percentage of total revenues. Management uses adjusted EBIT margin for purposes of evaluating underlying business performance. Management believes this non-GAAP financial ratio in addition to IFRS measures provides users of our Financial Report with enhanced understanding of our results and related trends and increase the transparency and clarity of the core results of our business. Adjusted EBIT margin excludes 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 this financial measure. Management believes this measure helps users of the MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.
Adjusted EBITDA margin
Adjusted EBITDA margin is defined as the adjusted EBITDA expressed as a percentage of total revenues. Management uses adjusted EBITDA margin for purposes of evaluating underlying business performance. Management believes this non-GAAP financial ratio in addition to IFRS measures provides users of our Financial Report with enhanced understanding of our results and related trends and increase the transparency and clarity of the core results of our business. Adjusted EBITDA margin excludes 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 this financial measure. Management believes this measure helps users of the MD&A to better analyze results, enabling better comparability of our results from one period to another and with peers.
Adjusted net debt to adjusted EBITDA ratio
Management uses adjusted net debt to adjusted EBITDA ratio as a useful credit measure for purposes of measuring the Corporation’s ability to service its debt and other long-term obligations. This non-GAAP financial ratio does not have any standardized meaning prescribed by IFRS and therefore, may not be comparable to similar measures presented by other companies.
| Reconciliation of adjusted EBIT to EBIT and computation of adjusted EBIT margin | |||||||||||
| Fourth quarters ended December 31 | Fiscal years ended December 31 | ||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||
| EBIT | $ | 342 | $ | 211 | $ | 878 | $ | 793 | |||
| Restructuring charges (reversals)(1) | 4 | 1 | 3 | 1 | |||||||
| Loss (gain) related to disposal of business(2) | — | (19) | — | (81) | |||||||
| Impairment and program termination (reversals)(3) | 3 | 82 | 2 | 83 | |||||||
| Non-commercial legal claims | — | — | 25 | — | |||||||
| Pension related items(4) | 7 | 3 | 7 | 3 | |||||||
| Adjusted EBIT | $ | 356 | $ | 278 | $ | 915 | $ | 799 | |||
| Total revenues | $ | 3,108 | $ | 3,062 | $ | 8,665 | $ | 8,046 | |||
| Adjusted EBIT margin | | 10.6 % | |||||||||
| Reconciliation of adjusted EBITDA to EBIT and computation of adjusted EBITDA margin | |||||||||||
| Fourth quarters ended December 31 | Fiscal years ended December 31 | ||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||
| EBIT | $ | 342 | $ | 211 | $ | 878 | $ | 793 | |||
| Amortization | 157 | 180 | 445 | 431 | |||||||
| Restructuring charges (reversals)(1) | 4 | 1 | 3 | 1 | |||||||
| Loss (gain) related to disposal of business(2) | — | (19) | — | (81) | |||||||
| Impairment and program termination (reversals)(3) | 3 | 82 | 2 | 83 | |||||||
| Non-commercial legal claims | — | — | 25 | — | |||||||
| Pension related items(4) | 7 | 3 | 7 | 3 | |||||||
| Adjusted EBITDA | $ | 513 | $ | 458 | $ | 1,360 | $ | 1,230 | |||
| Total revenues | $ | 3,108 | $ | 3,062 | $ | 8,665 | $ | 8,046 | |||
| Adjusted EBITDA margin | 15.7% | | |||||||||
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
| (4) | Includes the loss related to the purchase of pension annuities. See Note 22 - Retirement benefits, to the Corporation’s Consolidated financial statements for more information. |
| Reconciliation of adjusted net income to net income and computation of adjusted EPS | ||||||||||||
| Fourth quarters ended December 31 | ||||||||||||
| 2024 | 2023 | |||||||||||
| (per share) | (per share) | |||||||||||
| Net income from continuing operations | $ | 124 | $ | 215 | ||||||||
| Adjustments to EBIT related to: | ||||||||||||
| Restructuring charges (reversals)(1) | 4 | 0.04 | 1 | 0.01 | ||||||||
| Loss (gain) related to disposal of business(2) | — | 0.00 | (19 | ) | (0.19 | ) | ||||||
| Impairment and program termination (reversals)(3) | 3 | 0.03 | 82 | 0.83 | ||||||||
| Pension related items(4) | 7 | 0.07 | 3 | 0.03 | ||||||||
| Adjustments to net financing expense related to: | ||||||||||||
| Net loss (gain) on certain financial instruments | 165 | 1.64 | (162 | ) | (1.65 | ) | ||||||
| Accretion on net retirement benefit obligations | 8 | 0.07 | 6 | 0.06 | ||||||||
| Losses on repayment of long-term debt | — | 0.00 | 16 | 0.16 | ||||||||
| Changes in discount rates of provisions | — | 0.00 | 1 | 0.01 | ||||||||
| Adjusted net income | 311 | 143 | ||||||||||
| Preferred share dividends, including taxes | (8 | ) | (8 | ) | ||||||||
| Adjusted net income attributable to equity holders of Bombardier Inc. | $ | 303 | $ | 135 | ||||||||
| Weighted-average adjusted diluted number of common shares (in thousands) | 100,548 | 98,409 | ||||||||||
| Adjusted EPS (in dollars) | $ | 3.01 | $ | 1.37 | ||||||||
| Reconciliation of adjusted EPS to diluted EPS (in dollars) | |||||||
| Fourth quarters ended December 31 | |||||||
| 2024 | 2023 | ||||||
| Diluted EPS from continuing operations | $ | 1.16 | $ | 2.11 | |||
| Impact of adjustment to EBIT related to: | |||||||
| Restructuring charges (reversals)(1) | 0.04 | 0.01 | |||||
| Loss (gain) related to disposal of business(2) | 0.00 | (0.19) | |||||
| Impairment and program termination (reversals)(3) | 0.03 | 0.83 | |||||
| Pension related items(4) | 0.07 | 0.03 | |||||
| Adjustments to net financing expense related to: | |||||||
| Net loss (gain) on certain financial instruments | 1.64 | (1.65) | |||||
| Accretion on net retirement benefit obligations | 0.07 | 0.06 | |||||
| Losses on repayment of long-term debt | 0.00 | 0.16 | |||||
| Changes in discount rates of provisions | 0.00 | 0.01 | |||||
| Adjusted EPS | $ | 3.01 | $ | 1.37 | |||
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
| (4) | Includes the loss related to the purchase of pension annuities. See Note 22 - Retirement benefits, to the Corporation’s Consolidated financial statements for more information. |
| Reconciliation of adjusted net income to net income and computation of adjusted EPS | |||||||||
| Fiscal years ended December 31 | |||||||||
| 2024 | 2023 | ||||||||
| (per share) | (per share) | ||||||||
| Net income from continuing operations | $ | 370 | $ | 490 | |||||
| Adjustments to EBIT related to: | |||||||||
| Restructuring charges (reversals)(1) | 3 | 0.03 | 1 | 0.01 | |||||
| Loss (gain) related to disposal of business(2) | — | 0.00 | (81) | (0.83) | |||||
| Impairment and program termination (reversals)(3) | 2 | 0.02 | 83 | 0.85 | |||||
| Non-commercial legal claims | 25 | 0.25 | — | 0.00 | |||||
| Pension related items(4) | 7 | 0.07 | 3 | 0.03 | |||||
| Adjustments to net financing expense related to: | |||||||||
| Net loss (gain) on certain financial instruments | (21) | (0.21) | (160) | (1.64) | |||||
| Accretion on net retirement benefit obligations | 34 | 0.33 | 25 | 0.26 | |||||
| Losses on repayment of long-term debt | 127 | 1.27 | 54 | 0.55 | |||||
| Changes in discount rates of provisions | — | 0.00 | 1 | 0.01 | |||||
| Adjusted net income | 547 | 416 | |||||||
| Preferred share dividends, including taxes | (31) | (31) | |||||||
| Adjusted net income attributable to equity holders of Bombardier Inc. | $ | 516 | $ | 385 | |||||
| Weighted-average adjusted diluted number of common shares (in thousands) | 99,966 | 97,721 | |||||||
| Adjusted EPS (in dollars) | $ | 5.16 | $ | 3.94 | |||||
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
| (4) | Includes the loss related to the purchase of pension annuities. See Note 22 - Retirement benefits, to the Corporation’s Consolidated financial statements for more information. |
| Reconciliation of adjusted EPS to diluted EPS (in dollars) | |||||||
| Fiscal years ended December 31 | |||||||
| 2024 | 2023 | ||||||
| Diluted EPS from continuing operations | $ | 3.40 | $ | 4.70 | |||
| Impact of adjustment to EBIT related to: | |||||||
| Restructuring charges (reversals)(1) | 0.03 | 0.01 | |||||
| Loss (gain) related to disposal of business(2) | 0.00 | (0.83 | ) | ||||
| Impairment and program termination (reversals)(3) | 0.02 | 0.85 | |||||
| Non-commercial legal claims | 0.25 | 0.00 | |||||
| Pension related items(4) | 0.07 | 0.03 | |||||
| Adjustments to net financing expense related to: | |||||||
| Net loss (gain) on certain financial instruments | (0.21 | ) | (1.64 | ) | |||
| Accretion on net retirement benefit obligations | 0.33 | 0.26 | |||||
| Losses on repayment of long-term debt | 1.27 | 0.55 | |||||
| Changes in discount rates of provisions | 0.00 | 0.01 | |||||
| Adjusted EPS | $ | 5.16 | $ | 3.94 | |||
| Reconciliation of free cash flow (usage) to cash flows from operating activities | |||||||||||||||
| Fourth quarters ended December 31 | Fiscal years ended December 31 | ||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Cash flows from operating activities - continuing operations | $ | 860 | $ | 740 | $ | 405 | $ | 623 | |||||||
| Net additions to PP&E and intangible assets | (46 | ) | (94 | ) | (173 | ) | (366 | ) | |||||||
| Free cash flow | $ | 814 | $ | 646 | $ | 232 | $ | 257 | |||||||
| Reconciliation of available liquidity to cash and cash equivalents | |||||
| As at | December 31, 2024 | December 31, 2023 | |||
| Cash and cash equivalents | $ | 1,653 | $ | 1,594 | |
| Undrawn amounts under available revolving credit facility(5) | 429 | 251 | |||
| Available liquidity | $ | 2,082 | $ | 1,845 | |
| (1) | Includes severance charges or related reversal, as well as curtailment losses (gains), if any. |
| (2) | Includes changes in provisions related to past divestitures. |
| (3) | Includes impairment or reversal of impairment of PP&E and intangible assets, as well as provisions related to program termination or their related reversal, if any. For fiscal year 2023, includes impairment of |
| (4) | Includes the loss related to the purchase of pension annuities. See Note 22 - Retirement benefits, to the Corporation’s Consolidated financial statements for more information. |
| (5) | A committed secured revolving credit facility of |
| Reconciliation of adjusted net debt to long-term debt and computation of adjusted net debt to adjusted EBITDA ratio | |||||
| Fiscal years ended December 31 | |||||
| 2024 | 2023 | ||||
| Long-term debt | $ | 5,545 | $ | 5,607 | |
| Less: Cash and cash equivalents | 1,653 | 1,594 | |||
| Adjusted net debt | $ | 3,892 | $ | 4,013 | |
| Adjusted EBITDA | $ | 1,360 | $ | 1,230 | |
| Adjusted net debt to adjusted EBITDA ratio | 2.9 | 3.3 | |||
FORWARD-LOOKING STATEMENTS
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 our industry; customer value; expected demand for products and services; growth strategies including, potential revenues and year-over-year growth generated therefrom; 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, credit ratings, available liquidities and capital resources, expected financial requirements, capital allocation and deployment of excess liquidity and ongoing review of strategic and financial alternatives; the introduction and anticipated results of productivity enhancements and profitability initiatives, operational efficiencies optimizing the use of our manufacturing and services facilities, cost reduction and potential future restructuring initiatives, and anticipated costs, intended benefits and timing thereof; the ability to continue business growth and cash generation; expectations, objectives and strategies regarding debt repayment, refinancing of maturities and interest cost reduction; 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; expectations regarding the availability of government assistance programs; the impact of new, or exacerbation of existing global health, geopolitical or military events, or international trade disputes or renegotiation of existing trade arrangements, on the foregoing and the effectiveness of our plans and measures in response thereto; and expectations regarding the strength of markets, economic downturns or recession, and inflationary and supply chain pressures.
In addition, statements that “we believe” and similar statements reflect our beliefs and opinions on the relevant subject. These statements are based on information available to us as of the date of this press release. While we believe that information provides a reasonable basis for these statements, that information may be limited or incomplete. Our statements should not be read to indicate that we have conducted an exhaustive inquiry into, or review of all relevant information. These statements are inherently uncertain, and investors are cautioned not to unduly rely on these statements.
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, guidance, 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: alignment of production rates to market demand, including the supply base supporting our product development and production rates in a commercially acceptable and timely manner; deployment and execution of growth strategies, including our Services and Support, Pre-owned and Defense businesses; and mitigation of international trade disputes and protection measures (including tariffs) or changes to existing trade agreements. For additional information about these and other assumptions underlying the forward-looking statements made in this press release, refer to the Forward-looking statements - Assumptions section hereinafter. Given the impact of the changing circumstances surrounding new or continuing global health, geopolitical and military events, and new or threatened international protectionist trade policies or measures, as well as the related response from the Corporation, governments (federal, provincial and municipal, both domestic, foreign and multinational inter-governmental organizations), regulatory authorities, businesses, suppliers, customers, counterparties and third-party service providers, there is an inherently higher degree of uncertainty associated with the Corporation’s assumptions.
Certain factors that could cause actual results to differ materially from those anticipated in the forward-looking statements include, but are not limited to: operational risks (such as risks related to business development and growth; order backlog; deployment and execution of our strategy, including cost reductions and working capital improvements and manufacturing and productivity enhancement initiatives; developing new products and services, including technological innovation and disruption; the certification of products and services; pressures on cash flows and capital expenditures, including due to seasonality and cyclicality; doing business with partners; product performance warranty and casualty claim losses; environmental, health and safety concerns and regulations; dependence on a limited number of contracts, customers and suppliers; supply chain risks; human resources risks including the departure of senior executives, the global availability of a skilled workforce, and the failure to attract and retain quality employees; reliance on information systems (including technology vulnerabilities, cybersecurity threats and privacy breaches); reliance on and protection of intellectual property rights; reputation risks; scrutiny and perception gaps sustainability and corporate social responsibility matters; adequacy of insurance coverage; acquisitions; risk management; and tax matters); financing risks (such as risks related to liquidity and access to capital markets; substantial debt and interest payment requirements, including execution of debt management and interest cost reduction strategies; restrictive and financial debt covenants; retirement benefit plan risk; exposure to credit risk; and availability of government support); risks related to regulatory and legal proceedings, as well as changes in laws and regulations; risks associated with general economic conditions and disruptions, both regionally and globally, that may impact our sales and operations; business environment risks (such as risks associated with the financial condition of business aircraft customers; trade policy; increased competition; political instability and geopolitical tensions; financial and economic sanctions and trade control limitations; global climate change; and force majeure events); market risks (such as foreign currency fluctuations and changing interest rates, including our ability to hedge exposures thereto; increases in commodity prices; and inflation); and other unforeseen adverse events. For more details, see the Risks and uncertainties section in Other in the MD&A of the Corporation's financial report for the fiscal year ended December 31, 2024. Any one or more of the foregoing factors may be exacerbated by new or continuing global health, geopolitical or military events, or new or exacerbated international trade disputes or renegotiation of existing trade arrangements, which may have a significantly more severe impact on the Corporation’s business, results of operations and financial condition than in the absence of such 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.
FAQ
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