- 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) reached 15.7%. 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 up 31% year-over-year, from $3.94 to $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 $8.7 billion for 2024, surpassing guidance with an 8% increase year-over-year, driven by a solid delivery mix and record services revenue. The company’s Services business continued its impressive performance with $2.04 billion in revenue, reaching the long-term objective outlined as part of the company’s 2021 Investor Day a full year in advance. Services revenues were up 16% from 2023, continuing its double-digit growth trend as all major network expansion projects are now fully operationalized.
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 $200 million from 2023, reaching $14.4 billion as at December 31, 2024. The company also reported a full-year unit book-to-bill of 1.0(5), reflecting steady and strong demand.
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 $547 million. Full-year adjusted EPS(2) rose 31% year-over-year, up from $3.94 in 2023 to $5.16 in 2024. Diluted EPS(3) was $3.40 for full-year 2024.
Adjusted EBITDA(1) came in at $1.36 billion for 2024, representing 11% growth year-over-year, driven mainly by higher deliveries and an increased contribution from Services, partially offset by supply chain disruption costs. Full-year adjusted EBIT(1) reached $915 million, up 15% from 2023.
The company reported free cash flow (FCF) generation(1) of $232 million, ending the year in line with expectations. Contributing factors to the full-year FCF generation(1) result included strong profitability, disciplined capital investments, inventory build to support production rates, higher supplier advances that offset lower customers advances, due to timing of progress payments. Cash flow from operating activities(3) and net additions to PP&E and intangible assets were at $405 million and $173 million respectively for full-year 2024.
Bombardier continued its successful progress on de-leveraging with approximately $400 million in debt reduction(6)(7) in 2024, bringing the adjusted net debt to adjusted EBITDA ratio(2) down from 3.3x in 2023 to 2.9x. Available liquidity(1) was $2.1 billion as at December 31, 2024.
In 2024, approximately $635 million in annuities(8) were purchased for certain pensioners and beneficiaries of the Bombardier pension plans registered in Québec, further strengthening the company’s balance sheet.
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 25% duty on imports into the United States of Canadian-origin and Mexican-origin products and 10% duty on Chinese-origin products, except for Canadian energy resources that are subject to an additional 10% duty. In light of the rapidly evolving schedule for tariff implementation and the effects they may have, Bombardier has elected to defer providing guidance and 2025 objectives(9), until the Corporation has had the opportunity to further assess the direct and indirect impacts to its business of such tariffs, retaliatory tariffs or other trade protectionist measures implemented as this situation develops. Bombardier’s long-term priorities and strategic orientation remain intact, including plans for continuing growth in its Defense and Services businesses and continued de-leveraging.
| (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 $300 million of Senior Notes due 2027 completed in January 2025. |
| (7) | Using cash from the Corporation’s balance sheet. |
| (8) | In 2024, approximately $635 million of annuities were purchased for some pensioners and beneficiaries of the Bombardier pension plans registered in Québec, with legal discharge occurring in 2025. |
| (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
General media contact webform
| 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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
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 | 11.5% | 9.1% | 10.6 % | 9.9% | |||||||
| 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 | 16.5% | 15.0% | 15.7% | 15.3% | |||||||
| (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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
| (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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
| (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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
| (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 $85 million related to an aircraft product upgrade, started in 2018 and paused in 2020. |
| (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 $450 million is available for cash drawings for the ongoing working capital needs of the Corporation and for issuance of performance letters of credit. This facility was undrawn as at December 31, 2024 and the availability as at such date was $429 million based on the collateral, which may vary from time to time. |
| 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.
