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Revenue: $2.3 billion, an 11% increase year over year.

Aircraft Deliveries: 34 aircraft, up 4 units versus Q3 of last year.

Service Revenue: $590 million, a 12% increase year over year.

Adjusted EBITDA: $356 million, up 16% year over year with a margin of 15.4%.

Adjusted Net Income: $129 million, up 59% year over year.

Adjusted EPS: $1.21, a 64% increase versus the same period last year.

Free Cash Flow: $152 million, a $279 million improvement compared to Q3 of last year.

Backlog: $16.6 billion, a five-year high.

Debt Refinancing: $250 million at a favorable interest rate.

Liquidity: $1.38 billion, adjusted for debt repayment.

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Release Date: November 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Bombardier Inc (BDRAF) achieved Transport Canada certification for the Global 8000, the world's fastest business jet, marking a significant milestone.

The company ranked among the TSX 30 top-performing stocks for the third consecutive year, highlighting strong stock performance.

Bombardier Inc (BDRAF) reported a 13% increase in aircraft deliveries and an 11% rise in total revenue year-over-year.

The company's backlog reached a five-year high of $16.6 billion, supported by a robust 1.3 times unit book-to-bill ratio.

Bombardier Inc (BDRAF) generated $152 million in free cash flow, a $279 million improvement compared to the previous year.

Supply chain challenges, particularly with engine availability, continue to pose risks, although improvements are noted.

The company anticipates a more backloaded delivery profile for Q4, similar to the previous year, which could impact cash flow timing.

Despite strong performance, Bombardier Inc (BDRAF) remains cautious about potential disruptions in the supply chain.

The company is evaluating production rate increases beyond 2026, indicating potential delays in meeting growing demand.

Bombardier Inc (BDRAF) faces pressure to maintain operational discipline and customer focus amidst plans for expansion and increased production.

Q: Can you discuss Bombardier's approach to capital deployment for M&A given the strong balance sheet? A: Eric Martel, President and CEO, stated that Bombardier will remain disciplined in capital deployment. The company is considering options such as debt repayment, investing in existing programs, and exploring opportunities in the defense sector. While M&A is on the table, any acquisitions would be incremental and focused on enhancing services and defense capabilities.

Q: How will the recent changes to the Canadian luxury tax impact Bombardier's business? A: Eric Martel expressed satisfaction with the removal of the luxury tax, noting it will create jobs and increase sales in Canada. The tax had previously reduced Bombardier's deliveries in Canada, but with its removal, the company anticipates a significant increase in orders as it catches up on deferred demand.

Q: What are the drivers behind the expected margin improvement in Q4? A: Barton Demosky, CFO, explained that Q4 traditionally sees strong margins due to a high mix of large-cabin aircraft deliveries, including the Global 7500 and the first Global 8000. The quarter will also benefit from a significant number of defense aircraft deliveries and robust services demand, contributing to margin accretion.

Q: Is Bombardier considering increasing production rates, and if so, when? A: Eric Martel indicated that Bombardier is evaluating the potential for higher production rates beyond 2026. The decision will depend on supply chain capabilities and market demand, with a focus on maintaining discipline and ensuring the supply chain can support any increases.

Q: How does Bombardier plan to achieve its free cash flow targets given potential production rate changes? A: Eric Martel noted that while increasing production rates may require higher inventory investments, it would also lead to increased initial payments from customers. The company aims to balance these factors to maintain its free cash flow targets, with a focus on disciplined execution and leveraging strong market demand.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.