Bombardier Reaffirms Full-Year Guidance Amid Stronger Earnings
Bombardier reported improved second-quarter 2017 earnings before special items, reaffirming its full-year financial guidance. Strong orders in the Transportation segment contributed to the company's performance.
Bombardier Inc. released its second-quarter 2017 financial results, highlighting a significant increase in earnings before special items (EBIT). The company reaffirmed its full-year financial guidance, expecting EBIT to be in the upper half of its projected range, between $580 million and $630 million.
The company reported revenues of $4.1 billion for the quarter. EBIT before special items grew by 55% compared to the same period last year, reaching $164 million. Both the Transportation and Business Aircraft segments saw notable margin expansion, with EBIT margins of 8.2% and 8.9%, respectively. The Commercial Aircraft segment reported a loss in line with the planned ramp-up of the C Series program.
Strong order intake was a key feature in the Transportation segment, which posted a book-to-bill ratio of 1.4 for the quarter. In Business Aircraft, the new long-range Global 7000 jet has completed over 500 flight test hours and remains on track for entry into service in the second half of 2018.
Bombardier also announced the resignation of Board of Directors member Sheila Fraser for personal reasons. The company continues its transformation program aimed at enhancing profitability and global competitiveness.