Bombardier 2023 revenues soar on higher jet deliveries
Canada’s Bombardier reported financial results for 2023 where in it reported 16% year-on-year increase in total revenue at $8bn compared with $6.9bn in 2022 driven by higher jet deliveries and business jet after-market revenues.
Revenue from the company’s manufacturing segment rose to $6.3bn in 2023 against $5.3bn in 2022 as it delivered 138 business aircraft in 2023, of which 63 were medium and 75 were large aircrafts. In comparison, Bombardier’s 2022 deliveries stood at 123 (50 medium and 70 large jets).
On the other hand, the company’s aftermarket services revenues grew by $240m to $1.7bn. The growth in aftermarket revenues came following the expansion of its customer service network, including the ramping up and operationalisation of its global service centers.
“Our global aircraft broke many speed records in 2023, but those were not the only records we set last year. Our team came together to deliver the highest revenues and earnings, record aftermarket revenue, and the highest deliveries since we refocused our business in 2021,” said Éric Martel, president and CEO, Bombardier.
The strong topline performance translated into 412% growth in adjusted earnings-per-share at $3.94 from $0.77 year-over-year. The company reported net income from continuing operations and adjusted net income at $490m and $416m respectively.
However, the company’s order backlog decreased from $14.8 in 2022 to $14.2bn at the end of 2023 as the company said it continues to monitor backlog length and production rates to balance with sales activities, market demand and aircraft lead time.
Moreover, cash flows from operating activities for the full year clocked in at $623m with free cash flow of $257m. The company also paid down $0.4bn of debt in 2023.
The company reported a full-year book-to-bill ratio of 1.
Bombardier also announced its 2024 outlook where in it said it is targeting 150-155 business jet deliveries while growing revenue by $400-600m to $8.6bn from 2023’s $8bn.
