Bombardier Exceeds All 2025 Guidance Metrics, Successfully Completes its Turnaround Plan, and Sets 2026 Guidance for Strong Year Ahead

Core Insights - Bombardier Inc. reported strong financial results for the fourth quarter and full-year 2025, marking the fifth consecutive year of growth and exceeding targets [2][4][7] - The company provided guidance for 2026, indicating expectations for continued growth and profitability [12][14] Financial Performance - Revenues for 2025 reached $9.55 billion, a 10% increase year-over-year, driven by higher aircraft deliveries and record-high Services revenues of $2.3 billion, up 13% [4][7][20] - Adjusted EBITDA rose 15% year-over-year to $1,559 million, with an adjusted EBITDA margin of 16.3%, an increase of 60 basis points [7][20] - Reported EBIT increased by 26% to $1,108 million, resulting in an EBIT margin of 11.6%, up 150 basis points [7][20] - Adjusted net income grew to $805 million, a 47% increase year-over-year, while reported net income surged to $975 million, up 164% [9][20] Cash Flow and Debt Management - Free cash flow for 2025 was $1,072 million, an increase of $840 million compared to 2024, reflecting higher customer advances and improved operating cash flows [10][20] - The company repaid over $400 million in debt during 2025, improving the adjusted net debt to adjusted EBITDA ratio from 2.9x in 2024 to 1.9x at year-end [11][20] Order Backlog and Market Demand - The order backlog increased by $3.1 billion to $17.5 billion as of December 31, 2025, representing a 22% year-over-year growth [5][20] - The unit book-to-bill ratio for the year was 1.4, indicating strong demand across Bombardier's aircraft portfolio [5][20] 2026 Guidance - For 2026, Bombardier expects revenues to exceed $10 billion, driven by higher aircraft deliveries and continued growth in Services [14] - Adjusted EBITDA is projected to be greater than $1,625 million, with free cash flow anticipated to range between $600 million and $1,000 million [14][12]