Bombardier Beats 2025 Targets, Completes Turnaround, Sets Ambitious 2026 Goals
Event summary
- Bombardier exceeded all 2025 guidance metrics, with revenues growing 10% YoY to $9.55 billion, driven by record Services revenues and 157 aircraft deliveries.
- Adjusted EBITDA rose 15% YoY to $1,559 million, with adjusted EBITDA margin expanding 60 basis points to 16.3%.
- Backlog jumped to $17.5 billion, up $3.1 billion from 2024, with a unit book-to-bill of 1.4.
- Free cash flow reached $1,072 million, up $840 million from 2024, and the adjusted net debt to adjusted EBITDA ratio improved from 2.9x to 1.9x.
- Bombardier announced 2026 guidance, targeting revenues exceeding $10 billion and adjusted EBITDA greater than $1,625 million.
The big picture
Bombardier's strong 2025 performance marks the successful completion of its five-year turnaround plan, positioning the company for sustained growth. The aerospace industry continues to recover from pandemic-related disruptions, with demand for business jets and services driving revenue growth. Bombardier's focus on deleveraging and operational efficiency sets a precedent for other manufacturers in the sector.
What we're watching
- Execution Risk
- Whether Bombardier can sustain its momentum in 2026, given the ambitious revenue and EBITDA targets.
- Market Demand
- The pace at which demand for business jets and aviation services will grow, impacting backlog and delivery schedules.
- Debt Management
- How effectively Bombardier can continue reducing its debt while investing in growth and strategic initiatives.
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