Bombardier boosts order backlog even as global demand for business jets softens
BNN Bloomberg
Under the wing of a new logo, Bombardier Inc. said it lengthened its order book last quarter even as global demand for business jets idles.
The company grew its first-quarter backlog by five per cent year-over-year to US$14.9 billion. Its book-to-bill — the ratio of orders received to deliveries billed, a key indicator of near-term demand for a company's products — jumped to 1.6.
The upbeat figures stood in contrast with a year-over-year revenue drop of 12 per cent to US$1.28 billion in the quarter ended March 31, a total that fell below analysts' expectations.
The decrease resulted partly from lower than expected plane deliveries in the quarter — 20 versus 22 a year earlier — but CEO Éric Martel said the number aligned with Bombardier's production plan of 150 to 155 jets this year. Last year, roughly 40 per cent of its new jets landed with clients in the final quarter.
