Bombardier reports second quarter 2016 results

Bombardier reported consolidated revenues of US$4.3bn in the quarter and US$8.2bn for the first six-month period, relative to US$4.6bn and US$9.0bn for the same periods last year, explained for the most part by the planned reduction in business aircraft revenues. EBIT before special items was US$106m and US$236m respectively for the quarter and year-to-date, as margin improvements at Business Aircraft and Transportation were offset by the production ramp-up effect of the C Series, as it entered into service. Improved free cash flow usage for the first six months of the year and the completion of the equity investment by the Government of Québec (through Investissement Québec) have resulted in pro forma liquidity of US$4.9bn as at June 30, 2016. These results place Bombardier on track to meet its full year guidance of revenues between US$16.5bn and US$17.5bn, EBIT between US$200m and US$400m, and free cash flow usage between US$1.0bn and US$1.3bn.