During the second quarter, Bombardier Business Aircraft revenues totalled US$1.3 billion on 34 deliveries, with aftermarket revenue growing 21%, offset by lower aircraft revenues from fewer pre-owned aircraft available. On a year-to-date basis, revenues total US$2.4 billion, on track to the US$5 billion guidance for the full year. Year to date, deliveries reached 65 aircraft, in line with plan and last year, tracking to full year guidance of 135 aircraft deliveries. Margins continued to trend above the greater than 8% guidance, with EBIT margin before special items reaching 8.5% and 8.7% for the three- and six-month periods ended June 30, 2018, respectively. Aircraft backlog at the end of the second quarter increased to $14.1 billion, reflecting strong market activity for the third consecutive quarter. Demand continues to be fuelled by North America while Asia Pacific, Greater China and Europe are exhibiting good momentum.
During the quarter Bombardier Commercial Aircraft delivered 18 aircraft, consisting of 8 C Series, 5 CRJ Series and 5 Q400 aircraft. With year to date deliveries of turboprops and regional jets totalling 18, Commercial Aircraft is on track to meet annual guidance of 35 deliveries for the regional aircraft platforms. With year-to-date revenues of US$1.1 billion and EBIT loss before special items of US$139 million, Bombardier is reintroducing Commercial Aircraft’s full year revenue guidance of approximately US$1.7 billion and EBIT loss before special items guidance of approximately US$250 million. This reflects the deconsolidation of CSALP from Commercial Aircraft’s results starting in the third quarter, replaced by the equity pick-up. The second quarter saw significant order activity with a book-to-bill ratio of 4.2. The CRJ Series backlog grew to 60 aircraft, with two CRJ900 aircraft orders totalling 35 aircraft from American Airlines and Delta. These orders are the first with the new ATMOSPHÈRE cabin, setting the new standard of passenger experience in the regional jet market segment. Other orders included 16 Q400 aircraft from Ethiopian Airlines and African Aero Trading bringing the backlog to 56 aircraft.
