Bombardier Global 7500 C-FXAI at the 2019 Paris Airshow | Jeroen Vogelaar
Nov 2 (Reuters) – Canada’s Bombardier reported third-quarter results on Thursday that beat analysts’ estimates, helped by robust demand for its pricier business jets and aftermarket services, sending shares up 9% in morning trade.
Corporate jet makers continue battling supply chain challenges to meet demand from wealthy buyers, following a surge in orders and private flying during the pandemic.
But economic headwinds, and recent signs of flattening demand are raising investor concerns, even as some planemakers aim to produce more jets.
North American flight activity fell 4.2% in September 2023 compared with the same month a year earlier, according to Argus International.
Bombardier Chief Executive Eric Martel told reporters that the company is planning for more deliveries in 2024, without disclosing a specific figure, compared with this year’s target of more than 138 aircraft.
Montreal-based Bombardier is targeting deliveries of 150 jets for 2025.
Bombardier’s order backlog fell to $14.7 billion at the end of the third quarter, from $14.9 billion at the end of the second quarter.
Bombardier has increased inventories to support higher deliveries compared with 123 in 2022.
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