Bombardier (BBD.B-T) is sketching out a future based on increased rail-equipment orders and a rebounding market for business jets.
Orders piling in for trains, private planes and regional jets, Bombardier is positioned to "sustain cash generation well into the future," chief financial officer John Di Bert said Thursday on a conference call with analysts. The company is also getting a boost from sales of aircraft parts.
Canada's largest aerospace company is entering the second half of a five-year turnaround plan that chief executive officer Alain Bellemare designed to increase profit and reduce debt. Having cut jobs, bolstered liquidity and said goodbye to ownership of the CSeries jetliner, Mr. Bellemare is now working to push Bombardier's next big revenue generator, the Global 7500 business jet, into service later this year. "We are reaching an important inflection point, where our heavy investment cycle is winding down, and our new programs are ramping up," Mr. Bellemare said on the call. "The focus is now on increasing production capacity, improving operational efficiency and accelerating growth." |
