Bombardier Inc. T.BBD.A

Alternate Symbol(s): BDRPF | T.BBD.PR.B | BDRXF | T.BBD.PR.C | T.BBD.PR.D | BOMBF | BDRAF | T.BBD.B | BDRBF

Industrials Aerospace & Defense

Bombardier Inc. is a Canada-based manufacturer of business aircraft with a global network of service centers. The Company is focused on designing, manufacturing and servicing business jets. The Company has a worldwide fleet of more than 5,000 aircraft in service with a variety of multinational corporations, charter and fractional ownership providers, governments and private individuals. It operates aerostructure, assembly and completion facilities in Canada, the United States and Mexico. Its robust customer support network services the Learjet, Challenger and Global families of aircraft, and includes facilities in strategic locations in the United States and Canada, as well as in the United Kingdom, Germany, France, Switzerland, Austria, the United Arab Emirates, Singapore, China and Australia. The Company's jets include Challenger 350, Challenger 3500, Challenger 650, Global 5500, Global 6500, Global 7500 and Global 8000.

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Bombardier Inc.

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Comment by Jim99999on Aug 25, 2020 6:34pm

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Post# 31452753

RE:RE:RE:If Bomber brings debt down ...

Yes. I was pleased to hear Martel say that increasing aftermarket revenues was a key priority.

Jim

Bullvsbear99 wrote: Margin for bizz jet is currently above 8% but should be close to 11% as ramp up cost is almost gone. Margins from after market is not known but after market generally brings in nice revenue. Debt needs to be addressed for sure.

Jim99999 wrote: Not a chance. I expect BBD's long term debt will be approximately $6.5B after the Alstom deal. Interest on this debt will be close to $500M/year. $6B revenues at 10% margin is $600M. This would cover interest payments with about $100M, or $0.04 per share, in profit. This would warrant a share price of about $1 CAD, in my opinion. ($0.04 x 20 P/E x 1.3 exchange)

It is important to note, however, that BBD's business jet revenues for 2019 were approximately $6.2B with adjusted EBIT margin of approximately 7%. Revenues will be lower for 2020 and likely for 2021 as well. Those revenues at that margin will not cover interest on the debt. BBD desperately needs to find ways to increase both revenues and margins.

Jim

Bombastic2018 wrote: To, say, $4 billion, and produces in the range of $6bn revenue a year from Biz jets, what SP is reasonable to expect? How many businesses sit at 40 cents with Bomber’s revenues?

i think pandemic will be boon to orders overs time.