Bombardier experienced a 28 percent year-over-year jump in third-quarter revenues as deliveries increased across its medium-sized and large models to a combined 31 units, the Montreal-headquartered aircraft manufacturer reported today. At the same time though, Bombardier posted a net loss of $37 million for the quarter as it continues to navigate through its debt repayment.

Revenues for the quarter ended on September 30 reached $1.9 billion, compared with $1.5 billion a year earlier. Deliveries, meanwhile, were up by six units, comprising 16 Challengers and 15 Global models. This represents an increase of four Challengers and two Globals over third-quarter 2022 deliveries.

In addition, Bombardier executives said during the third-quarter results analyst call that despite supply-chain challenges, the company remains on track for meeting its full-year guidance of at least 138 aircraft deliveries. “We have a good line of sight for the fourth quarter, and everything is in place to deliver greater than 56 aircraft with some already behind us,” said Bombardier president and CEO Éric Martel.

Bombardier CFO and executive v-p Bart Demosky noted that in anticipation of this ramp-up, the airframer had built up an inventory of parts through the first nine months as it worked its way through the supply chain.

“When you look at what is going on across the industry, you won't be surprised to hear me say that the supply chain continues to put a considerable amount of pressure on our operation,” Martel conceded. But while the supply-chain base is still incurring disruptions, Bombardier has built up a team to catch those issues early on.

“Our team is very agile and is able to react to identify problems before they escalate,” he maintained. “Thanks to their proactiveness, we have been very successful in mitigating challenges and keeping our delivery projection on track.”

The executives were also buoyed by the fact that despite the increase in deliveries, the company was able to maintain a book-to-bill ratio of 1.1:1, with backlog steadying at $14.7 billion, compared with $14.6 billion at the beginning of the year.

Demosky said the company had a pipeline stretching 18 to 24 months across its product line including its flagship Global 7500, which recently reached the 150^th delivery milestone. Martel was also encouraged by the activity pipeline for future orders as the fourth quarter continues and said it is across a diverse base, including possible fleet and/or defense deals.

While deliveries have increased, so have aftermarket revenues, as Bombardier continues to benefit from the extensive expansion of its in-house services network. Aftermarket accounted for $414 million in revenues, an 11 percent increase. In addition to crediting expanded capacity, Martel noted that flying hours, particularly among its fleet operators, have increased, driving a need for more maintenance.

As for profitability, the company saw its adjusted EBITDA increase by 36 percent to $285 million. While posting a third-quarter net loss, Bombardier remains on the positive side, at a net profit of $230 million, compared with a $389 million loss through the first nine months of 2022.

“Bombardier’s third-quarter results are nothing short of impressive, whether you look at margins, cash generation, overall revenues, order activity, and more,” Martel said. “When we reshaped Bombardier, we set out to build a resilient business that performs in any marketplace. Today, our results demonstrate we are there.”