Bombardier (BBD-B) Q4 2025 earnings summary

Executive summary

• Achieved all 2025 turnaround and guidance targets, completing a five-year transformation recognized by Harvard and Columbia, and entered 2026 with strong momentum and a robust backlog.

• Revenues grew 10% year-over-year to $9.55 billion, with record Services revenues and 157 aircraft deliveries.

• Adjusted EBITDA rose 15% to $1.56 billion, with a margin of 16.3%.

• Free cash flow reached $1.072 billion, nearly 5x higher than 2024.

• Backlog reached $17.5 billion, up $3.1 billion or 22% year-over-year.

Financial highlights

• Adjusted EBIT grew 20% to $1.1 billion (11.5% margin); reported EBIT increased 26% to $1.108 billion.

• Adjusted net income was $805 million, up 47% year-over-year; EPS increased 50% to $7.72.

• Net leverage improved to 1.9x, below the 2-2.5x target and down from 2.9x in 2024.

• Liquidity stood at $2.5 billion; cash and cash equivalents at year-end were $2.2 billion.

• Q4 2025 adjusted EBITDA was $658 million (17.8% margin), and free cash flow was $1,388 million.

Outlook and guidance

• 2026 revenue expected to exceed $10 billion, with more than 157 aircraft deliveries.

• Adjusted EBITDA guidance set at greater than $1.625 billion.

• Free cash flow guidance of $600 million–$1 billion, reflecting working capital variability.

• CapEx/PP&E expected to rise to ~$300 million in 2026 to support growth and product investments.

• Continued focus on reducing net leverage toward 1.5x and opportunistic M&A.