Bombardier raises 2026 cash flow forecast above $1.3B as services hit record

Bombardier reported on November 5, 2026, that it raised its 2026 free cash flow forecast to more than $1.3 billion after its services business generated a record $701 million in quarterly revenue. 

The Canadian business jet manufacturer reported third-quarter revenue of $2.37 billion, up 3% from a year earlier, according to its financial results. Services revenue climbed 19%, surpassing $700 million for the first time, even as aircraft deliveries edged down from 34 to 33. 

Profitability also improved. Adjusted EBITDA rose 7% to $382 million, with the margin increasing from 15.4% to 16.1%. 

However, reported net income slipped from $85 million to $81 million. On an adjusted basis, net income rose 41% to $182 million. The difference largely reflects a $94 million loss on certain financial instruments, which Bombardier leaves out of its adjusted earnings. 

Bombardier needs at least 69 aircraft deliveries in final quarter of 2026 

Free cash flow reached $183 million in the third quarter, up 20% year over year, bringing the total for the first nine months of 2026 to $771 million. 

This is the second time Bombardier has raised its cash flow outlook this year. On April 30, 2026, the company increased its initial forecast of $600 million to $1 billion to more than $1 billion. The new target is above $1.3 billion. 

Bombardier maintained its other 2026 targets: more than 157 aircraft deliveries, revenue exceeding $10 billion and adjusted EBITDA above $1.625 billion. 

Having delivered 89 aircraft in the first nine months, Bombardier must hand over at least 69 jets in the fourth quarter to reach its full-year target. That would exceed the 64 aircraft delivered during the same period in 2025. 

President and CEO Éric Martel said the company was entering the final stretch of 2026 with “solid visibility on all remaining deliveries.” 

The order backlog stood at $22.2 billion on September 30, 2026, up from $21.8 billion at the end of June. The company recorded a unit book-to-bill ratio of 1.7, meaning it received 1.7 net new aircraft orders for every aircraft delivered during the quarter. 

Bombardier also reduced its debt by $1.1 billion during the first nine months of 2026. 

Canada and NATO GlobalEye plans offer potential defense orders 

Saab GlobalEye at Paris Air Show 2025 (Credit: AeroTime)Bombardier also highlighted opportunities in the defense market following two decisions involving Saab’s GlobalEye airborne early warning and control (AEW&C) aircraft, which is based on the Bombardier Global 6500 business jet. 

On May 27, 2026, Canada named Saab its preferred supplier for a future AEW&C fleet. On July 7, 2026, NATO selected GlobalEye as its preferred replacement for its aging airborne surveillance fleet, opening negotiations for up to 10 aircraft. 

Canada subsequently signed a non-binding term sheet with Saab on September 25, 2026, outlining plans to acquire six GlobalEye aircraft, along with associated systems, training and support. 

Both programs could eventually generate additional demand for Bombardier’s Global 6500 platform, depending on the outcome of contract negotiations. 

Trump drops Bombardier sales ban threat ahead of $270M US investment 

The quarter also saw Bombardier face trade pressure from US President Donald Trump, who threatened on September 7, 2026, to bar the Canadian manufacturer from selling aircraft in the United States unless it moved production there. 

Trump subsequently backed away from the threat on October 20, citing Bombardier’s existing workforce in Kansas. 

On October 23, 2026, Bombardier announced plans to fill 800 positions across Kansas, Texas, Indiana and Connecticut, comprising 300 new jobs and 500 existing vacancies. The plans are supported by an estimated $270 million in US infrastructure investment, including previously announced spending in Wichita. 

Bombardier did not directly address the dispute with Trump in its third-quarter earnings commentary, although trade-related uncertainty remains among the risks identified in its financial disclosures.The post Bombardier raises 2026 cash flow forecast above $1.3B as services hit record appeared first on AeroTime.

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