Bombardier Raises Free Cash Flow Guidance on Sharp Q1 2026 Increase, Records Strong Backlog Growth in Exceptional Quarter
Press Release
Revenues grew 5% year-over-year to $1.6 billion, including a remarkable 25% year-over-year gain from Services to $617 million.
Adjusted EBITDA(1) reached $246 million, reflecting a 1% year‑over‑year decrease, with an adjusted EBITDA margin(2) of 15.4%, down 90 basis points. Reported EBIT decreased by 6% year-over-year to $167 million, with an EBIT margin(3) of 10.4%, down 120 basis points.
Adjusted net income(1) grew to $189 million, marking a 178% year-over-year increase, while reported net income(4) increased by 20% to $53 million. Adjusted EPS(2) reached $1.81 and diluted EPS(4) was $0.45.
Free cash flow(1) increased by an impressive $664 million year-over-year to $360 million. Cash flows from operating activities(4) totaled $393 million, compared with $271 million cash flow usage from operating activities(4) in the first quarter of 2025, while net additions to PP&E and intangible assets(3) were stable year-over-year at $33 million.
Backlog(5) reached $20.3 billion as at March 31, 2026, increasing by $2.8 billion compared with year‑end 2025. First quarter unit book‑to‑bill(6) of 3.6x, lifted by strong demand, particularly from fleet operators and for the Global 8000.
Available liquidity(1) stayed strong at approximately $2.0 billion; cash and cash equivalents were $1.7 billion as at March 31, 2026.
Further debt reduction of $150 million CAD(7) with repayment of Canadian debentures maturing December 2026, as announced earlier this morning, using cash from its balance sheet, with repayment scheduled for June 26, 2026, supporting deleveraging initiatives.
The Corporation raises 2026 free cash flow(1) guidance to greater than $1.0 billion, reaffirms guidance on other key metrics(8).
Bombardier Inc. (TSX: BBD.B) today announced strong first quarter 2026 results, underpinned by sustained order momentum and a sharp increase in free cash flow(1). The company also released revised 2026 guidance for free cash flow(1), while reaffirming all other guidance metrics(8).
“Our strong start to 2026 reflects a favorable market environment and an exceptional product portfolio well aligned with current demand, led by our industry‑leading Global 8000 aircraft. We delivered our highest first-quarter free cash flow in nearly two decades, indicating the strength of our business and the solid foundation we’ve built,” said Éric Martel, President and Chief Executive Officer, Bombardier. “Our diversification strategy and relentless focus on customers continued to deliver with solid results in services, sustained demand for our aircraft, and continued interest across our Defense portfolio. These excellent results give us the confidence to revise our free cash flow guidance upward for the year, and I’m extremely proud of our team as we continue to build on this momentum with discipline and focus.”
Steady Revenue Results Driven by Impressive Services Growth and Deliveries
Bombardier reported revenues of $1.6 billion for the first quarter of 2026, driven by a meaningful contribution from Services and 24 aircraft deliveries for the quarter, up 1 from the same quarter last year. Services delivered another standout quarter in Q1 2026 with an increase in revenues of 25% year-over-year, totaling $617 million. High demand and robust order activity – specifically from fleet operators and for the Global 8000 – drove an impressive unit book-to-bill(6) of 3.6x for the quarter. Backlog(5) increased significantly to $20.3 billion at quarter end, representing 43% year-over-year growth and an increase of $2.8 billion since the end of 2025.
Strong Free Cash Flow(1) Generation and Earnings Growth
Free cash flow(1) for the first quarter of 2026 reached $360 million, improving by an impressive $664 million year-over-year. This strong performance was driven by cash flows from operating activities(4) which came in at $393 million, compared to $271 million of cash flow usage from operating activities(4) in the first quarter of 2025. Net additions to PP&E and intangible assets(3) came in at $33 million, consistent with the prior year.
Bombardier recorded a solid net income(4) of $53 million, up 20% year-over-year. Adjusted net income(1) reached an impressive $189 million, up 178% from the same quarter in 2025. Adjusted EPS(2) rose to $1.81, a significant increase from the $0.61 recorded in the same quarter last year.
The company generated an adjusted EBITDA(1) of $246 million for the quarter, down 1% from the same quarter last year, and an adjusted EBITDA margin(2) of 15.4%, down 90 basis points year-over-year. Reported EBIT reached $167 million, down 6% year-over-year, leading to an EBIT margin(3) of 10.4%, down 120 basis points year-over-year.
Improved Liquidity and Debt Position
The company maintained a solid financial position during the quarter, with available liquidity(1) of approximately $2.0 billion. Cash and cash equivalents totaled $1.7 billion as at March 31, 2026. Debt management remained a priority, with continued progress in deleveraging and reduction of the adjusted net debt to adjusted EBITDA ratio(2) to 1.8x. On April 30, 2026, the company announced the full repayment of its Canadian debentures maturing December 2026 for an aggregate principal amount of $150 million CAD (approximately $108 million), using cash from its balance sheet, with repayment scheduled for June 26, 2026. Due to its strong operational performance, proactive debt management and financial discipline, Bombardier received an outlook change to positive from S&P Global Ratings on April 14, 2026.
Following a strong performance in the first quarter of 2026 and positive outlook for the remainder of the year, Bombardier revised its free cash flow(1) guidance for 2026 upwards. Free cash flow(1) is now expected to be greater than $1.0 billion for the full year. Guidance for all other key financial metrics remains unchanged from the original guidance issued on February 12, 2026. Net additions to PP&E and intangible assets(3) are expected to be approximately $300 million.
(1) Non-GAAP financial measure. A non-GAAP financial measure is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the Management Discussion & Analysis of the Corporation’s interim financial report for the quarter ended March 31, 2026 ("MD&A") for definitions of these metrics and reconciliations to the most comparable IFRS measures.
(2) Non-GAAP financial ratio. A non-GAAP financial ratio is not a standardized financial measure under the financial reporting framework used to prepare our financial statements and might not be comparable to similar financial measures used by other issuers. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics and reconciliations to the most comparable IFRS measures.
(3) Supplementary financial measure. Refer to the section entitled Caution regarding non-GAAP and other financial measures of this press release and to the Non-GAAP and other financial measures section in the MD&A for definitions of these metrics.
(4) Only from continuing operations.
(5) Represents order backlog for both manufacturing and Services.
(6) Defined as net new aircraft orders in units over aircraft deliveries in units.
(7) $150 million CAD is translated to approximately $108 million.
(8) Forward-looking statement. See the Forward-looking statements disclaimer in this press release and see the Forward-looking statements - Assumptions section of the MD&A for details of some of the material assumptions on which the 2026 Guidance is based.
(9) Refer to the Management Discussion & Analysis of the Corporation’s financial report for the fiscal year ended December 31, 2025 ("2025 Financial Report") for further details.
About Bombardier
At Bombardier (BBD-B.TO), we design, build, modify and maintain the world’s best-performing aircraft for the world’s most discerning people and businesses, governments and militaries. That means not simply exceeding standards, but understanding customers well enough to anticipate their unspoken needs.
For them, we are committed to pioneering the future of aviation—innovating to make flying more reliable, efficient and sustainable. And we are passionate about delivering unrivaled craftsmanship and care, giving our customers greater confidence and the elevated experience they deserve and expect. Because people who shape the world will always need the most productive and responsible ways to move through it.
Bombardier customers operate a fleet of more than 5,200 aircraft, supported by a vast network of Bombardier team members worldwide and 10 service facilities across six countries. Bombardier’s performance-leading jets are proudly manufactured in aerostructure, assembly and completion facilities in Canada, the United States and Mexico. In 2024, Bombardier was honoured with the prestigious “Red Dot: Best of the Best” award for Brands and Communication Design.