Bombardier Bizjet Shipments Flat, Services Up in 1H
Business jet division revenues climbed $6 million year-over-year in the first half to $2.417 billion, buoyed by a $76 million rise in services income.

Second-quarter business jet deliveries at Bombardier fell two units year-over-year, to 34, according to financial data released today by the Canadian company. During the quarter, it shipped two Learjet 70/75s, 14 Challenger 350s, six Challenger 650s, and 12 Global 5000/6000s; a year ago, the mix was three Learjets, 12 Challenger 350s, six Challenger 650s, and 15 Globals.


Despite this lower quarter, first-half deliveries are at the same level from a year ago, at 65 aircraft. This year’s figures include fewer shipments of Learjets (five versus eight), Globals (22 versus 23) and Challenger 850s (zero versus one). There were more 350s (26 versus 21), while 650s handovers were unchanged, at 12.


Business jet division revenues climbed $6 million year-over-year in the first half, to $2.417 billion, buoyed by a $76 million rise in services income. In fact, Alain Bellemare, president and CEO of parent Bombardier, told analysts this morning that business jet service represents a “big opportunity” for the company, noting that it currently services less than a third of the more than 4,000 in-service Bombardier business jets. Bellemare expects to double business jet services revenues by 2020, he said. Meanwhile, first-half earnings at the division jumped $27 million year-over-year, to $205 million.


Sales of business jets in the second quarter were “very strong,” said Bellemare, resulting in a 1.2:1 book-to-bill ratio and a $14.1 billion backlog as of June 30, up $300 million from the end of last year. This reflected "strong market activity" for the third consecutive quarter, with business jet demand continuing to be driven by North

America, while Asia Pacific, Greater China, and Europe have "good momentum."