Bombardier Aerospace posts $129m fiscal Q3 operating profit

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Bombardier Aerospace's order backlog has risen 16% so far this fiscal year to $22.3 billion, mainly due to an increase in orders for large business jets and the CSeries airliner and partially offset by a lower order backlog for turboprops and regional jets.

For the third quarter to the end of October, operating profit was up 32% to $129 million on sales up 28% to $2.3 billion, thanks to a leap in deliveries to 68 aircraft, from 51 during the same period last year.

In orders and deliveries, business jets made the biggest impact during the quarter. Of the 68 deliveries, 43 were business jets (up from 31 last time), 24 were regional jets and turboprops (up from 19) and Bombardier delivered one amphibious aircraft, the same as last year.

The 34 net orders taken during the quarter compared to 23 a year ago and consisted of 30 net orders for business jets (up from 13) and four orders for commercial aircraft, down from 10 net orders a year ago.

Business jets also helped Bombardier to a slight increase in its EBIT margin. A 0.2% improvement was due mainly to higher net selling prices for business aircraft, a favourable mix of business aircraft deliveries and lower research and development expenses, partially offset by lower liquidated damage payments from customers upon cancellation of orders and a reduction in other income.

Bombardier Aerospace's fourth quarter results will include only two months, as the group has decided to shift its financial year-end from 31 January to 31 December, effective 31 December 2011.