Bombardier continues to wrestle with “brutal” supply problems from one unidentified engine manufacturer which last year caused weeks of stoppages to its final assembly line.
Presenting the company’s full-year performance on 12 February, chief executive Eric Martel said the engine supply issue had resulted in one of its assembly lines stopping “for days or even weeks”.
Although the airframer managed to deliver “the planes we wanted to deliver”, without the engine shortfall “there could have been the opportunity to deliver even more”.
Last year, Bombardier shipped a total of 157 aircraft, an 11-unit increase on its 2024 performance. This comprised 86 large-cabin Global-family jets, alongside 71 super-medium Challengers
Martel says the issues are in the engine maker’s supply chain, with non-conformities in the production process leading to “batches [of parts] being scrapped”.
While the supplier intends to “get this under control as soon as possible”, in the meantime it is “costing us millions and millions of dollars”, he says.
Bombardier is a customer of three engine manufacturers: GE Aerospace supplies its Passport for the Global 7500/8000 and CF34 for the Challenger 650, Rolls-Royce the Pearl 15 for the Global 5500/6500, and Honeywell the HTF7350 for the Challenger 3500.
Notwithstanding the engine issue, Martel hails the “great progress” made with its wider supply chain: at the end of 2025 it was dealing with shortages of around 500 parts compared with 5,000 three years ago, he says.
And despite the industrial issues, Bombardier will again raise production in 2026, guiding to deliver more than 157 aircraft, pushing revenues beyond the $10 billion mark.
This year’s total will include higher numbers of its flagship Global 8000 which achieved Canadian and US certification in late 2025, followeed by European regulatory clearance in January.
Future output increases are also likely as the company continues to bolster its production capacity. In January, Bombardier said it was investing $100 million in a new factory in Dorval, Quebec that would come on stream before the end of 2027.
“We are now evolving our manufacturing footprint through disciplined, phased investment that will provide greater flexibility across our portfolio for 2027 and beyond,” says Martel.
Capital expenditure will rise this year, says chief financial officer Bart Demosky, growing from a figure of below $200 million in recent years to “closer to the $300 million mark” as the firm “will start making incremental investments in our products, in our facilities, and to support our growth”.
Backlog stood at a record $17.5 billion at the end of 2025, an increase of $3.1 billion over the previous year.
Martel calls 2025 a “landmark year for Bombardier” having successfully completed its five-year turnaround plan.
In fact, Bombardier exceeded the targets it had set in 2021, with revenue last year hitting $9.5 billion – up 10% year on year – against an initial goal of $7.5 billion. Adjusted EBITDA rose 15% year on year, reaching $1.6 million.
Last year’s revenue performance included record contributions from its defence and services business units, which now account for 35% of the group total.
On the defence side, where its Global 6500 serves as the basis of several surveillance platforms, Bombardier delivered 16 aircraft to multiple customers, driving revenue above $1 billion.
Describing this as a “giant leap forward”, Demosky says it puts Bombardier “several years ahead of our growth plan and well on our way to our long-term objectives for this business segment”.
Services revenue increased 13% year on year “and highlights both the success of our expansion strategy and the growing service offerings we are providing to our customers”.
Bombardier recently disclosed the purchase of US overhaul provider Velocity Maintenance Solutions and the company continues to eye the market for further “tuck-in” acquisition opportunities.
