Bombardier forecasts strong 2024 revenue on higher deliveries of business jets By Reuters

© Reuters. A plane flies over a Bombardier plant in Montreal, Quebec, Canada on January 21, 2014. REUTERS/Christinne Muschi/File Photo

(Reuters) -Bombardier forecast better-than-expected 2024 revenue on Thursday, as the Canadian company expects to deliver higher number of aircraft on the back of sustained demand for private flying.

Business jet makers have gained in the last two years as the wealthy switched to private flying during the pandemic, allowing companies such as Bombardier (OTC:) to increase prices.

The Montreal-based company expects full-year revenue of $8.4 billion to $8.6 billion, compared with analysts’ expectations of $8.27 billion, as per LSEG data.

Aircraft deliveries in 2024 are expected to be between 150 and 155 jets, compared with 138 jets Bombardier delivered last year. Free cash flow is expected to be $100 million to $400 million, from $257 million reported in 2023.

Bombardier reported a lower fourth-quarter adjusted net income of $135 million, compared with $205 million a year earlier, amid lingering supply snags that have raised costs for companies.

On a per share basis, adjusted profit was $1.37, one cent below Wall Street expectations.

Revenue rose 15.3% to $3.06 billion in the quarter through December, beating estimates of $2.88 billion. Free cash flow from continuing operations rose to $646 million from a year earlier, but fell below expectations of $672 million.

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