Company News

Bombardier EBITDA jumps 50 percent as margins improve

Feb 15 (Reuters) - Canadian train and plane maker Bombardier on Thursday reported a 50 percent rise in its most-watched measure of earnings in the fourth quarter of 2017, driven by improvement in both sales and margins.

The company reported $304 million in earnings before interest, taxation, depreciation and amortization (EBITDA) in the fourth quarter of 2017, compared with $203 million in the same period a year earlier.

Revenue rose 8 percent to $4.715 billion and its EBITDA margin before special items rose to 6.4 percent from 4.6 percent. The company’s overall net loss also narrowed to $109 million from $259 million a year ago.

Bombardier is in the middle of a five-year turnaround plan to cut costs and boost margins, after years of heavy investments in two new aircraft programs pushed it to the brink of bankruptcy in 2015. (Reporting by Allison Lampert, Nivedita Bhattacharjee; editing by Patrick Graham)