Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — Q2 2020 Earnings Presentation
16 slides from Bombardier Inc. Class A's earnings presentation, Aug 6, 2020
Slide 1: Financial Results Second Quarter 2020
FINANCIAL RESULTS SECOND QUARTER 2020 August 6, 2020
Slide 2: Caution Regarding Forward-Looking Statements
CAUTION REGARDING FORWARD-LOOKING STATEMENTS This presentation includes forward-looking statements, which may involve, but are not limited to: statements with respect to our objectives, anticipations and outlook or guidance in respect of various financial and global metrics and sources of contributi
Slide 3: Key Priorities
KEY PRIORITIES Progress on six near-term priorities 1. Proactively manage the business through COVID-19 2. Drive predictability at Transportation 3. Align Aviation production with market 4. Grow Aviation aftermarket 5. Complete ongoing divestitures 6. Set the foundation for long-term success 3
Slide 4: COVID-19 Update
COVID-19 UPDATE Successfully resumed operations and increased financial flexibility ▪ Managed through temporary suspension of operations across North America and Europe. ▪ Reset production levels and delivery schedules with customers and suppliers around the world. ▪ Took action to gain financial fl
Slide 5: Increasing Liquidity Through CRJ Proceeds and New Secured Facility
INCREASING LIQUIDITY THROUGH CRJ PROCEEDS AND NEW SECURED FACILITY Navigating challenges and bridging to the Transaction with Alstom AVAILABLE SHORT-TERM CAPITAL RESOURCES $3.5B 1 $0.6B $1.0B $2.9B $0.9B CLOSING OF $(1.0)B $2.5B UNDRAWN ON BT CRJ PROGRAM REVOLVING CREDIT FACILITY TRANSACTION Q2 FCF2
Slide 6: Revenues
REVENUES For the three-month periods ended June 30 CONSOLIDATED AVIATION TRANSPORTATION $2.1B $2.2B Divestitures1 $1.5B $1.2B $1.4B Divestitures1 $4.3B $1.0B $2.7B 2019 2020 2019 2020 AIRCRAFT DELIVERIES REVENUES DISTRIBUTION Q2 2020 Q2 2020 2 18% 9 2019 2020 20 $1.5B 50% 9 32% Light Medium Large Ro
Slide 7: Earnings
EARNINGS For the three-month periods ended June 30 CONSOLIDATED AVIATION TRANSPORTATION 1 ADJUSTED EARNINGS $312M $222M 7.2% 10.5% $146M $55M 6.7% $206M 4.8% $151M 7.1% 4.5% Adj. EBITDA1 $111M 5.1% $(319)M Adj. EBITDA1 $(20)M Adj. EBIT1 $(350)M Adj. EBITDA1 (11.8)% 2019 (1.6)% 2020 (23.7)% $(427)M A
Slide 8: Consolidated Free Cash Flow and EPS
CONSOLIDATED FREE CASH FLOW1 AND EPS For the three-month periods ended June 30 ADJUSTED EPS1 Q2 2020 FREE CASH FLOW1 ELEMENTS $(0.04) $(0.30) 2019 2020 $(957)M $(79)M $(1.0)B DILUTED EPS CASH FLOW 1 FROM CAPEX2 FCF OPERATING USAGE ACTIVITIES $(0.04) $(0.13) 2019 2020 Note: Chart data may not be to s
Slide 9: Bombardier
BOMBARDIER
Slide 10: Consolidated Financial Performance
CONSOLIDATED FINANCIAL PERFORMANCE Three-month periods ended June 30 Six-month periods ended June 30 2020 2019 VARIANCE 2020 2019 VARIANCE REVENUES $2.7B $4.3B (37)% $6.4B $7.8B (18)% 1 ADJUSTED EBITDA $(319)M $312M nmf $(148)M $578M nmf 1 ADJUSTED EBITDA MARGIN (11.8)% 7.2% (1900) bps (2.3)% 7.4% (
Slide 11: Aviation Financial Performance
AVIATION FINANCIAL PERFORMANCE Three-month periods ended June 30 Six-month periods ended June 30 2020 2019 VARIANCE 2020 2019 VARIANCE REVENUES $1.2B $2.1B (42)% $2.7B $3.5B (22)% 1 ADJUSTED EBITDA $55M $222M (75)% $157M $424M (63)% 1 ADJUSTED EBITDA MARGIN 4.5% 10.5% (600) bps 5.7% 12.0% (630) bps
Slide 12: Transportation Financial Performance
TRANSPORTATION FINANCIAL PERFORMANCE Three-month periods ended June 30 Six-month periods ended June 30 2020 2019 VARIANCE 2020 2019 VARIANCE REVENUES $1.5B $2.2B (33)% $3.6B $4.3B (15)% 1 ADJUSTED EBITDA $(350)M $146M nmf $(265)M $264M nmf 1 ADJUSTED EBITDA MARGIN (23.7)% 6.7% (3040) bps (7.3)% 6.1%
Slide 13: Caution Regarding Non-GAAP Financial Measures
CAUTION REGARDING NON-GAAP FINANCIAL MEASURES This presentation is based on reported earnings in accordance with IFRS and on the following non-GAAP financial measures: Non-GAAP financial measures Adjusted EBIT EBIT excluding special items. Special items comprise items which do not reflect the Corpor
Slide 14: Reconciliation of Segment to Consolidated Results
RECONCILIATION OF SEGMENT TO CONSOLIDATED RESULTS Three-month periods ended June 30 2020 2019 (1) Revenues Aviation $ 1,223 $ 2,120 Transportation 1,479 2,194 Corporate and Others — — $ 2,702 $ 4,314 Adjusted EBIT(2) Aviation $ (20) $ 151 Transportation (383) 111 Corporate and Others(3) (24) (56) $
Slide 15: Reconciliation of Non-GAAP Financial Measures
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES Reconciliation of adjusted EBITDA to EBIT Three-month periods ended June 30 2020 2019 EBIT $ 26 $ 371 Amortization 108 106 Impairment charges (reversals) on PP&E and intangible assets(1) 8 (4) Special items excluding impairment charges (reversals) on PP&
Slide 16: Reconciliation of Non-GAAP Financial Measures
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES Reconciliation of adjusted net loss to net income (loss) and computation of adjusted EPS Three-month periods ended June 30 2020 2019 (per share) (per share) Net loss $ (223) $ (36) Adjustments to EBIT related to special items(1) (453) $ (0.19) (165) $ (0