Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — Q1 2020 Earnings Presentation
16 slides from Bombardier Inc. Class A's earnings presentation, May 7, 2020
Slide 1: Financial Results First Quarter 2020
FINANCIAL RESULTS FIRST QUARTER 2020 MAY 7, 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 Driving sustainable operational excellence and free cash flow generation ▪ Proactively manage the business through COVID-19 ▪ Drive predictability at Transportation ▪ Align Aviation production with market ▪ Grow Aviation aftermarket ▪ Complete ongoing divestitures ▪ Set the foundation
Slide 4: Taking the Right Actions to Strengthen Liquidity
TAKING THE RIGHT ACTIONS TO STRENGTHEN LIQUIDITY Managing the impact of the COVID-19 pandemic by raising new liquidity and closing previously-announced divestitures AVAILABLE SHORT TERM CAPITAL RESOURCES $3.9B $1.3B ~$3.5B UNDRAWN ON 2 BT REVOLVING ~$550M CREDIT FACILITY $386M $2.9B $531M CDPQ EQUIT
Slide 5: Consolidated Financial Performance
CONSOLIDATED FINANCIAL PERFORMANCE REVENUES EARNINGS $266M $3.7B $3.5B $171M Adj. EBITDA1 $171M $60M Adj. EBIT1 Q1 2019 Q1 2020 Q1 2019 Q1 2020 ADJUSTED EPS1 FREE CASH FLOW1 $(0.07) $(0.10) $(1.0)B $(1.6)B Q1 2019 Q1 2020 Q1 2019 Q1 2020 Note: Chart data may not be to scale. 5 1. Non-GAAP measures.
Slide 6: Aviation Highlights
AVIATION HIGHLIGHTS REVENUES DELIVERIES Q1 2020 5 3 $1.4B $1.5B Divestitures1 Divestitures1 $1.1B +16% Business 31 $969M 9 14 Aircraft Growth Q1 2019 Q1 2020 Light Medium Large Commercial Business Aircraft EARNINGS BUSINESS AIRCRAFT $202M BACKLOG 14.3% $14.4B $13.6B $102M Adj. EBITDA2 $144M 6.7% 10.
Slide 7: Transportation Highlights
TRANSPORTATION HIGHLIGHTS REVENUES REVENUES DISTRIBUTION Q1 2020 $2.2B 11% $2.1B 22% $2.2B 67% Q1 2019 Q1 2020 Rolling Stock and systems Services Signalling EARNINGS BACKLOG 1.2 1.1 Trailing 4Q Book-to-Bill3 $118M 5.6% $35.8B $85M Adj. EBITDA2 $33.1B 3.9% $83M 3.9% $51M Adj. EBIT2 2.4% Q1 2019 Q1 20
Slide 8: Setting the Foundation for Long-Term Success
SETTING THE FOUNDATION FOR LONG-TERM SUCCESS STRONG PRODUCT PORTFOLIO STRENGTHENING THE STRIVING FOR OPERATIONAL AND GREAT TALENT BALANCE SHEET EXCELLENCE 8
Slide 9: Bombardier
BOMBARDIER
Slide 10: Consolidate Financial Performance
CONSOLIDATE FINANCIAL PERFORMANCE Three-month periods ended March 31 Q1 2020 Q1 2019 VARIANCE REVENUES $3.7B $3.5B 5% 1 ADJUSTED EBITDA $171M $266M (36)% 1 ADJUSTED EBITDA MARGIN 4.6% 7.6% (300) bps EBIT $156M $684M (77)% EBIT MARGIN 4.2% 19.5% (1530) bps 1 ADJUSTED EBIT 1 $60M $171M (65)% 1 ADJUSTE
Slide 11: Aviation Financial Performance
AVIATION FINANCIAL PERFORMANCE Three-month periods ended March 31 Q1 2020 Q1 2019 VARIANCE REVENUES $1.5B $1.4B 8% 1 ADJUSTED EBITDA $102M $202M (50)% 1 ADJUSTED EBITDA MARGIN 6.7% 14.3% (760) bps EBIT $7M $664M (99)% EBIT MARGIN 0.5% 47.1% (4660) bps 1 ADJUSTED EBIT 1 $25M $144M (83)% 1 ADJUSTED EB
Slide 12: Transportation Financial Performance
TRANSPORTATION FINANCIAL PERFORMANCE Three-month periods ended March 31 Q1 2020 Q1 2019 VARIANCE REVENUES $2.2B $2.1B 3% 1 ADJUSTED EBITDA $85M $118M (28)% 1 ADJUSTED EBITDA MARGIN 3.9% 5.6% (170) bps EBIT $51M $83M (39)% EBIT MARGIN 2.4% 3.9% (150) bps 1 ADJUSTED EBIT 1 $51M $83M (39)% 1 ADJUSTED E
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 March 31 2020 2019 (1) Revenues Aviation $ 1,523 $ 1,410 Transportation 2,169 2,107 Corporate and Others (1) (1) $ 3,691 $ 3,516 Adjusted EBIT(2) Aviation $ 25 $ 144 Transportation 51 83 Corporate and Others(3) (16) (56) $ 6
Slide 15: Reconciliation of Non-GAAP Financial Measures
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES Reconciliation of adjusted EBITDA to EBIT Three-month periods ended March 31 2020 2019 EBIT $ 156 $ 684 Amortization 111 91 Special items(1) (96) (509) Adjusted EBITDA $ 171 $ 266 Free cash flow usage(2) Three-month periods ended March 31 2020 2019 Net i
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 March 31 2020 2019 (per share) (per share) Net income (loss) $ (200) $ 239 Adjustments to EBIT related to special items(1) (96) $ (0.04) (5