Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — FY2011 Earnings Presentation
23 slides from Bombardier Inc. Class A's earnings presentation, Mar 31, 2011
Slide 1: Fourth quarter and year-end results – Fiscal Year 2011
Fourth quarter and year-end results – Fiscal Year 2011 Presentation to investors, financial analysts and media March 31, 2011
Slide 2: Forward-looking statements
Forward-looking statements This presentation includes forward looking statements, which may involve, but are not limited to, statements with respect to our objectives, targets, goals, priorities and strategies, financial position, beliefs, prospects, plans, expectations, anticipations, estimates and
Slide 3: Agenda
Agenda Overview Results Aerospace Transportation Conclusion 3
Slide 4: Overview – Good performance by both groups in F2011
Overview – Good performance by both groups in F2011 Revenues at $17.7 billion vs $19.4 billion last year Net income of $769 million (EPS of $0.42) compared to a net income of $707 million last year (EPS of $0.39) Free cash flow of $605 million compared to a free cash flow usage of $215 million last
Slide 5: Agenda
Agenda Overview Results Aerospace Transportation Conclusion 5
Slide 6: Segmented information
Segmented information (In millions of U.S. dollars) Q4 Q4 Full Year Full Year F2011 % F2010 % F2011 % F2010 % Revenues Aerospace 2,874 2,675 8,614 9,357 Transportation 2,498 2,677 9,098 10,009 Total Revenues 5,372 5,352 17,712 19,366 EBIT Aerospace 181 6.3 106 4.0 448 5.2 473 5.1 Transportation 186
Slide 7: Financial results overview
Financial results overview (In millions of U.S. dollars, except Q4 Q4 Full Year Full Year per share amounts) F2011 F2010 F2011 F2010 Revenues 5,372 5,352 17,712 19,366 EBIT 367 288 1,050 1,098 Financing expense, net 1 60 119 183 EBT 366 228 931 915 Income taxes 41 49 162 208 Net income 325 179 769 7
Slide 8: Free cash flow
Free cash flow (In millions of U.S. dollars) Q4 Q4 Full Year Full Year F2011 F2010 F2011 F2010 Aerospace Cash flows from operating activities 1,030 445 1,000 344 Net additions to PPE & intangible assets (260) (233) (956) (611) Total Aerospace 770 212 44 (267) Transportation 799 372 744 293 Interest
Slide 9: We are proactively managing our liquidity
We are proactively managing our liquidity Short-term capital resources (as at January 31 - in billions of dollars) 4.7 0.5 3.9 3.9 3.6 3.5 0.5 1.0 2.6 Very solid cash balance 4.2 3.4 2.9 Essentially debt repayment-free until 2016 2006 2007 2008 2009 2010 2011 Cash and cash equivalents Available cred
Slide 10: IFRS and change in year-end
IFRS and change in year-end First quarter of fiscal 2012 will be the first reporting period under IFRS Full tutorial was done on January 19, 2011. The webcast and presentation are both available on www.bombardier.com Major differences between the two accounting standards are also summarized in the M
Slide 11: Agenda
Agenda Overview Results Aerospace Transportation Conclusion 11
Slide 12: Aerospace – Order intake impacted by downturn, signs of recovery
Aerospace – Order intake was significantly impacted by the downturn, but signs of recovery at business aircraft Business Aircraft Net Order Analysis Units, Q1 F2011 - Q4 F2011 Cancellations 74 Gross Orders Net orders Low level of gross orders for 6 14 13 83 business aircraft during the first 22 26 n
Slide 13: Aerospace – Business aircraft deliveries and months of backlog
Aerospace – Business aircraft deliveries and months of backlog Business aircraft FY11 deliveries Units, Q1 F2011 - Q4 F2011 Global Family 47 Challenger Family Learjet Family 13 36 33 13 27 9 143 business aircraft 12 20 delivered in FY11 (33 15 16 Learjet, 63 Challenger, & 12 14 47 Global), essential
Slide 14: Aerospace – Commercial aircraft deliveries and months of backlog
Aerospace – Commercial aircraft deliveries and months of backlog Commercial aircraft FY11 deliveries Units, Q1 F2011 - Q4 F2011 44 Q400 CRJ 22 18 19 16 10 12 22 12 97 commercial aircraft 9 6 4 delivered in FY11 (56 Q400, Q1 Q2 Q3 Q4 and 41 CRJ), in line with Commercial aircraft backlog guidance Numb
Slide 15: Aerospace – Outlook
Aerospace – Outlook What we expect * Approximately 150 business jet deliveries in the 11-month period ending December 31, 2011 Approximately 90 commercial aircraft deliveries in the 11-month period ending December 31, 2011 EBIT margin under IFRS for the 11-month period ending December 31, 2011 shoul
Slide 16: Aerospace – The road to 10% EBIT
Aerospace – The road to 10% EBIT EBIT margins - Aerospace Goal 8% Fiscal years 2007-2011, Calendar 2013 EBIT achieved Goal 10% EBIT* 9.0% 5.8% 5.1% 5.2% 3.9% FY2007 FY2008 FY2009 FY2010 FY2011 C2013 We will reach our goal by: Improved volumes in business, commercial aircraft and services Continued i
Slide 17: Agenda
Agenda Overview Results Aerospace Transportation Conclusion 17
Slide 18: Transportation – Strong order intake is the base for future revenue growth
Transportation – Strong order intake is the base for future revenue growth Orders, revenues and book-to-bill (Orders and revenues in billions of dollars) 1.8 1.5 1.0 1.0 1.6 16 Book-to-bill 14.3 14 Order intake Revenues 11.8 12 11.3 10 9.8 9.8 9.6 10.0 9.1 7.8 8 6.6 6 4 2 0 F2007 F2008 F2009 F2010 F
Slide 19: Transportation – Well-positioned in an attractive market
Transportation – Well-positioned in an attractive market Overall market continues to grow A large number of tenders are planned for the coming years Long-term trends such as urbanization and cost of congestion vis-à-vis price of energy – all favour rail Bombardier Transportation is well-positioned:
Slide 20: Transportation – The road to 8% EBIT
Transportation – The road to 8% EBIT EBIT margins - Transportation Fiscal years 2007-2011, Calendar 2013 Goal 6% Goal 8% Before special items EBIT EBIT* achieved 6.6% 6.2% 5.5% 4.5% 4.0% FY2007 FY2008 FY2009 FY2010 FY2011 C2013 We will reach our goal by: Focus on flawless execution Leverage our proj
Slide 21: Agenda
Agenda Overview Results Aerospace Transportation Conclusion 21
Slide 22: Conclusion
Conclusion Committed to invest in new product development programs Markets with solid long-term demand growth Broad, groundbreaking product offering Technological leadership capturing space in both emerging and mature markets Solid balance sheet with strong liquidity We have what it takes to ensure
Slide 23: Non-GAAP measure
Non-GAAP measure CAUTION REGARDING A NON-GAAP MEASURE This presentation is based on reported earnings in accordance with Canadian generally accepted accounting principles (GAAP). It is also based on Free Cash Flow. This non-GAAP measure is directly derived from the Consolidated Financial Statements,