(Finance) – Moody’s ha the Outlook modified Of BombardierCanadian company activates in the aerospace sector, From stable to positive. At the same time, the Corporate Family Rating (Cfr) confirmed by “B1”.
“The change of the positive outlook reflects the increase in bombardier profits, the growth of its higher after-sales services, a stable order portfolio of 14.4 billion dollars e debt reimbursement plans that will reduce the lever“He said Jamie Koutsoukis, Moody’s Raws analyst.
Moody’s highlights that Bombardier has made progress in his strategic priorities, with a consequent improvement of margins and profits and a reduction in the level of absolute debt. The company generated a Free Cash Flow positive since 2021 and his rectified operating margin has increased to over 10% in 2024compared to 4% of 2021
Bombardier’s CFR benefits from: 1) excellent liquidity for next year; 2) significant dimensions; 3) a solid market position in the private jet market; and 4) an orders portfolio of $ 14.4 billion. The Bombardier rating is limited by: 1) its participation in the cyclical market of private jets, which has numerous strong competitors and a base of niche customer; and 2) high fixed charges of approximately $ 700 million a year (interest and capital interests) that can limit the company’s free cash flow.