Bombardier reveals NetJets as buyer of 12 Challenger business jets
2024.05.01 13:09
(Reuters) -Canada’s Bombardier (OTC:) said on Wednesday NetJets was the customer for the order of 12 Challenger 3500 business jets announced in December.
At list prices, the order was valued at $326.4 million at the time of signing, but could amount to more than $6 billion if NetJets exercises its option for all 232 jets.
Ahead of its investor day on Wednesday, Bombardier said it was on track to hit its 2025 goals, which include revenue rising to over $9 billion.
The business jet-maker added it was a year ahead in meeting its objective of growing its services revenue to $2 billion by 2025.
Bombardier also set a goal to improve its revenue share from aftermarket, defense and pre-owned businesses to about 50% of annual revenue by 2030 from 31% in 2023.
Bombardier’s shares were up 6%, after its investor day presentation.
The planemaker said it would take an approach focused on a return on invested capital in deploying resources beyond 2025.
“It is now clear that Bombardier will not be announcing any large, new multi-billion-dollar capital investment programs such as a new clean sheet design, one of investors’ main concerns,” said Desjardins analyst Benoit Poirier.
