Bombardier Inc posted a loss in its latest quarter as job-cut costs at its railcar unit outweighed a 71 percent surge in business jet deliveries, the company said on Wednesday.
Bombardier, the world's top train maker and No 3 manufacturer of civil aircraft, said it lost $9 million, or 1 cent a share, in the third quarter ended October 31, compared with a year-earlier profit of $10 million, or nil per share.
The latest results included $25 million in charges, mainly for job cuts at the train unit. Year-earlier charges were $43 million.
Profit from continuing operations fell to $2 million, or nil per share, from $8 million, or nil per share, a year earlier. Analysts had been expecting Bombardier to earn 2 cents a share before items.
Revenue slipped to $3.3 billion from $3.6 billion on lower rolling stock revenues and orders for its 50-seat CRJ200 jet.
Bombardier said it is still evaluating whether to go ahead with a $2 billion plan to develop the CSeries jet, which would have 110 to 130 seats. The company did not say when it will make a final decision on the project.
Bombardier said its aerospace revenues rose to $1.8 billion from $1.6 billion, largely on higher deliveries of business jets. Aerospace earnings before taxes and interest fell to $28 million from $48 million, mainly because of a slump in the regional aircraft market. "There is no doubt the financial distress facing some of our airline customers had an impact on our results," said Laurent Beaudoin, chairman and chief executive.
Bombardier delivered 74 aircraft in the quarter, up from 69 a year earlier. That included 48 business aircraft, compared with 28 a year earlier, and 26 regional planes, down from 41 in the previous year's third quarter.
Bombardier said it received 57 net orders for business aircraft in the quarter, up from 40 a year earlier.
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