The Successful Investor Hotline – Friday, October 31, 2014

Article Excerpt

BOMBARDIER INC., Toronto symbols BBD.A $3.77 and BBD.B, $3.71, reported better-than-expected quarterly results this week. Without costs related to its recent restructuring, which included laying off 2% of its workforce, Bombardier’s earnings rose 34.5% in the quarter ended September 30, 2014, to $222 million, or $0.12 a share (all amounts except share prices in U.S. dollars). That beat the consensus estimate of $0.10 a share. A year earlier, the company earned $165 million, or $0.09 a share. Overall revenue gained 20.9%, $4.9 billion from $4.1 billion, also beating the consensus forecast of $4.82 billion. Revenue at Bombardier’s aircraft division (52% of the total) jumped 28.7%. The company delivered 71 planes in the latest quarter, up from 45 a year earlier. It also received orders for 76 aircraft (net of cancellations), compared to 26 a year ago. The aircraft business ended the quarter with a backlog of $37.9 billion, up 1.6% from $37.3 billion at the end of 2013. Meanwhile, new contracts from public transit…