Canada’s Bombardier profit drops on lower transportation demand

Plane and train maker Bombardier Inc (TO:BBDb) posted a 31% fall in third-quarter profit on Thursday, hurt by weak performance of its transportation unit due to COVID-19-driven disruptions.

The Montreal-based company, which is in the process of closing a deal to sell its rail division to French train maker Alstom SA (PA:ALSO), said revenue at its transportation unit fell 2.5%.

Business jet deliveries were also lower in the quarter, falling to 24 units from 31 a year earlier.

Bombardier, which aims to break even on free cash flow in 2020, reported quarterly free cash flow of $706 million.

The company reported adjusted earnings before interest, taxes, depreciation and amortization of $176 million for the quarter ended Sept. 30, compared with $255 million a year earlier.