By Fred Vergneres and Textron
When the first quarter results for the group as a whole were released on April 30, Textron reported that Bell’s revenues were $823 million, up $84 million (11% over last year), mainly due to higher military volume, partially offset by lower commercial volume. Earnings of $115 million increased by $11 million, again mainly due to higher military volume.
The results included $25 million of net favourable program adjustments, partially offset by lower research and development expenses. For Scott Donelly, Textron CEO, “the group is well-prepared to handle this period of uncertainty. Our financial profile consists of ample liquidity and diversified revenue streams. We are confident in the actions we are taking during this downturn and we expect them to position us for success as we begin to exit this global shutdown.“
This good news offsets the covid-19 effect which forced the helicopter manufacturer to reduce production and therefore aircraft deliveries. The company announced the delivery of 15 commercial helicopters during the quarter, compared to 30 last year. To deal with the current crisis situation, both in terms of health and the economy, the group, in the words of its CEO, “have taken measures to reduce cost and conserve cash, including temporary plant shutdowns and employee furloughs at many of our commercial businesses. »
At the end of this first quarter, the manufacturer’s order book stood at $6.4 billion.
