UBS: Bombardier To Reclaim Large Bizjet Market Share

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UBS: Bombardier To Reclaim Large Bizjet Market Share

Thanks to the expected service entries of its Global 7500 later this year and Global 5500 and 6500 next year, Bombardier Business Aircraft is likely to pick up more market share of the large-cabin business jet market at Gulfstream Aerospace’s expense, according to a recent report from UBS Global Research. “Bombardier has been conceding share to Gulfstream for the last few years,” UBS said, especially as the Canadian aircraft manufacturer’s Global 7500 program suffered delays.

“On the back of a sold-out Global 7500 backlog through 2020, we see Bombardier clawing its market share back to 40 percent,” said UBS analyst Myles Walton. “Other product refreshes for the Global 5000 [now the Global 5500] and the Global 6000 [now the Global 6500] should help Bombardier maintain its production levels on those two platforms, but given the clean-sheet design of the G500 and G600 at Gulfstream, we would expect Bombardier’s head-to-head product offering there to fall a bit short of Gulfstream.”

Bombardier has garnered an average of about 37 percent of the large-cabin jet market share by units over the past decade, hitting a recent high of about 40 percent in 2014 and low of 33 percent last year. However, this could potentially exceed 40 percent in both units and value by 2020 as Bombardier delivers its new Globals to customers, UBS said.

by AINalerts: August 28, 2018

2018-08-29T11:27:23-06:00 August 29th, 2018|Aviation News, Blog|