By Allison Lampert, Megavarshini G. Somasundaram and Nathan Gomes
MONTREAL, Nov 5 (Reuters) - Canadian jet maker Bombardier said on Thursday it was talking with Boeing about the future of a Belfast aerostructures plant, and separately raised its 2026 free cash flow forecast, buoyed by sustained demand for private flying.
Boeing supplies parts for Bombardier jets from the Belfast plant, where the US planemaker divides production with European rival Airbus following Boeing's 2025 acquisition of aerostructures
giant Spirit AeroSystems.
Asked whether Bombardier would consider vertically integrating work from the Belfast Shorts plant, CEO Eric Martel told reporters there's probably "further discussion" to have with the US planemaker on the future of the site, after the plant reported a net loss of $1.16 billion in 2025.
Bombardier shares were down 5.5% in late morning trade.
"The site I think will require investment, will require attention to turn the situation around," Martel said. "We like to have a view, a clear view ... on our supply chain, and vertical integration is clearly one of our strategies."
Boeing declined to comment.
Supply chain snags remain a challenge for jet makers. Bombardier is weighing whether its suppliers could keep up if it produces more planes.
Martel also told analysts the risk of US trade tensions is lower than two years ago.
Bombardier has faced pressure from US President Donald Trump's trade war with Canada, including a threat in September to ban the company's aircraft from the US, the world's largest private aviation market.
Trump dropped the threat ahead of Tuesday's midterm elections, citing Bombardier's operations in Kansas. The state elected its first Democrat to the US Senate in nearly a century as Trump's Republican Party suffered heavy losses.
Martel told reporters his view on trade risk was not linked to the midterms, but rather to the aerospace industry's success in avoiding tariffs.
Demand for charter flights and shared ownership programs, boosted by cash-rich technology investors, have helped underpin demand for private jets, despite economic uncertainty, geopolitical tensions and soaring jet fuel prices.
Bombardier, which produces a special-mission version of its large-cabin Global jets with Sweden's Saab, has also benefited from rising defense spending in Canada and Europe.
Bombardier raised its 2026 free cash flow forecast to more than $1.3 billion, from more than $1 billion, and reiterated plans to deliver more than 157 aircraft this year.
Free cash flow, a closely watched measure of financial health, rose 20% from a year earlier to $183 million in the third quarter, topping analysts' estimate of $159.5 million, according to LSEG data.
Revenue rose 3% to $2.37 billion, even though the planemaker delivered one fewer jet than a year earlier. Bombardier delivered 33 aircraft during the quarter, while services revenue jumped 19% to $701 million, highlighting the strength of its aftermarket business. Analysts had expected revenue of $2.38 billion.
The company said it would hold an in-person investor day on February 18, 2027.
(Reporting By Allison Lampert in Montreal and Megavarshini G. Somasundaram in Bengaluru; Editing by Anil D'Silva, Mark Potter and Nia Williams)
