© Reuters. A Bombardier Global 6500 aircraft is pictured during the European Business Aviation Convention & Exhibition (EBACE) in Geneva, Switzerland, May 23, 2022. REUTERS/Denis Balibouse

By Allison Lampert

MONTREAL (Reuters) – Canadian business jet maker Bombardier (OTC:) Inc on Thursday raised its 2025 revenue and free cash flow targets at its investor day, capitalizing on strong demand for private flights.

Montreal-based Bombardier said in a statement it is now targeting more than $9 billion in annual revenue by 2025, up from an earlier objective for that year of about $7.5 billion.

Bombardier’s full-year revenue reached $6.9 billion in 2022.

The company is now expected to generate more than $900 million in free cash flow, a closely watched metric, by 2025, up from earlier estimates of greater than $500 million.

Corporate jet makers have reported swelling order backlogs on persistent strong demand for private flying, especially in the United States, the world’s largest market for business aviation. But while demand continues to be strong, supply chain snags and fears of a recession remain headwinds.

Bombardier also said it anticipates tripling its revenues from defense sales and services to more than $1 billion in the second half of the decade.

Chief Executive Eric Martel said previously the company’s defense business for special mission business jets could grow to a possible $1 billion in annual revenues.

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