Embraer Ends 2024 with Strong Growth, Record Backlog of $26.3B

Embraer has shown significant financial growth and navigated challenges over the past year, making a strong comeback. The company is increasing productivity to meet its growing backlog, with notable sales growth in both Commercial Jets and the C-390.

For 2025, Embraer estimates deliveries of 77 to 85 commercial aircraft, reflecting a 10% year-over-year (YoY) increase, and 145 to 155 executive jets, marking a 15% YoY growth. Financially, the company forecasts revenues between $7.0 to $7.5 billion, a 13% YoY increase, with an adjusted EBIT margin between 7.5% and 8.3% (down 80 basis points YoY, excluding Boeing-related impacts). Additionally, Embraer expects an adjusted free cash flow of $200 million or more.

This performance underscores Embraer’s resilience and strong momentum in the industry.

Key Highlights

• 2025 Forecast:
  • Commercial Aviation: 77 to 85 aircraft deliveries
  • Executive Aviation: 145 to 155 aircraft deliveries
  • Revenue: Expected between $7.0 billion and $7.5 billion
  • Adjusted EBIT Margin: 7.5% to 8.3%
  • Adjusted Free Cash Flow: At least $200 million
• 2024 Financial Performance:
  • Revenue: $2.31 billion in Q4 2024 and $6.4 billion for the year – the highest ever, up 21% year-over-year (YoY), driven by strong Defense & Security growth (+40% YoY).
  • Adjusted EBIT: $265.1 million (11.5% margin) in Q4 and $708.2 million (11.1% margin) for 2024, exceeding expectations.
  • Cash Flow: Adjusted free cash flow (excluding Eve) was $995.5 million in Q4 and $675.6 million in 2024, helped by increased aircraft deliveries, strong sales (pre-downpayments), and a Boeing arbitration settlement.
  • Debt Position: Net debt reduced to $110.7 million by the end of 2024, with a net debt-to-EBITDA ratio of 0.1x, down from 1.4x in 2023.
• Credit Rating Upgrade:
  • In December 2024, Moody’s upgraded Embraer’s credit rating from “Ba1” to “Baa3”, classifying it as Investment Grade (IG) along with all three major U.S. rating agencies.
• Aircraft Deliveries in Q4 2024:
  • Total deliveries: 75 jets
  • Commercial Jets: 31 (20 E2s, 11 E1s)
  • Executive Jets: 44 (22 light, 22 medium)
• 2024 Total Deliveries:
  • 206 aircraft delivered, up 14% YoY
  • Commercial Jets: 73 (47 E2s, 26 E1s)
  • Executive Jets: 130 (75 light, 55 medium)
  • Defense & Security: 3 multi-mission C-390 Millennium aircraft
• Record-High Order Backlog:
  • $26.3 billion in Q4 2024, the highest in Embraer’s history, up 40% YoY and 16% quarter-over-quarter (QoQ).