PR Newswire
- Strong overall backlog volume of US$ 21.1 billion (+13% QoQ)
- American Airlines placed a firm order for 90 E175 jets
- Commercial Aviation backlog rose US$2.3 billion (+26% QoQ)
- 1Q Executive Aviation deliveries were the highest of the last 8 years
SÃO JOSÉ DOS CAMPOS, Brazil , April 19, 2024 /PRNewswire/ -- Embraer (NYSE: ERJ; B3: EMBR3) delivered 25 jets in 1Q24, an increase of 67% compared to the 15 aircraft delivered in 1Q23. Executive Aviation showed robust delivery growth, soaring from 8 to 18 jets during the period. The number of deliveries was the highest 1Q of the last 8 years, and more than doubled YoY. Meanwhile, for Commercial Aviation, deliveries were flat YoY at 7 aircraft.
Deliveries by Segment |
1Q23 |
1Q24 |
2024 Guidance |
|
|
|
|
Executive Aviation |
8 |
18 |
125-135 |
Phenom 100 |
2 |
1 |
|
Phenom 300 |
4 |
10 |
|
Light Jets |
6 |
11 |
|
Praetor 500 |
- |
3 |
|
Praetor 600 |
2 |
4 |
|
Medium Jets |
2 |
7 |
|
|
|
|
|
Commercial Aviation |
7 |
7 |
72-80 |
E195-E2 |
5 |
4 |
|
E175 |
2 |
3 |
|
|
|
|
|
Total |
15 |
25 |
197-215 |
Embraer delivered 12% of the total number of aircraft implied by the mid-point of the current year guidance for both Executive and Commercial Aviation (25 out of 206). The company has developed, and it is currently implementing, a plan to mitigate its business seasonality. The Production Leveling plan main objective is to have a stable production pace throughout the calendar year in the near to medium-term future.
The company's backlog increased US$2.4 billion or 13% sequentially to US$21.1 billion in 1Q24, compared to a total backlog of US$18.7 billion in 4Q23. The biggest increase happened in Commercial Aviation ( US$2.3 billion or 26%) while the smallest one was in Defense & Security (- US$0.1 billion or –4%).
Backlog by Segment - US$bn |
4Q23 |
1Q24 |
QoQ |
|
|
|
|
Executive Aviation |
4.3 |
4.6 |
7 % |
Defense & Security |
2.5 |
2.4 |
-4 % |
Commercial Aviation |
8.8 |
11.1 |
26 % |
Services & Support |
3.1 |
3.1 |
0 % |
|
|
|
|
Total |
18.7 |
21.1 |
13 % |
Executive Aviation kept its sales momentum with sustained demand across its entire product portfolio and strong customer acceptance, in both retail and fleet markets. The number of deliveries increased 83% YoY in the light jets segment, and more than tripled in the medium jets one compared to 1Q23. Consequently, Executive Aviation ended with a US$4.6 billion backlog in 1Q24, for a US$ 300 million sequential increase.
In Defense & Security, the first C-390 Millennium of the Hungarian Air Force successfully completed its maiden flight. The aircraft is now undergoing a mission systems integration test campaign, ahead of its entry into service. Another important milestone in the quarter was the first Embraer Defense Day in the United States ; an event during which the C-390 Millennium and the A-29 Super Tucano were showcased to government authorities, military officials, prospects, and partners at our facilities in Melbourne, Florida . The C-390 selection by some countries in the EMEA and APAC regions has not yet been incorporated into the backlog, which represents a significant source of upside potential for the coming quarters. The Defense & Security backlog reached US$2.4 billion (-4% QoQ) in 1Q24.
Services & Support continues to be one of the main drivers of Embraer's growth through a combination of operational excellence, customer experience, and innovative solutions. The business unit backlog finished the period sequentially flat at US$ 3.1 billion in 1Q24.
Commercial Aviation posted a US$11.1 billion backlog, or US$2.3 billion higher than in 4Q23 . The highlight of the quarter was the deal with American Airlines for 90 E175s, with purchase rights for another 43 additional jets, to meet domestic demand in the United States . Also, Embraer delivered one E195-E2 to Azorra, which will fly under the Royal Jordanian flag.
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SOURCE Embraer S.A.