Embraer is sticking to its 2025 financial and aircraft-delivery goals despite US import tariffs and delays in delivering new E-Jets to bankrupt Brazilian airline Azul.
Executives reiterated the guidance during the manufacturer’s second-quarter earnings call on 5 August, insisting the company is positioned to weather those challenges.
The airframer turned a $79 million second-quarter profit and generated $1.8 billion in revenue, up 22% year on year.
“Our performance in Q2 was brilliant and consistent,” says chief financial officer Antonio Garcia. “Let me reiterate our 2025 guidance.”
That guidance calls for Embraer to deliver 77-85 E-Jets and 145-155 business jets this year, and to generate $7-7.5 billion in revenue with a 7.5-8.3% profit margin before interest and taxes.
The company has a way to go.
In the first half of 2025, it delivered 26 E-Jets and 61 business jets, generating $2.9 billion in revenue.
Commercial aircraft deliveries were light partly due to a “handful” of E-Jets that Embraer found itself unable to deliver in June, says Garcia.
Embraer is now renegotiating delivery terms with Azul and “waiting [for] the lessor to give us authorisation to invoice the aircraft”, he adds without being more specific. “Good discussions [are] ongoing. We are going to find the solution.”
Azul holds unfilled orders for 44 E195-E2s, according to fleet data provider Cirium.
Embraer expects its full-year 2025 earnings before interest and taxes will be 90 basis points less due to US import tariffs.
“We are aware that the second half of the year will bring important challenges, driven mainly by inflationary pressures, foreign exchange rate volatility and ongoing tariffs,” says Garcia.
Embraer ended the second quarter holding orders valued at $29.7 billion, up 40% year on year, a record for the company. The backlog includes $13.1 billion in commercial aircraft orders, $7.4 billion in executive aircraft orders, $4.3 billion in defence orders and $4.9 billion worth of services deals.
Notably during the second quarter, Scandinavia’s SAS ordered 45 E195-E2s (and took options for another 10) and US regional carrier SkyWest Airlines ordered 60 E175s, with options for 50 more.
