Brazilian aerospace manufacturer Embraer reported fourth-quarter revenue of $2.65 billion, bringing its total revenue for 2025 to a record $7.58 billion.
According to a statement published by the company on Friday, the amount exceeded the upper end of the company’s projection and marks an 18% year-over-year rise.
Strong performance in a number of business areas contributed to the year’s growth.
Defense & Security and Executive Aviation were identified by the corporation as the primary sources of revenue growth.
Executive Aviation revenues rose 25% over the prior year, while Defense & Security revenues surged 36% annually.
The outcomes show a year with increased aircraft deliveries and sustained demand for several of Embraer’s product lines.
Profitability outpaces advice
In the fourth quarter, adjusted EBIT came to US$298.4 million, or an 8.7% margin.
The company reported adjusted EBIT of US$656.8 million with an 8.7% margin for the entire year, both of which exceeded expectations.
In contrast, the company’s adjusted EBIT in 2024, which did not include Boeing-related effects, was US$558.2 million, or an 8.7% margin.
US import duties totalled US$27 million, or 102 basis points, for the fourth quarter. Tariffs totalled US$54 million for the entire year.
Robust net cash position and cash flow
The fourth quarter’s adjusted free cash flow, excluding Eve, was US$738.3 million, while the entire year’s adjusted free cash flow was US$491.2 million.
A greater number of aircraft supplied during the year, according to the firm, backed the performance.
With Eve excluded, Embraer’s net cash position at the end of 2025 was US$109.3 million.
Liability strategy extends debt maturity
The company also highlighted progress in its financial structure through its liability management strategy.
According to Embraer, the strategy materially increased the average loan maturity to 9.1 years in the fourth quarter of 2025, compared with 3.7 years in the fourth quarter of 2024, excluding Eve.
Aircraft deliveries increase in 2025
Embraer delivered 91 aircraft during the fourth quarter of 2025.
Of those deliveries:
• 32 were commercial jets, including 18 E2 aircraft and 14 E1 aircraft.
• 53 were executive jets, including 28 light jets and 25 medium jets.
• 6 were defense aircraft, consisting of 2 KC‑390 Millennium and 4 A‑29 Super Tucano.
For the full year, Embraer delivered 244 aircraft, representing an 18% increase compared with the 206 aircraft delivered in 2024.
The 2025 deliveries included:
• 78 commercial jets, consisting of 44 E2 aircraft and 34 E1 aircraft.
• 155 executive jets, including 86 light jets and 69 medium jets.
• 3 multi-mission KC-390 Millennium aircraft.
• 8 A-29 Super Tucano aircraft in the Defense & Security segment.
Keep track of the order backlog
In the fourth quarter of 2025, Embraer reported a firm order backlog of US$31.6 billion, which was a record for the business.
The backlog number increased by nearly 20% from the previous year.
The business reported a 2.8x book-to-bill ratio across the E175 and E2 platforms, indicating that Commercial Aviation had a significant role in the growth.
The Commercial Aviation backlog increased by 42% year over year as a result of this performance.
What can we expect in 2026?
Looking ahead, Embraer provided operational and financial guidance for 2026.
From an operational perspective, the company expects:
• Commercial Aviation deliveries between 80 and 85 aircraft.
• Executive Aviation deliveries between 160 and 170 aircraft.
From a financial standpoint, Embraer forecasts:
• Revenues between US$8.2 billion and US$8.5 billion.
• An adjusted EBIT margin between 8.7% and 9.3%, assuming 10% US import tariffs.
• Adjusted free cash flow excluding Eve of US$200 million or higher.
This outlook incorporates ongoing expectations for the company’s overall financial performance and aircraft deliveries.
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