Particle.news
Download on the App Store

Embraer Sets 2026 Guidance After Record 2025, Citing Tariff Assumptions

A record backlog with longer-dated debt underpins targets that incorporate 10% U.S. import tariffs.

An airplane adorns the roof at Embraer headquarters and aircraft factory in Sao Jose dos Campos, Brazil July 16, 2025. REUTERS/Roosevelt Cassio/File Photo

Overview

  • The company guided to 80–85 commercial and 160–170 executive jet deliveries in 2026, $8.2–$8.5 billion in revenue, an 8.7%–9.3% adjusted EBIT margin, and free cash flow of at least $200 million.
  • Embraer reported 2025 revenue of $7.578 billion, up 18% to a company record, with adjusted EBIT of $656.8 million for an 8.7% margin.
  • Adjusted free cash flow excluding Eve reached $491.2 million for 2025 and $738.3 million in 4Q25, ending the year with $109.3 million net cash and an extended average loan maturity of 9.1 years from 3.7 years in 4Q24.
  • Deliveries totaled 244 aircraft in 2025, including 78 commercial and 155 executive jets, supporting a record $31.6 billion firm backlog and a 2.8x commercial book‑to‑bill that lifted the segment backlog 42% year over year.
  • Management said the projections are estimates subject to risk, and the 2026 margin outlook assumes 10% U.S. import tariffs after tariffs cost $27 million in 4Q25 and $54 million for the full year.