Embraer has posted consolidated revenue of US$4.5 billion in 2022 representing an increase of 8.2% y-o-y. On a q-o-q comparison, revenues increased by 53%. The company’s total revenue closed the year within the guidance range of US$4.5 – 5.0 billion.
- Commercial Aviation reported revenue growth of 17% y-o-y to US$1,543.9 million due to an additional nine deliveries in 2022. Reported gross margin of 10.5% versus 4.0% reported in 2021 shows, a 6.5% improvement due to higher deliveries, positive contribution from price and cost balance and one-time action.
- Executive Aviation revenues were US$1,244.4 million, 10% higher y-o-y, driven by nine additional aircraft delivered compared to 2021. Reported gross margin of 23.4% versus 18.3% reported in 2021 due to better cost absorption on higher volume and one time action.
- Defense & Security revenue of US$447.6 million, 24.7% lower y-o-y due to less Super Tucanos delivered in 2022. Reported gross margin of 21.6% versus 17.8% reported in 2021.
- Services & Support reported revenues of US$ 1,266.8 million, representing y-o-y growth of 12%. Reported gross margin of 28.0% higher than 26.9% reported in 2021, bolstered by revenues from “pay by the hour” components in Commercial Aviation and by market share growth in Executive Aviation.
EBIT AND ADJUSTED EBIT
Excluding special items, 4Q22 Adjusted EBIT was US$166.2 million and the period’s Adjusted EBIT margin was 8.3%, compared to Adjusted EBIT of US$56.3 million and Adjusted EBIT margin of 4.3% in 4Q21.
For fiscal year 2022, Adjusted EBIT, excluding special items mentioned above, was US$270.3 million, and the year’s Adjusted EBIT margin was 6.0%, which compares to the 2021 Adjusted EBIT of US$167.0 million and Adjusted EBIT margin of 4.0%. The higher Adjusted EBIT in 2022 was driven by volume/mix, enterprise and tax efficiencies, partially offset by provision and SG&A.
NET INCOME (LOSS)
Net income attributable to Embraer shareholders and income per ADS for 4Q22 were US$22.9 million and US$0.1247 per share, respectively, compared to US$2.1 million in net profit attributable to Embraer shareholders and US$0.01 in income per ADS in 4Q21. In 2022, net loss attributable to Embraer shareholders was US$ (185.4) million and Loss per ADS was US$ (1.0095). (£1.00 = US$1.22 at time of publication)