Embraer has delivered 25 jets in the first quarter of 2024 (1Q24), marking a substantial increase of 67% compared to the 15 aircraft delivered in 1Q23. Notably, Executive Aviation witnessed robust delivery growth, soaring from eight to 18 jets during the same period in 2023. These deliveries represent the highest first-quarter performance in the last eight years and they have more than doubled year-on-year. Meanwhile, Commercial Aviation saw flat year-on-year deliveries, remaining at seven aircraft.
Embraer delivered 12% of the total aircraft implied by the mid-point of the current year guidance for both Executive and Commercial Aviation (25 out of 206). The company has devised and is presently implementing a plan to mitigate its business seasonality. The production levelling plan aims to maintain a stable production pace throughout the calendar year in the near-to-medium-term future.
The company’s backlog surged by 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 most substantial increase occurred in Commercial Aviation (US$2.3 billion or 26%), while the smallest was in Defense and Security (-US$0.1 billion or –4%).
Executive Aviation sustained its sales momentum with strong demand across its entire product range and robust customer acceptance in both retail and fleet markets. Deliveries in the light jets segment increased by 83% year-on-year, and more than tripled in the medium jets segment compared to 1Q23. Consequently, Executive Aviation ended with a US$4.6 billion backlog in 1Q24, marking a sequential increase of US$300 million. The Defense and Security backlog reached US$2.4 billion (-4% quarter-on-quarter) in 1Q24.
Services and Support remains a key driver of Embraer’s growth, leveraging operational excellence, customer experience and innovative solutions. The backlog for this business unit remained flat sequentially at US$3.1 billion in 1Q24.
Commercial Aviation boasted a US$11.1 billion backlog, which is US$2.3 billion higher than in 4Q23. The standout of the quarter was the deal with American Airlines for 90 E175s, with purchase rights for an additional 43 jets, aimed at meeting domestic demand in the United States. Additionally, Embraer delivered one E195-E2 to Azorra, which will operate under the Royal Jordanian flag.
