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Embraer Q2 revenue jumps 23pc to record $2.2bn

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Embraer reported record second-quarter revenue of $2.2 billion for 2Q26, up 23% from the same period last year, as stronger aircraft deliveries and demand across its business units boosted performance.

The Brazilian aerospace company posted adjusted EBIT of $296.9 million, representing a 13.3% margin.

Adjusted free cash flow, excluding Eve, reached $401 million, supported by improved operating performance, sales-related pre-downpayment inflows and an extraordinary tax credit.

Embraer raised its full-year 2026 guidance following the tax credit, tariff exemptions and an improved business outlook.

The company now expects an adjusted EBIT margin of 10% to 10.6%, compared with its previous forecast of 8.7% to 9.3%.

Adjusted free cash flow excluding Eve is expected to reach at least $400 million, double the previous minimum target of $200 million.

Adjusted net income rose to $218.6 million in 2Q26 from $158 million a year earlier.

Net income attributable to shareholders increased to $212.6 million, while earnings per American Depositary Share rose to $1.1880 from $0.4283 in 2Q25.

Defence & Security was among the strongest performers, with revenue increasing 38% year-over-year to $304 million.

Growth was driven by higher KC-390 Millennium revenue recognition, while its adjusted EBIT margin improved to 11.9% from 9.2%.

Executive Aviation revenue climbed 32% to $725 million, supported by higher volumes and a favourable product mix. Services & Support revenue increased 24% to $565 million, while Commercial Aviation revenue rose 8% to $625 million.

Embraer delivered 65 aircraft during the quarter, its strongest second-quarter performance in 16 years and 7% above 2Q25.

First-half deliveries reached 109 aircraft, up about 20% from 91 a year earlier.

The company’s backlog also reached a record $34.5 billion, marking a 16% year-over-year increase and its seventh consecutive quarterly rise.

Embraer invested $120.8 million during the quarter, rising to $151 million when including Eve. -TradeArabia News Service

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