Embraer Reports Record Q2 2025 Revenue, Delivers 61 Aircraft, and Increases Executive Aviation Revenue by 64% YoY.

Embraer reported record Q2 2025 revenue of $1.819 billion, up 22% YoY, and delivered 61 aircraft, a 30% increase from the previous year. Executive Aviation revenue soared by 64% YoY, highlighting exceptional performance. Embraer achieved an adjusted EBIT of $191.8 million, with a margin of 10.5%, up from 9.3% in Q2 2024. The company's firm order backlog reached an unprecedented $29.7 billion, providing solid revenue visibility for future growth.

Embraer, a Brazilian aerospace giant, delivered a robust performance in the second quarter of 2025, reporting record revenue and a substantial backlog that underscores its resilience in the face of global economic volatility and U.S. tariff threats. The company's Q2 revenue surged 22% year-over-year (YoY) to $1.819 billion, marking a significant milestone for the industry [1].

Key highlights of Embraer's Q2 performance include:

- Revenue Growth: The company's revenue jumped 22% YoY to $1.819 billion, the highest second-quarter revenue in its history [2].
- Backlog Expansion: Embraer's firm order backlog reached a record $29.7 billion, a 40% increase from the previous year, driven by strong demand across commercial, executive, and defense segments [1].
- Executive Aviation: The Executive Aviation segment experienced a remarkable 64% YoY revenue increase, highlighting exceptional performance and growth potential [2].
- Delivery Performance: The company delivered 61 aircraft in Q2, a 30% increase from the same period last year, including 19 commercial jets and 38 executive jets [2].

Embraer's operational efficiency and strong demand were reflected in its adjusted EBIT margin, which reached 10.5%, up from 9.3% in Q2 2024. Despite a negative adjusted free cash flow of $161.6 million, primarily due to production ramp-up, the company's reaffirmed guidance for 2025 revenue ($7.0 to $7.5 billion) and EBIT margins (7.5% to 8.3%) underscores its confidence in converting its backlog into profit [2].

The company's strategic investments in the U.S., including a $1 billion expansion, have helped mitigate the impact of U.S. tariffs and secure a 10% tariff cap. Embraer's proactive approach to tariff management has not only insulated the company from short-term risks but also positioned it to capitalize on long-term growth opportunities [1].

Embraer's focus on innovation, particularly in sustainable technologies like hydrogen and ethanol-powered aircraft, and its commitment to high-margin segments such as executive aviation and defense, further bolster its long-term growth prospects. The company's ability to navigate geopolitical risks and maintain a diversified order backlog positions it as a resilient player in the aerospace sector.

References:
[1] https://www.ainvest.com/news/embraer-q2-performance-strategic-position-tariff-uncertainty-bullish-case-long-term-resilience-2508/
[2] https://leehamnews.com/2025/08/05/embraer-reports-record-q2-revenue-and-backlog-reaffirms-2025-outlook/