Embraer stock rises despite Q1 earnings miss, reaffirms 2025 outlook

Published 06/05/2025, 14:12
Embraer stock rises despite Q1 earnings miss, reaffirms 2025 outlook

Investing.com -- Brazilian aerospace manufacturer Embraer (NYSE:ERJ) saw its shares rise 2.7% on Tuesday after reporting first-quarter earnings that missed analyst expectations, while reiterating its full-year 2025 guidance.

Embraer reported a Q1 adjusted loss of -$0.02 per share, falling short of the breakeven estimate. Revenue for the quarter came in at $1.1 billion, below the consensus estimate of $1.19 billion but marking a 23% increase YoY.

The company highlighted that Q1 results were not impacted by U.S. tariffs.

Despite the earnings miss, Embraer reaffirmed its 2025 guidance, projecting revenue between $7.0 billion and $7.5 billion, compared to the analyst consensus of $7.39 billion.

The company expects to deliver 77 to 85 commercial aircraft and 145 to 155 executive jets for the year.

Embraer delivered 30 jets in Q1, up 20% from 25 aircraft in the same period last year. The firm order backlog reached $26.4 billion, surpassing the previous quarter’s all-time high.

The company’s adjusted EBIT margin improved to 5.6% in Q1, up from 0.8% in the year-ago quarter. Embraer also strengthened its financial position, reducing its net debt-to-EBITDA ratio to 0.5x from 1.8x YoY.

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