Embraer SA (NYSE: ERJ) shares surged 5% in pre-market trading on Tuesday following the release of its first-quarter 2025 earnings results. The Brazilian aerospace company reported revenues of $1.1 billion, meeting analysts' expectations and marking its best first quarter since 2016.
The company's Q1 performance showed significant improvement across several key metrics: - Revenues increased by 23% year-over-year - Adjusted EBIT reached $62.0 million with a 5.6% margin, up from 0.8% in Q1 2024 - Defense & Security revenues grew by an impressive 72% compared to the same period last year - Embraer delivered 30 jets in Q1 2025, a 20% increase from the previous year
Embraer also reaffirmed its 2025 guidance, projecting Commercial Aviation deliveries between 77 and 85 aircraft, and Executive Aviation deliveries between 145 and 155 aircraft. The company expects total revenues for the year to range between $7.0 to $7.5 billion, with an adjusted EBIT margin of 7.5% to 8.3%.
Investors appear to be reacting positively to Embraer's strong start to the year and its optimistic outlook. The company's firm order backlog of $26.4 billion in Q1 2025 surpassed its all-time historical high set in the previous quarter, indicating robust demand for its aircraft and services.