Story ID: 
Embraer: Now Is Harvest Time
By: Curt Epstein
Caption: Based on recent investments in product development, the airframer is now reaping the fruits of its labors
Word Count: 291
Speaking at the Embraer Media Day presentation in New York City this morning, Embraer president and CEO Francisco Gomes Neto said the company is now reaping the harvest from the investments and changes it made in recent years. He pointed to the portfolio of new products the Brazilian manufacturer has introduced over the past decade in its commercial, defense, and private aviation markets.
This includes the E-Jets E2, the C-390 Millennium military transport, and, on the private aviation side, the Praetor family and upgrades to its Phenom light jets. Neto credits this modern portfolio with higher revenues.
He explained that Embraer currently employs a staff of 100 engineers committed to developing production efficiencies and cost reduction, which has allowed it to not only maintain margins on its products but even increase them in some cases. One of the company’s standing projects is to reduce the production time of its aircraft by 30 percent by the end of 2025.
“By the end of this year, even with the difficulties in the supply chain, we will be able to achieve almost 20 percent off the time of production,” Neto stated. Based on these factors, he expects company revenues to total $5.7 billion this year, a 20 percent increase from 2022. Neto added that that number could rise by another 20 percent in 2024.
Antonio Carlos Garcia, the airframer’s CFO, said its executive aircraft division currently accounts for nearly 24 percent of Embraer’s $17.8 billion backlog. It has delivered 66 jets through the third quarter and expects a busy fourth quarter to bring it up to 120 deliveries for the year. “Probably we are going to be spending Christmas inside the factory,” he noted, adding that supply-chain delays are still creating a fluid situation.