EMBRAER EARNINGS RELEASE 1Q26
Rhea-AI Summary
Embraer (NYSE: EMBJ) reported 1Q26 results on May 8, 2026. Revenues were US$1,447 million, a +31% year-over-year and the highest 1Q on record. Adjusted EBIT was US$94.0 million (6.5% margin). Deliveries totaled 44 aircraft (+47% yoy). Firm backlog reached US$32.1 billion, an all-time high and >20% higher yoy. Guidance was reiterated: 2026 revenue target US$8.2–8.5 billion, adjusted EBIT margin 8.7%–9.3% (assuming 10% U.S. import tariffs), and adjusted free cash flow ex-Eve of ≥US$200 million.
Adjusted free cash flow ex-Eve was US$(447.1) million in 1Q26 as the company prepared for higher deliveries; U.S. import tariffs totaled US$13 million.
AI-generated analysis. Not financial advice.
Positive
- Revenue +31% YoY to US$1,447 million
- Deliveries +47% YoY with 44 aircraft in 1Q26
- Backlog US$32.1B — all-time high, >20% higher yoy
- Company reiterated 2026 guidance: US$8.2–8.5B revenue and adj FCF ex-Eve ≥US$200M
Negative
- Adjusted free cash flow ex-Eve US$(447.1)M in 1Q26
- U.S. import tariffs cost US$13M (92 basis points) in the quarter
- US$11M of inventory related to tariffs expected in 2Q26
News Market Reaction – EMBJ
On the day this news was published, EMBJ declined 11.28%, reflecting a significant negative market reaction. Argus tracked a trough of -8.4% from its starting point during tracking. Our momentum scanner triggered 78 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $1.56B from the company's valuation, bringing the market cap to $12.24B at that time. Trading volume was above average at 1.8x the daily average, suggesting increased trading activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| May 05 | Earnings update | Neutral | +0.5% | Pre-operational results and liquidity update for Eve Holding entity. |
| Apr 10 | Management change | Positive | +1.9% | Appointment of long-tenured executive as new CFO/IR head. |
| Mar 06 | Capital allocation | Positive | +4.4% | Completion of share buyback program and unwinding of equity swaps. |
| Mar 06 | Earnings & guidance | Positive | -7.2% | Strong FY25 results and issuance of 2026 guidance with higher targets. |
| Mar 06 | Guidance detail | Positive | -7.2% | Publication of detailed 2026 delivery, revenue, margin and FCF guidance. |
Shares have sometimes sold off on strong guidance or results, while reacting positively to buybacks and capital actions.
Over recent months, Embraer reported solid FY25 results, with revenues of US$7,578m and an all‑time high backlog of US$31.6bn, and issued 2026 guidance for revenue of US$8.2–8.5bn and higher margins. Guidance and related news on March 6, 2026 saw a negative price reaction of about -7.19%, even as a share buyback completion the same day coincided with a positive move. The new 1Q26 release reiterates that guidance while highlighting record first‑quarter revenues and another backlog high.
Market Pulse Summary
The stock dropped -11.3% in the session following this news. A negative reaction despite record 1Q revenue of US$1,447m and an all‑time high backlog of US$32.1bn would fit prior patterns where strong guidance on March 6, 2026 coincided with a -7.19% move. Investors may focus on the US$(447.1)m free cash outflow and exposure to U.S. import tariffs. Sustainability of higher deliveries and margins, rather than backlog alone, could remain a key concern.
Key Terms
adjusted EBIT financial
free cash flow financial
book-to-bill financial
backlog financial
AI-generated analysis. Not financial advice.
SÃO PAULO, May 8, 2026 /PRNewswire/ -- EMBRAER S.A. (NYSE: EMBJ; B3: EMBJ3) RELEASES ITS 1Q26 EARNINGS.
HIGHLIGHTS
- Guidance reiterated. From an operational point of view, Commercial Aviation deliveries between 80 and 85 aircraft and Executive Aviation deliveries between 160 and 170 aircraft. From a financial point of view, revenues in the
US to$8.2 US range, adjusted EBIT margin between$8.5 billion 8.7% and9.3% (with10% U.S. import tariffs), and adjusted free cash flow w/o Eve ofUS or higher for the year.$200 million - Revenues totaled
US in 1Q26 – highest 1Q level ever – and +$1,447 million 31% year over year (yoy). Highlights for Defense & Security and Commercial Aviation with +63% and +45% yoy growth.
- Adjusted EBIT reached
US with a +$94.0 million 6.5% margin in 1Q26 (+5.6% in 1Q25).U.S. import tariffs totaledUS during the quarter (92bp), and there were another$13 million US in inventory for 2Q26.$11 million
- Adjusted free cash flow w/o Eve was
US during the period in preparation for a higher number of aircraft deliveries in the coming quarters.$(447.1) million
- Embraer delivered 44 aircraft in 1Q26, of which 10 were commercial jets (4 E2s and 6 E1s), 29 were executive jets (16 small and 13 medium) while 5 were defense related (1 KC-390 Millennium and 4 A-29 Super Tucano); +
47% versus the 30 aircraft delivered yoy.
- Firm order backlog of
US in 1Q26 – an all-time high and more than$32.1 billion 20% higher yoy. Highlight for Commercial Aviation 3.0x book-to-bill LTM across the E175 and E2 platforms, which supported a +50% yoy increase in backlog. For more information, please see our 1Q26 Backlog and Deliveries release.
- To access the spreadsheet containing the data available on our Investor Relations website click here.
For additional information, please check the full document on our website ri.embraer.com.br
Embraer will host a conference call to present its 1Q26 results on:
Friday, May 8, 2026
ENGLISH: 8:00 AM (NY Time) / 9:00 AM (SP Time).
Translation to Portuguese.
To access the webcast click here.
Zoom webinar: 818 3876 4674
We recommend you join 15 minutes in advance.
View original content:https://www.prnewswire.com/news-releases/embraer-earnings-release-1q26-302766847.html
SOURCE Embraer S.A.