Embraer’s Executive Aviation division was a primary contributor to positive year-end and fourth-quarter results announced today by the company. The Brazilian aerospace and defense group delivered 130 Phenom and Praetor business jets last year, accounting for almost two-thirds of total deliveries, which also included 73 airliners and three of the C-390 Millennium multi-role military aircraft. Deliveries could rise by about 20% this year, with the company projecting shipments of 145 to 155 business jets and 77 to 85 airliners in 2025.

Group-wide revenues for the full 12-month period reached $6.395 billion, which was 21% up from 2023 and close to the very top of Embraer’s earlier guidance for 2024. Revenues in the Executive Aviation division increased at a slightly higher rate of 25% to $1.763 billion, and the business unit was the second-largest contributor to adjusted earnings, accounting for $206 million out of the $708 million total.

The Services division was the highest source of earnings at $270 million, partly driven by increased support for business jet operators, including Flexjet, according to the company. Commercial Aviation generated $55 million in earnings, while Defense & Security contributed $45 million to the total.

Among the reported 2024 sales, Embraer included the $7 billion contract with Flexjet for 182 business jets and options for 30 more, even though this deal was only announced a few weeks ago on February 5. The most significant commercial aviation sale last year came from American Airlines, which placed firm orders for 90 of the E175 regional twinjet, plus options for 43 more. Other new orders came from Luxair, Mexicana, Virgin Australia, and LOT Polish. Firm order backlog at the end of 2024 was $26.3 billion, up 40% year over year and 16% quarter over quarter.

Last week, the Phenom 300 was identified as a best seller in the annual business aircraft delivery data announced by the General Aviation Manufacturers Association (GAMA). For the 13th consecutive year, the type was named as the most-delivered light jet, and for the fifth year in succession it was also the most popular twinjet.

U.S. Market Still Dominates

According to Embraer CEO Francisco Gomes Neto, the U.S. continues to represent 60% of the market for business aircraft, and he expects to see further growth in that market, while also expressing optimism for regions including South America, the Middle East, and Asia. Asked whether the company is exposed to possible U.S. trade tariffs, he indicated this is not a major concern.

“I don’t expect this to be a big issue as Embraer is very well balanced in trade with the U.S.,” he told AIN. “We have been there for 45 years with 2,500 employees and production facilities, with a high U.S. content in our aircraft. We believe this is a win-win.”

On Tuesday, Embraer confirmed that its board of directors has approved a decision to pause development of the proposed E175-E2 airliner for another four years. The company cited ongoing obstacles relating to U.S. scope clause limits on the size of regional aircraft as being a key factor, along with global market conditions and “continuing interest in the current E175 jet in the U.S. market.”

By the end of this year, Embraer’s Eve Air Mobility spinoff expects to have achieved a first flight with a full-scale prototype for its four-passenger eVTOL aircraft. Group CFO Antonio Garcia told AIN that Embraer has invested $300 million so far in this venture, adding that there is sufficient funding through current equity investments and lines of credit to complete type certification. “We are open to new investors, and I don’t see any risk to this project,” he concluded.

Eve now expects its eVTOL aircraft to complete type certification in 2027, indicating some delay in the projected timeline for the program as the company has indicated service entry could be achieved before the end of 2026. At the NBAA regional forum event in Orlando on Wednesday, Eve chief commercial officer Megha Bhatia confirmed the new date, explaining that following this year's first prototype flight, a conforming prototype is expected to start flight testing in 2026.