By Bjorn Fehrm
August 13, 2021, ©. Leeham News: Embraer presented strong 2Q2021 results today. It could deliver a quarterly net profit of $44m (-$119m), the first positive quarter since 1Q2018. Revenue for the quarter was up 110% at $1,131m versus $537m in 2Q2020.
The company delivered 14 airliners and 20 biz jets, up from 4 and 13 a year ago. The company now delivered guidance for 2021, with deliveries at 45-50 regional jets and 90-95 biz jets. Revenue lands at $4.0bn-$4.5bn with free cash flow at break-even to $150m.
The Commercial Aircraft division delivered 14 E-Jets during 2Q2021 compared with 4 for 2Q2020, Figure 2. The E2 jets overtook the E-jets as most delivered aircraft for the first time since the start of the E2 program.
Commercial aircraft revenue more than tripled at $389m versus $109m for 2Q2020. Revenue per delivery is now at $28m from $25m per aircraft last year.
Sales were up for the quarter, and the backlog is now $5,8bn and 306 E-Jets. E175 represents 141 aircraft with E195-E2 at 157 and E190-E2 at four jets.
The company also showed a revised E3 turboprop design, Figure 1. The project is still using a lighter version of the E-jet E2 fuselage and cabin. But it now has rear turboprop engines, a clean wing, and a beefier T-tail, to cater for the shorter tail arm, due to the aft Center of Gravity of the design (the wing has to go back as a result).
It will be interesting to learn more about the spec of this new aircraft. The turboprop engines seem to be a new design, the nacelles look different from the present Pratt & Whitney PW120 series.
The Business jet side also increased deliveries with 20 jets, 12 light, and eight large jets, Figure 3.
The ratio of margin richer large jets is now 40% compared with 31% 2Q2020. Segment revenue was up 78% at $266m versus $150m for 2Q2020.
Segment revenue doubled at $175m vs. $86m for 2Q2020. There were no deliveries of KC-390 during the quarter, but there are six aircraft on the production line for the Brazilian and Portuguese Air Forces.
Services revenue improved by 55% to $298m vs. $192m 2Q2020 as customers fly their jets again.