Embraer Commercial Shipments Dip in First Six Months

 - July 30, 2019, 9:39 AM
Embraer saw a small bump in executive jet deliveries in the first half of 2019, mainly led by increased shipments of its Phenom 300E light jets. (Photo: David McIntosh/AIN)

Embraer’s deliveries were flat at 73 through the first six months of the year as growth in executive jet shipments offset a dip in commercial deliveries, the Brazilian airframer announced Tuesday morning. Commercial deliveries slid by five units in the first half, led by fewer E190 shipments (five in the first six months of 2018, compared with one so far this year). In addition, Embraer has delivered one fewer E190-E2 in the second half, for a total of two in the first six months, and no E170s (there was one in the first half of 2018).

In the second quarter, shipments were down year-over-year by two units, to 26. However, commercial shipments accelerated quarter-over-quarter in the second quarter, up from 11 in the first quarter.

The executive jets group also experienced a quarterly acceleration, reaching 25 in the second quarter. This was up by 14 deliveries in the first quarter and five more aircraft from second-quarter 2018. The 36 business deliveries in first six months also marked a five-aircraft improvement over the same period a year ago.

Both light and large business jet shipments increased in the first six months. Light jets were up four units, to 27 (21 Phenom 300s and six Phenom 100s). Meanwhile, Large jet shipments reached nine aircraft in the first six months (one Praetor 600, five Legacy 500s, two Legacy 650s, and one Legacy 450), up one aircraft year-over-year.

Embraer, which gained certification and began deliveries of its new super-midsize Praetor 600 in the second quarter, credited the new Praetor family for helping to increase its backlog from $16 billion at the end of the first quarter to $16.9 billion at the end of June.

Also driving demand is Embraer’s new E195-E2. Embraer obtained Brazilian ANAC, U.S. FAA, and EASA  type certification for its E195-E2 model and also secured a firm order for 10 of the model in the second quarter. That contract includes purchase rights for another 20, with a total potential contract value of $2.12 billion.