Embraer has reported a US$171 million net loss in 2018 which it put down to slumping revenue driven by fewer commercial and business aircraft deliveries.
The loss compares to the Brazilian company’s net profit in 2017 of $280 million. The company’s overall 2018 revenue declined 13 per cent to $5.1 billion. Embraer’s executive jet unit earned revenue of $1.1 billion in 2018, down 14 per cent from 2017.
The aircraft manufacturer said it delivered 91 executive jets (64 light/27 large) last year, down from 109 aircraft in 2017 and less than the company’s previous forecast that it would deliver 105 to 125 business jets in 2018.
The company’s firm order aircraft backlog increased to $16.3 billion at the end of the fourth quarter last year, including contracts of the services & support segment, up from the $13.6 billion reported at the end of the third quarter in 2018.
The executive jets segment represented approximately five per cent of the company’s total backlog at the end of the fourth quarter with a value of $0.8 billion.