HIGHLIGHTS 

 

– In 2Q16, Embraer delivered 26 commercial and 26 executive (23 light and 3 large) jets; 

 

– The Company’s firm order backlog ended the quarter at US$ 21.9 billion, compared to US$ 22.9 billion at the end of 2Q15 and $21.9 billion in backlog at the end of 1Q16; 

 

– Revenues in 2Q16 were US$ 1,366.4 million, representing a decline of 9.7% from the same period last year, principally due to lower deliveries in the Executive Jets segment; 

 

– Consolidated gross margin in 2Q16 reached 20.8%, up from the 18.9% registered in 2Q15; 

 

– In 2Q16, the Company booked a US$ 200 million loss contingency in Other operating income (expense), net related to the allegations of non-compliance with the U.S. Foreign Corrupt Practices Act (FCPA); 

 

– Adjusted EBIT and Adjusted EBIT margin in 2Q16, excluding the impact of the loss contingency, was US$ 72.6 million and 5.3%, respectively. Adjusted EBITDA and Adjusted EBITDA margin in the quarter, excluding this impact, was US$ 152.3 million and 11.1%, respectively; 

 

– 2Q16 Net income (loss) attributable to Embraer Shareholders and Earnings per basic ADS totaled US$ (99.4) million and US$ (0.5448), respectively; 

 

– 2Q16 Adjusted Net Income, which excludes non-cash deferred income taxes and social contribution largely related to foreign exchange variation on non-monetary assets, as well as the aforementioned loss contingency, was US$ 44.1 million. Adjusted earnings per basic ADS totaled US$ 0.2417 in 2Q16; 

 

– Embraer is revising its 2016 guidance to incorporate lower estimates for the Executive Jets segment. Please see pages 2 and 3 of this release for additional details. 

 

Please click here to access the full news release (PDF) – http://tinyurl.com/jc2vtj3