EMBRAER S.A. Releases Second Quarter 2018 Earnings Results
SÃO PAULO, July 31, 2018 /PRNewswire/ -- EMBRAER S.A. (NYSE: ERJ; B3: EMBR3) releases its Second Quarter 2018 earnings results.
- In 2Q18, Embraer delivered 28 commercial and 20 executive (15 light and 5 large) jets, compared to the 35 commercial and 24 executive (16 light and 8 large) jets in 2Q17;
- The Company's firm order backlog was US$ 17.4 billion at the end of 2Q18, including contracts of the Services & Support segment;
- Reported EBIT and EBITDA in 2Q18 were US$ (17.7) million and US$ 44.1 million, respectively, yielding margins of -1.4% and 3.5%. The reported EBIT and EBITDA figures include the negative impact of a non-recurring special item of US$ 127.2 million related to additional costs (cost base revision) on the KC-390 development contract in 2Q18, resulting from the recent incident with prototype aircraft 001 in May (see page 9 for more details);
- Adjusted EBIT and adjusted EBITDA, excluding the impact of the KC-390 cost base revision, were US$ 109.5 million and US$ 171.3 million, respectively. Adjusted EBIT margin in 2Q18 was 8.7% and adjusted EBITDA margin in the same period was 13.6%. Year-to-date, adjusted EBIT margin for the Company was 6.0% and adjusted EBITDA margin was 11.6%, in line with Embraer's published 2018 guidance ranges of 5-6% for adjusted EBIT and 10-11% for adjusted EBITDA;
- 2Q18 Net loss attributable to Embraer shareholders and Loss per ADS were US$ (126.5) million and US$ (0.69), respectively. Adjusted Net income (excluding deferred income tax and social contribution and special items) for 2Q18 was US$ 6.1 million, with Adjusted earnings per ADS of US$ 0.03;
- Embraer generated US$ 47.8 million in Free cash flow in 2Q18, and finished the quarter with total cash of US$ 3,341.1 million and total debt of US$ 4,062.3 million, yielding net debt of US$ 721.2 million;
- The Company reaffirms all aspects of its 2018 financial and aircraft deliveries guidance, which does not include the non-recurring impact of the KC-390 cost base revision recognized in 2Q18.
| MAIN FINANCIAL INDICATORS |
|||||
| in millions of U.S dollars, except % and earnings per share data |
|||||
| 1Q18 |
2Q17* |
2Q18 |
YTD18 |
||
| Revenue |
992.0 |
1,771.2 |
1,256.5 |
2,248.5 |
|
| EBIT |
26.4 |
177.5 |
(17.7) |
8.7 |
|
| EBIT Margin % |
2.7% |
10.0% |
-1.4% |
0.4% |
|
| Adjusted EBIT |
26.4 |
168.1 |
109.5 |
135.9 |
|
| Adjusted EBIT Margin % |
2.7% |
9.5% |
8.7% |
6.0% |
|
| EBITDA |
89.5 |
258.3 |
44.1 |
133.6 |
|
| EBITDA Margin % |
9.0% |
14.6% |
3.5% |
5.9% |
|
| Adjusted EBITDA |
89.5 |
249.0 |
171.3 |
260.8 |
|
| Adjusted EBITDA Margin % |
9.0% |
14.1% |
13.6% |
11.6% |
|
| Adjusted Net Income (Loss) |
(24.6) |
126.6 |
6.1 |
(18.5) |
|
| Adjusted earnings per share - ADS basic |
(0.1342) |
0.6885 |
0.0331 |
(0.1010) |
|
| Net income (loss) attributable to Embraer Shareholders |
(12.3) |
61.7 |
(126.5) |
(138.8) |
|
| Earnings (losses) per share - ADS basic (US$) |
(0.0671) |
0.3353 |
(0.6898) |
(0.7569) |
|
| Adjusted Free Cash Flow |
(430.9) |
219.8 |
47.8 |
(383.1) |
|
| Net debt |
(758.6) |
(661.5) |
(721.2) |
(721.2) |
|
| * Restated 2017 results for new accounting rules (IFRS 15 and IFRS 9) |
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For additional information, please check the full document in our website ri.embraer.com.br
INVESTOR RELATIONS
Eduardo Couto, Chris Thornsberry, Caio Pinez, Nádia Santos, Paulo Ferreira and Viviane Pinheiro.
(+55 12) 3927 1000
[email protected]
ri.embraer.com.br
CONFERENCE CALL INFORMATION
Embraer will host a conference call to present its 2Q18 Results on Tuesday, July 31, 2018 at 10:00 AM (NY). The conference call will also be broadcast live over the web at ri.embraer.com.br
Conference ID: EMBRAER
Telephones USA / International: (Toll-free) +1 (866) 262-4553 / (Dial-in) +1 (412) 317-6029
Telephones Brazil: +55 (11) 3193-1001 / +55 (11) 2820-4001
SOURCE EMBRAER S.A.
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