Embraer deliveries rise 88% in second quarter, order backlog at 7-year high

SAO PAULO (Reuters) - Brazilian planemaker Embraer said on Thursday it had delivered 47 aircraft in the second quarter of 2024, an 88% increase from the prior year, and reaffirmed its full-year outlook despite ongoing aerospace industry supply chain issues.

The world's third-largest planemaker behind Airbus and Boeing delivered 19 commercial and 27 executive jets in the April-June period, as well as one defense C-390 Millennium jet.

In a securities filing, Embraer said its firm order backlog reached $21.1 billion at the end of June, the highest in seven years.

The delivery report comes days ahead of the Farnborough Airshow, when planemakers often announce major orders. Investors have been positive about Embraer's demand prospects, with shares in the planemaker up more than 80% so far this year.

Embraer has been experiencing strong demand for its next generation E2 jets as carriers face a shortage of larger single-aisle planes from Airbus and Boeing, and has also managed to convert business jet purchase options into firm orders.

The Brazilian firm plans to deliver 72 to 80 commercial aircraft this year, up from 64 last year, as well as 125 to 135 business jets, up from 115 in 2023.

Chief Executive Francisco Gomes Neto told Reuters last month the firm was confident in reaching its commercial aircraft target this year and could deliver up to 90 of its E-Jets to airlines next year.

Embraer has seen opportunities emerge as it has production slots available from 2026, meaning it can deliver on new jet sales before Boeing and Airbus, the latter having sold out its production of single-aisle jets until the end of the decade.

Recent orders include 20 E2 jets from Mexicana de Aviacion and NetJets' converting options for up to 250 Praetor 500 executive jets into firm orders.

(Reporting by Gabriel Araujo and Luana Maria Benedito; Editing by Sandra Maler and Jamie Freed)