Q2 2026 Embraer SA Earnings Call

August 10, 2026

Speaker #1: Please, let me say a short announcement for Portuguese speakers. Esta conferência será realizada originalmente em inglês, para ouvir a tradução em português, primeiro selecione o idioma no botão "Interpretação" e, segundo, desative o áudio original na plataforma Zoom.

Gui Paiva: Please let me say a short announcement for Portuguese speakers. Essa conferência será realizada originalmente em inglês. Para ouvir a tradução em português, primeiro selecione o idioma no botão interpretação e, segundo, desative o áudio original na plataforma Zoom. My name is Gui Paiva, and I'm the Head of Investor Relations, M&A and Venture Capital for Embraer. Welcome to Embraer's Q2 2026 earnings conference call. The numbers in this presentation contain non-GAAP financial information to help investors reconcile Eve's financial information in GAAP standards to Embraer's IFRS. We remind you Eve's results were already discussed at the company's conference call last week. Before we begin, a legal notice to everyone. This presentation may contain forward-looking statements, which involve risks and uncertainties, as detailed in the disclaimer available in the slides and in the documents filed with the Brazilian Securities Commission, CVM.

Gui Paiva: Please let me say a short announcement for Portuguese speakers.[Foreign Language]. My name is Gui Paiva, and I'm the Head of Investor Relations, M&A and Venture Capital for Embraer. Welcome to Embraer's Q2 2026 earnings conference call. The numbers in this presentation contain non-GAAP financial information to help investors reconcile Eve's financial information in GAAP standards to Embraer's IFRS. We remind you Eve's results were already discussed at the company's conference call last week. Before we begin, a legal notice to everyone. This presentation may contain forward-looking statements, which involve risks and uncertainties, as detailed in the disclaimer available in the slides and in the documents filed with the Brazilian Securities Commission, CVM.

Speaker #1: My name is Gui Paiva, and I'm the Head of Investor Relations, M&A, and Venture Capital for Embraer. Welcome to Embraer's second quarter 2026 earnings conference call.

Speaker #1: The number in this presentation contain non-GAAP financial information, to help investors reconcile EVs financial information in GAAP standards, to Embraer's IFRS. We remind you EVs results were already discussed at the company's conference call last week.

Speaker #1: Before we begin, a legal notice to everyone: this presentation may contain forward-looking statements, which involve risks and uncertainties as detailed in the disclaimer available in the slides.

Speaker #1: And in the documents filed with the Brazilian Securities Commission (CVM). At this time, all participants are in listen-only mode. Instructions for the Q&A session will be provided later.

Gui Paiva: At this time, all participants are in a listen-only mode. Instructions for the Q&A session will be provided later. Participants on today's conference call are Francisco Gomes Neto, President and CEO of Embraer, Felipe Santana, Chief Financial Officer, Taís Moraes, Corporate Communications Director, and myself. This conference call consists of three parts. First, we will present the results for Q2 2026. Second, we will host a Q&A session exclusively for investors, and finally, we will hold a dedicated Q&A session for the press. It is my pleasure to now turn the conference call to our President and CEO, Francisco Gomes Neto. Please go ahead, Francisco.

Speaker #1: Participants on today's conference call are Francisco Gomes Neto, President and CEO of Embraer; Filipe Santana, Chief Financial Officer; Thais Morais, Corporate Communications Director; and myself.

Speaker #1: This conference call consists of three parts: first, we'll present the results for the second quarter of 2026; second, we'll host a Q&A session exclusively for investors; and finally, we'll hold a dedicated Q&A session for the press.

Speaker #1: It is my pleasure to now turn the conference call over to our President and CEO, Francisco Gomes Neto. Please go ahead, Francisco.

Speaker #2: Thank you, Gui. Good morning and good afternoon, everyone. It is a pleasure to be with you today to discuss Embraer's second quarter 2026 results.

Francisco Gomes Neto: Thank you, Gui. Good morning and good afternoon, everyone. It is a pleasure to be with you today to discuss Embraer's Q2 2026 results. We delivered the strongest Q2 revenue in our history. We achieved our highest Q2 deliveries in the past 16 years and reached a new all-time high backlog for the 7th consecutive quarter. We continue to see strong performance across all our business units, driven by our focus on sales execution, efficiency, operational discipline, and production ramp-up. Simply put, we're continually executing the fundamentals exceptionally well. These results further strengthen our confidence in the outlook for our businesses and have led us to raise our 2026 guidance, also supported by favorable effects. Let me now turn to the key highlights of the quarter. In Commercial Aviation, Azorra placed an order for 15 E195-E2 aircraft while maintaining 15 purchase rights.

Speaker #2: We delivered the strongest second quarter revenue in our history. We achieved our highest second quarter deliveries in the past 16 years, and reached a new all-time high backlog for the seventh consecutive quarter.

Speaker #2: We continue to see strong performance across all our business units. Driven by our focus on sales execution, efficiency, operational discipline, and production ramp-up. Simply put, we continually executing the fundamentals exceptionally well.

Speaker #2: These results further strengthen our confidence in the outlook for our business and have led us to raise our 2026 guidance, also supported by favorable effects.

Speaker #2: Let me now turn to the key highlights of the quarter. In commercial aviation, Azzura placed an order for 15 E195-E2 aircraft, while maintaining 15 purchase rights.

Speaker #2: During the quarter, the E2 program surpassed the milestone of 500 firm orders. In executive aviation, we achieved record second quarter revenues and deliveries, supported by strong market demand.

Francisco Gomes Neto: During the quarter, the E2 program surpassed the milestone of 500 firm orders. In Executive Aviation, we achieved record Q2 revenues and deliveries supported by strong market demand. We also received a triple certification for the Praetor 500E and Praetor 600E. In Defense and Security, the UAE ordered 10 C-390 aircraft with options for an additional 10 units. This marks the platform's first selection in the Middle East and the largest international order for the C-390 to date. In Service and Support, we continued to expand our recurring revenue base through new contracts, including support for Jet Aviation's E175 fleet and a new maintenance agreement with the Brazilian Air Force covering its KC-390 fleet. During the quarter, we delivered 65 aircraft, 20 commercial jets, and 45 executive jets. Total company deliveries increased by nearly 7% year over year, with Commercial Aviation growing 5% and Executive Aviation growing 18%.

Speaker #2: We also received the triple certification for the Pretor 500E in Pretor 600E. In defense and security, the UAE ordered 10 C390 aircraft, with options for an additional 10 units.

Speaker #2: This marks the platform's first selection in the Middle East, and the largest international order for the C390 to date. In service and support, we continue to expand our recurring revenue base through new contracts, including support for JAS aviations, 175 fleet, and a new maintenance agreement with the Brazilian Air Force covering its KC390 fleet.

Speaker #2: During the quarter, we delivered 65 aircraft: 20 commercial jets and 45 executive jets. Total company deliveries increased by nearly 7% year over year, with commercial aviation growing 5% and executive aviation growing 18%. In commercial aviation, we delivered 30 aircraft in the first half of the year, representing 36% of the midpoint of our full-year guidance—1 percentage point above the five-year average.

Francisco Gomes Neto: In Commercial Aviation, we delivered 30 aircraft in the H1 of the year, representing 36% of the midpoint of our full-year guidance, 1 percentage point above the five-year average. In Executive Aviation, we delivered 74 aircraft in the H1, representing 45% of the midpoint of our full-year guidance and an impressive 11 percentage points above the five-year average. Our company-wide backlog reached $34.5 billion, an increase of 16% year-over-year and another all-time record for Embraer. Commercial Aviation backlog grew 15% year-over-year, supported by a 1.8 book-to-bill ratio over the last 12 months. Defense & Security backlog increased 42%, with a strong 2.6 book-to-bill ratio. Executive Aviation backlog grew 5% year-over-year, while Service & Support increased 12%, with both segments maintaining book-to-bill ratios above one.

Speaker #2: In executive aviation, we delivered 74 aircraft in the first half, representing 45% of the MIDI point of our full-year guidance, and an impressive 11% pointage above the 5-year average.

Speaker #2: Our company-wide backlog reached 34.5 billion, an increase of 16% year over year, and another all-time record for Embraer. Commercial aviation backlog grew 15% year over year, supported by a 1.8 book-to-buil ratio, over the last 12 months.

Speaker #2: Defense and security backlog increased 42%, with a strong 2.6 book-to-buil ratio. Executive aviation backlog grew 5% year over year, while service and support increased 12%, with both segments maintaining book-to-buil ratios above 1.

Speaker #2: In addition, we hold approximately $21 billion in options, which could expand our backlog to more than $55 billion over time if exercised. I would also like to provide a brief update on EV's continued progress.

Francisco Gomes Neto: In addition, we hold approximately $21 billion in options, which could expand our backlog to more than $55 billion over time if exercised. I would also like to provide a brief update on Eve's continued progress. The flight testing campaign is advancing according to plan. Following the successful completion of hover flights, the team is now moving into transition flights, an important next step on the path toward certification. With that, I will now hand the call over to Felipe, who will walk you through our financial results. Felipe, the floor is yours.

Speaker #2: The flight test campaign is advancing according to plan. Following the successful completion of hover flights, the team is now moving into transition flights, an important next step on the path toward certification.

Speaker #2: With that, I will now hand the call over to Filipe, who will walk you through our financial results. Filipe, the floor is yours.

Speaker #1: Thank you, Francisco. Good morning and good afternoon, everyone. Let me start with the results by business unit. Our comparisons are year over year, unless otherwise noted.

Felipe Santana: Thank you, Francisco. Good morning, and good afternoon, everyone. Let me start with the results by business unit. Our comparisons are year-over-year, unless otherwise noted. Starting with Commercial Aviation, revenues increased 8% to $625 million, driven by higher volumes. Adjusted EBIT totaled $18 million, with a +2.9% of margin. The year-over-year decline was primarily due to customer mix. In Executive Aviation, revenues increased at 32% to $725 million, supported by higher volumes and product mix. Adjusted EBIT reached $170 million, with a +23.4% of margin. These results include the strong operating performance and the effects of US import tariffs and the extraordinary tax credit. Excluding both effects, adjusted EBIT margin would have been 16.1%. In Defense & Security, revenues increased 38%, reaching $304 million. Adjusted EBIT was $36 million, with a +11.9% of margin, supported by stronger KC-390 revenue recognition and operating leverage.

Speaker #1: Starting with commercial aviation, revenues increased 8% to $625 million, driven by higher volumes. Adjusted EBIT totaled $18 million, with a positive margin of 2.9%.

Speaker #1: The year-over-year decline was primarily due to customer mix. In Executive Aviation, revenues increased 32% to $725 million, supported by higher volumes and product mix.

Speaker #1: Adjusted EBIT reached $170 million, with a positive margin of 23.4%. These results include strong operating performance, as well as the effects of U.S. import tariffs and an extraordinary tax credit.

Speaker #1: Excluding both effects, adjusted EBIT margin would have been 16.1%. In Defense & Security, revenues increased 38%, reaching $304 million. Adjusted EBIT was $36 million, with a positive 11.9% margin, supported by stronger KC-390 revenue recognition and operating leverage.

Speaker #1: In service and support, revenues increased 24% to $565 million, driven by higher volumes. Adjusted EBIT totaled $106 million, with a positive margin of 18.7%.

Felipe Santana: In Service & Support, revenues increased 24% to $565 million, driven by higher volumes. Adjusted EBIT totaled $106 million, with a +18.7% of margin. These results include US import tariffs and an extraordinary tax credit. Excluding both items, adjusted EBIT margin would have been 17.6%. At the consolidated level, net revenues increased at 23% to $2.2 billion in the Q2. From business mix perspective, Executive Aviation represented 32% of revenues, Commercial Aviation, Service more than 25% each, and Defense 14%. In the H1, revenues reached $3.7 billion, representing 44% of the midpoint of our full-year guidance. Adjusted EBITDA was $356 million, with a +15.9% of margin, while adjusted EBIT totaled $297 million with a +13.3% of margin. During the quarter, the company recorded approximately $8 million of US import tariffs and an extraordinary tax credit of $68 million.

Speaker #1: These results include U.S. import tariffs and an extraordinary tax credit. Excluding both items, adjust EBIT margin would have been 17.6%. At the consolidated level, net revenues increased 23%, to 2.2 billion dollars, in the second quarter.

Speaker #1: From a business mix perspective, executive aviation represented 32% of revenues, commercial aviation served more than 25% each, and defense 14%. In the first half, revenues reached $3.7 billion, representing 44% of the midpoint of our full-year guidance.

Speaker #1: Adjust EBITDA was 356 million dollars, with a positive 15.9% of margin, while adjust EBIT totaled 297 million dollars, with a positive 13.3% of margin.

Speaker #1: During the quarter, the company recorded approximately 8 million of U.S. import tariffs and an extraordinary tax credit of 68 million dollars. Excluding both effects, adjust EBIT margin would have been 10.6% of margin.

Felipe Santana: Excluding both effects, adjusted EBIT margin would have been 10.6% of margin. In the H1, adjusted EBIT margin reached 10.6%, or 5.5 points higher than the 5-year average. Adjusted free cash flow, excluding IF, was BRL 401 million in the quarter. This reflects stronger operating results, sales-related pre-down payments, and extraordinary tax credit. Investment totaled BRL 121 million during the quarter, including BRL 42 million in CapEx, BRL 24 million in tangible additions, BRL 18 million in the pool program, and BRL 36 million in research. Research expenses include engineering service to current projects as well as other developments technologies for future progress. Adjusted net income was BRL 219 million in the last quarter. Adjusted net income margin was +9.8%, up 1.1 points, mainly due to operating performance and lower net financial expenses, which were partially offset by higher taxes. Earning per ADS now stands at $2.50 on a last 12-month basis.

Speaker #1: In the first half, adjust EBIT margin reached 10.6%, or 5.5 points higher than the 5-year average. Adjust free cash flow, excluding EVE, was 401 million dollars, in the quarter.

Speaker #1: This reflects stronger operating results, sales-related pre-down payments, and an extraordinary tax credit. Investment totaled $121 million during the quarter, including $42 million in capex, $24 million in tangible additions, $18 million in the pool program, and $36 million in research.

Speaker #1: Research expenses, including engineering services to current projects as well as other developments and technologies for future progress. Adjusted net income was $219 million in the last quarter. Adjusted net income margin was positive 9.8%, up 1.1 points, mainly due to operating performance and lower net financial expenses, which were partially offset by higher taxes.

Speaker #1: Earnings per ADS now stands at $2.50 on a last 12-month basis. Net debt to adjusted EBITDA, excluding EVE, improved to 0.2 times in the quarter, from 0.7 times a year ago.

Felipe Santana: Earning per ADS now stands at $2.50 on a last 12-month basis. Net debt to adjusted EBITDA, excluding IF, improved to 0.2x the quarter from 0.7x a year ago. Through our liability management initiatives, average debt maturity increased to 9.3 years and its average cost declined to 5.1%. During the quarter, we declare BRL 200 million in interest on equity. This corresponds to BRL 0.28 per share or approximately $0.22 per ADS. Based on the share price at the quarter end, this represent a dividend yield of approximately 0.34%. From an operational standpoint, we are maintaining our delivery guidance unchanged at 80 to 85 aircrafts in commercial aviation and 160 to 170 aircraft in executive aviation. On the financial side, revenue guidance remains unchanged at BRL 8.2 billion to BRL 8.5 billion. However, we are increasing our adjusted EBIT margin guidance to between 10% to 10.6%.

Felipe Santana: Net debt to adjusted EBITDA, excluding IF, improved to 0.2x the quarter from 0.7x a year ago. Through our liability management initiatives, average debt maturity increased to 9.3 years and its average cost declined to 5.1%. During the quarter, we declare BRL 200 million in interest on equity. This corresponds to BRL 0.28 per share or approximately $0.22 per ADS. Based on the share price at the quarter end, this represent a dividend yield of approximately 0.34%. From an operational standpoint, we are maintaining our delivery guidance unchanged at 80 to 85 aircrafts in commercial aviation and 160 to 170 aircraft in executive aviation. On the financial side, revenue guidance remains unchanged at BRL 8.2 billion to BRL 8.5 billion. However, we are increasing our adjusted EBIT margin guidance to between 10% to 10.6%.

Speaker #1: Through our lab-led management initiatives, average debt maturity increased to 9.3 years, and is average cost declined to 5.1%. During the quarter, we declared 200 million in interest on equity, this corresponds to 0.28 per share, or approximately 0.22 cents of dollars per DS.

Speaker #1: Based on the share price at the quarter end, this represents a dividend yield of approximately 0.34%. From an operational standpoint, we are maintaining our delivery guidance unchanged, at 80 to 85 aircraft in Commercial Aviation and 160 to 170 aircraft in Executive Aviation.

Speaker #1: On the financial side, revenue guidance remains unchanged at $8.2 billion to $8.5 billion. However, we are increasing our adjusted EBIT margin guidance to between 10% and 10.6%.

Speaker #1: At the MID point, this represents an increase of approximately 110 million dollars, or 130 basis points, reflecting the extraordinary tax credit, lower U.S. tariffs, and a better business outlook.

Felipe Santana: At the midpoint, this represents an increase of approximately BRL 110 million, or 130 basis points, reflecting the extraordinary tax credit, lower US tariffs, and a better business outlook. We are also increasing our adjusted free cash flow guidance to BRL 400 million or higher, reflecting strong operational performance, progress in our production leveling initiatives, and the strong H1 cash generation. With that, I will hand it back to Francisco for his closing remarks. Thank you.

Speaker #1: We are also increasing our adjusted free cash flow guidance to $400 million or higher, reflecting strong operational performance, progress in our production leveling initiatives, and strong first-half cash generation.

Speaker #1: With that, I will hand it back to Francisco for his closing remarks. Thank you.

Speaker #2: Thank you, Felipe. The second quarter of 2026 reinforced our confidence in Embraer's strategic positioning and our ability to consistently execute. We have also started the third quarter with strong momentum, including the announcement of 28 additional E2 orders, and welcomed Colombia as the newest KC390 customer.

Francisco Gomes Neto: Thank you, Felipe. The Q2 2026 reinforced our confidence in Embraer's strategic positioning and our ability to consistently execute. We have also started the Q3 with strong momentum, including the announcement of 28 additional E2 orders, and welcomed Colombia as the newest KC-390 customer. Colombia became the 13th country worldwide to select the KC-390, further expanding the aircraft's global footprint. We were also pleased to introduce the new EV edition of our best-selling Phenom 300. Strong demand across our businesses continues to support our growth trajectory. Our performance reflects the discipline, focus, commitment, and energy of our people across the organization. Their dedication enables us to deliver strong results today while continuing to invest in the technologies that will drive our future growth. Behind these achievements are the values that guide everything we do, safety first and quality always.

Speaker #2: Colombia became the 13th country worldwide to select the KC-390, further expanding the aircraft's global footprint. We were also pleased to introduce the new EV edition of our best-selling Xenon 300S. Strong demand across our businesses continues to support our growth trajectory.

Speaker #2: Our performance reflects the discipline, focus, commitment, and energy of our people across the organization. Their dedication enables us to deliver stronger results today, while continuing to invest in the technologies that will drive our future growth.

Speaker #2: Behind this achievement are the values that guide everything we do: safety first, and quality always. With that, we are now ready to take your questions.

Francisco Gomes Neto: With that, we are now ready to take your questions.

Speaker #3: Well, now start the question and answer session. We remind you again that this conference is being recorded. Its broadcast is intended exclusively for the participants of this event and may not be reproduced or retransmitted without the express authorization of Embraer.

Operator: We'll now start the question-and-answer session. We remind you again that this conference is being recorded. Its broadcast is intended exclusively for the participants of this event and may not be reproduced or retransmitted without the express authorization of Embraer. We also highlight that this conference call is being conducted in English with translation to Portuguese. We request participants interested in asking questions to press the 'raise the hand' button on the platform. When your name is announced, please make sure your microphone is on and start your question. To give everyone a chance to participate, we request to ask just one question per time. If you need assistance, please use the Q&A button on the platform. We'll also answer questions sent via the platform chat. The first part of the Q&A session will be exclusively for equity research analysts and investors.

Speaker #3: We also highlight that this conference call is being conducted in English, with translation to Portuguese. We request that participants interested in asking questions press the 'raise hand' button on the platform.

Speaker #3: When your name is announced, please make sure your microphone is on and start your question. To give everyone a chance to participate, we request that you ask just one question at a time.

Speaker #3: If you need assistance, please use the Q&A button on the platform. We'll also answer questions sent via the platform chat. The first part of the Q&A session will be exclusively for equity research analysts and investors.

Speaker #3: The second part of the Q&A will be only for the press. The first question comes from Christine Lueg with Morgan Stanley. Please go ahead.

Operator: The second part of the Q&A will be only for the press. The first question comes from Kristine Liwag with Morgan Stanley. Please go ahead.

Speaker #4: Hey, good morning Francisco, Felipe, Guy, and Thais. I wanted to ask about margins. Margins were a clear standout in the quarter. Can you talk more and provide more detail about what drove operating leverage in Executive Aviation and Defense?

Kristine Liwag: Hey, good morning, Francisco, Felipe, Gui, and Taís. I wanted to ask about margins. Margins were a clear standout in the quarter. Can you talk about more, and provide more detail about what drove operating leverage in executive aviation and defense? Was there anything that was one-time in the quarter? Basically, how should we think about this as being structural change in your cost structure versus quarter specific? Any update regarding your Growfficiency strategy would be really helpful so that we can better understand your margin trajectory from here.

Speaker #4: Was there anything that was one-time in the quarter? Basically, how should we think about this as being a structural change in your cost structure versus quarter-specific?

Speaker #4: And any update regarding your growth efficiency strategy would be really helpful, so that we can better understand your margin trajectory from here.

Speaker #1: Hi Christine, good morning, and thanks for the call. Q2 was really strong for us in executive aviation. We have made a lot of progress in our production leveling initiatives over the last two years.

Gui Paiva: Hi, Kristine. Good morning, and thanks for the call. Q2 was really strong for us in Executive Aviation. We have done a lot of progress in our production leveling initiatives in the last 2 years. We're close to where we want to be. That has definitely helped the results. In the quarter, when you look at Executive, obviously we have also the impact of a tax credit and the tariff payments, and that helped the results on a net basis for the division for around $54 million at the EBIT level.

Speaker #1: And we almost closed where we want to be. That has definitely helped the results. In the quarter, when you look at Executive, obviously we also have the impact of a tax credit and the tariff payment.

Speaker #1: And that helped the results on a net basis for the division, for around $54 million at the EBIT level.

Speaker #4: Great. And anything about what would be structural change in your cost structure versus and thinking about the broader growth efficiency plan in the next few years?

Kristine Liwag: Great. Anything about what would be structural change in your cost structure, and thinking about the broader Growfficiency plan in the next few years? Maybe it's a little too early to look out a few years, but it seems like you're achieving some of your margin targets much earlier than expected. I just wanted to see if there's more upside from here.

Speaker #4: Maybe it's a little too early to look out a few years, but it seems like you're achieving some of your margin targets much earlier than expected.

Speaker #4: So I just wanted to see if there's more upside from here.

Speaker #1: Yeah.

Speaker #2: Maybe—yeah, go ahead, Guy. Go ahead.

Gui Paiva: Yeah.

Francisco Gomes Neto: Maybe. Yeah, go ahead, Gui. Go ahead.

Speaker #1: No, I was just going to highlight one of the things that you're very passionate about, Francisco, which is lean operations, and the fact that we do Kaizens, and we do Obeyas, and we do efficiency projects on a day-to-day basis.

Gui Paiva: I was just going to highlight one of the things that you're very passionate about, Francisco, which is lean operations and the fact that we do Kaizens and we do Obeya and we do efficiency projects on a day-to-day basis. There's not a silver bullet, Kristine. This is an ongoing effort by thousands and thousands of people that do this on a regular basis. I'll pass it to Francisco because it's one of his most passionate topics.

Speaker #1: It's not that there's a silver bullet, Christine. This is an ongoing effort by thousands and thousands of people who do this on a regular basis.

Speaker #1: But I'll pass it to Francisco because it's one of his most passionate topics.

Speaker #2: Okay, thank you, but you did answer the question. But Christine, it is true what Guy just said. So, we have seen our Executive Jets production progressing very well with the production leveling initiative.

Francisco Gomes Neto: Okay. Thank you, but you didn't answer the question. Kristine, it is true what Gui just said. We have seen our executive jet production progressing very well with the production leveling initiatives. We still have some issues to be fixed with a few suppliers that are still delivering parts late, forcing us to move the aircraft late in the line. It's improving. We expect that in 2027, we will see a much better performance in terms of production leveling, which will help us to see a higher productivity and higher efficiency of our lines.

Speaker #2: So, this year, we still have some issues to be fixed with a few suppliers that are still delivering parts late. I mean, forcing us to, no, to move the aircraft late in the line.

Speaker #2: But it's improving. It's improving. So we expect that in 2027, we'll see much better performance in terms of production leveling, which will help us achieve higher productivity and higher efficiency on our lines.

Speaker #4: Great. Thank you very much.

Kristine Liwag: Great. Thank you very much.

Speaker #2: Thank you.

Francisco Gomes Neto: Thank you.

Speaker #3: The next question comes from Marcelo Motta with JP Morgan. Please go ahead.

Operator: The next question comes from Marcelo Motta with JPMorgan. Please go ahead.

Speaker #1: Hi, everyone. Thanks for taking my question. I would like to hear more about this $4 million improvement in business outlook that you mentioned as one of the reasons for improving the adjusted EBIT margin guidance.

Marcelo Motta: Hi, everyone. Thanks for taking my question. I would like to hear more about this $4 million improvement in business outlook that you mentioned as one of the reasons to improve the adjusted EBIT margin guidance. Just wondering here, if this is related to a specific segment, if this is also a cash gain, if it's more on the accounting. Anything that you could comment about the upside and downside risks for this $4 million to be lower or higher? It would be very interesting. Thank you.

Speaker #1: So, just wondering here, if this is related to a specific segment—if this is also a cash gain, or if it's more on the accounting side.

Speaker #1: So anything that you could comment about the upsides and downside risk for these four million to be four million dollars to be lower or higher, that would be very interesting.

Speaker #1: Thank you.

Speaker #5: Good morning, Marcelo. Felipe here. Thank you for your question. So, these four million is really connected with what Guy mentioned, and Francisco, right, on enterprise efficiency.

Felipe Santana: Good morning, Marcelo. Felipe here. Thank you for your question. This $4 million is really connected with what Gui mentioned, and Francisco, right? On enterprise efficiency, where we focus in all business units. This $4 million is spread out among all the business unit. Of course, that we see that more on Executive Aviation, mainly because of the production leveling and all the efforts that we're doing. This year is recurring, the way that we see this $4 million improving from all the segments that we have.

Speaker #5: We focus on all business units, so this four million is spread out among all the business units. Of course, we see more of that in executive aviation.

Speaker #5: Mainly because of the production leveling and all the efforts that we're doing. But here, it's recurring—the way that we see these $4 million improving across all the segments that we have.

Speaker #1: Thanks. Super clear.

Marcelo Motta: Thanks. Super clear.

Speaker #3: The next question comes from Lucas Marchiori with BTG. Please go ahead.

Operator: The next question comes from Lucas Marquiori with BTG. Please go ahead.

Speaker #6: Thank you. Hey guys, good morning. Yeah, no, I just wanted to clarify this—let's say, one of the effects on the Q, of course. It caught our attention, the tax credits, right?

Lucas Marquiori: Thank you. Hey, guys. Morning. I just wanted to clarify this, let's say one-off effect on the Q, of course, it calls our attention, the tax credits, right? If you could just give us some color on what's the nature of it, and if this was like a cash impact already in the Q, I'm assuming it is, but just to confirm the numbers, right? If you guys can give us at least some more color on what's the nature of it, and if there's any other kind of a reversal coming in the second half of the year as well. Thanks for the clarification.

Speaker #6: I mean, if you could just kind of give us some color on what's the nature of it, and if this was like a cash impact already in the quarter? I'm assuming it is, but just to confirm the numbers, right?

Speaker #6: And then if you guys can give us at least some more color on what's the nature of it, and if there’s any other kind of a reversal coming in the second half of the year as well.

Speaker #6: Thanks for the clarification.

Speaker #5: Hey, Lucas. Good morning. Felipe, sorry.

Gui Paiva: Hey, Lucas. Good morning. Felipe, start.

Speaker #1: No, thank you, Lucas, for your question. Good morning. So this impact—we have both, right? We have both on cash and also on the EBIT, right?

Felipe Santana: Thank you, Lucas, for your question. Good morning. This impact we have both, right? We have both on cash and also on EBIT, right? Most of it is refund of the tariffs that will impact the company last year, in Q1 and Q2 of this year. This what we had done. We still have some pending amount to receive on cash, everything was already recognized on the EBIT margin of the company. Going forward, we don't going to have any more direct tariffs to the company, we also going to have indirect tariffs to the company impacting especially service support around $12 million annually basis.

Speaker #1: Most of it is a refund of the tariffs that we impacted the company with last year in the first quarter and the second quarter of this year.

Speaker #1: So this is what we had done. We still have some pending amount to receive in cash, but everything was already recognized in the EBIT margin of the company.

Speaker #1: And going forward, we are not going to have any more direct tariffs to the company. But we are also going to have indirect tariffs to the company, impacting especially Sevem support.

Speaker #1: Around $12 million on an annual basis.

Speaker #6: Great. That's clear. Thank you, Felipe.

Lucas Marquiori: Great. That's clear. Thank you, Felipe.

Speaker #3: The next question comes from Louis Hafeto with Volve Research. Please go ahead.

Operator: The next question comes from Louis Raffetto with Wolfe Research. Please go ahead.

Speaker #5: Hey, good morning, guys.

Louis Raffetto: Hey, good morning, guys.

Speaker #1: Morning, Louis.

Speaker #5: I think you just actually answered the question I had—whether that $60 million was the tariff refund or not. It seems like it is.

Gui Paiva: Morning, Luis.

Louis Raffetto: I think you just actually answered the question I had, whether that $60 million was the tariff refund or not. Seems like it is. Just because the $12 million that you still have indirect, so basically expect $6 million in the H2 and primarily in services.

Speaker #5: So just to be clear, the $12 million that you still have indirect, so it basically expects $6 million in the back half, and primarily in Services.

Speaker #1: Yeah, that's it totally.

Speaker #5: Okay. And are we done with going through the tariff cost within the, from sort of the backlog— or from inventory, excuse me?

Gui Paiva: Yeah. That's it, Louis.

Louis Raffetto: Okay. Are we done with going through the tariff cost from sort of the backlog or from inventory? Excuse me.

Speaker #1: Yes, we are.

Speaker #5: Okay. And then maybe just—I know you mentioned the 28 orders. Can you expand on any additional pipeline opportunities this year, or skyline opportunities?

Gui Paiva: Yes, we are.

Louis Raffetto: Okay. Maybe just, I know you mentioned the 28 orders. Just can you expand on any additional pipeline opportunities this year or Skylon opportunities?

Speaker #2: Yeah, Francisco speaking. Thanks for the question. Yes, we are happy with this last announcement we made in Farnborough. We had 28 orders. And yes, we are working on other campaigns.

Gui Paiva: Louis, Francisco speaking. Thanks for the question. Yes, we are happy with this last announcement we did in Farnborough with these 28 orders. Yes, we are working in other campaigns, but they are still need to do some work to cross the finish line. Yes, we are positive with more sales of our products until the end of the year.

Francisco Gomes Neto: Louis, Francisco speaking. Thanks for the question. Yes, we are happy with this last announcement we did in Farnborough with these 28 orders. Yes, we are working in other campaigns, but they are still need to do some work to cross the finish line. Yes, we are positive with more sales of our products until the end of the year.

Speaker #2: But they still need to do some work to cross the finish line. But yes, we are positive about more sales of our products until the end of the year.

Speaker #5: Thank you very much.

Speaker #2: You're very welcome.

Louis Raffetto: Thank you very much.

Speaker #3: The next question comes from Alberto Valerio with UBS. Please go ahead.

Gui Paiva: You are welcome.

Francisco Gomes Neto: You are welcome.

Operator: The next question comes from Alberto Valerio with UBS. Please go ahead.

Speaker #1: Good morning, Francisco, Felipe, and Guy. Thank you for giving me the opportunity to ask my questions here. I have two on my side. The first one—really strong margins on Executive Jets.

Alberto Valerio: Good morning, Francisco, Felipe and Gui. Thank you for giving the opportunity to do my questions here. I have two on my side. The first one, really strong margins on Executive Jets. You mentioned the Kaizen model of Embraer and so forth. Can we consider that it any different mix for this quarter for looking forward? We used to have 12% margins on business jets coming ex-tariffs at 16%. Should we consider for the future something between or you think it's more towards to the 16%? My second one on backlog. I think you guys are very comfortable for the guidance of long-term on 2030 for the commercial with 1.6, if I'm not mistake. Times what we have the book-to-bill of this year, with the more than two times, 2.6, the defense, and 1.1 for the business jets.

Speaker #1: You mentioned Kaizen, a model of Embraer, and so forth. But can you reconsider if there is any different mix for this quarter looking forward?

Speaker #1: We used to have 12% margins on business jets, coming ex-tariffs, at 16. Should we consider for the future something in between, or do you think it's more towards the 16?

Speaker #1: And my second one on backlog—I think you guys are very comfortable with the guidance for long-term or 2030 for the commercial, with $1.6 billion if I'm not mistaken.

Speaker #1: Time is what we have the book to view of this year, with more than two times $2.6 billion for Defense and $1.1 billion for the business jets.

Speaker #1: The business jet—it's the one that I'm talking about to see if you guys are comfortable with in the long-term. It's the only one that the book-to-view is a little bit below the long-term goals.

Alberto Valerio: The business jet is one that I'm talking about to see if you guys are comfortable with the long-term. It's the only one that the book-to-bill is a little bit below the long-term goals. Thank you very much.

Speaker #1: Thank you very much.

Speaker #5: Well, Alberto, good morning and thanks for the question. On executive aviation, I guess we continue to see a greater improvement in our operations, despite having a product and client mix which has provided a little bit of headwind.

Gui Paiva: Hi Alberto, good morning, thanks for the question. On Executive Aviation, I guess we continue to see a gradual improvement in our operations, despite having a product and client mix, which has provided a little bit of headwinds. That is just a testament to the efficiency gains that the company has been able to generate, to offset the slight headwinds that I alluded to. When you look through the rest of the company, we continue to be really optimistic. We have seen defense margins continue to improve on a steady basis, and you obviously saw the order that we were able to obtain from the UAE in Q2. We do expect the success of the KC platform to continue in the next few years. We have continued to expand the backlog in services also, which provide us with a steady stream of value for the company.

Speaker #5: And that is just a testament to the efficiency gains that the company has been able to generate to offset these light headwinds that I alluded to.

Speaker #5: When you look through the rest of the company, we continue to be really optimistic. We have seen defense margins continue to improve on a steady basis.

Speaker #5: And you obviously saw the order that we were able to obtain from the UAE in Q2, and we do expect the success of the KC platform to continue in the next few years.

Speaker #5: We have continued to expand the backlog in services also, which provides us with a steady stream of value for the company. We have continued to work, and we should continue to see improvements in the second half, and most importantly in the next few years, for the profitability that we have in our commercial aviation as well.

Gui Paiva: We have continued to work, and we should continue to see improvements in H2, and most importantly, in the next few years, for the profitability that we have in our commercial aviation as well. Right now, with a record backlog for the company, we are able to produce at the target levels that we have for 2030, which is going to be our capacity. We remain very upbeat about the outlook for the company in the next few years.

Speaker #5: Right now, with a record backlog for the company, we are able to produce at the target levels that we have for 2030, which is going to be our capacity.

Speaker #5: So we remain very upbeat about the outlook for the company in the next few years.

Speaker #6: Fantastic. Very clear, Guy. Congrats on the result.

Alberto Valerio: Fantastic. Very clear, Gui. Congrats on the result.

Speaker #3: The next question is from Lucas Barbosa with Santander. Please go ahead.

Operator: The next question is from Lucas Barbosa with Santander. Please go ahead.

Speaker #1: Good morning, Francisco, Felipe, and Guy. Congratulations on the result, and thanks for taking my question. My question is on commercial aviation. This quarter, the margins saw a slight drop due to client mix.

Lucas Barbosa: Good morning, Francisco, Felipe, and Gui. Congratulations on the results, and thanks for taking my question. My question is on commercial aviation. This Q2, the margin saw a slight drop due to client mix. I wanted to understand, what are the expectations in terms of customer mix and margins for the H2 2026, or 2026 as a whole. In other words, could we see a year-over-year expansion in margins for H2 or for 2026 as a whole? Or should we see this drop that we saw in Q2 persisting throughout the year? Thank you very much.

Speaker #1: I wanted to understand what the expectations are in terms of customer mix and margins for the second half of 2026 or for 2026 as a whole.

Speaker #1: In other words, could we see a year-over-year expansion in margins for the second half or for 2026 as a whole? Or should we expect the drop that we saw in the second quarter to persist throughout the year?

Speaker #1: Thank you very much.

Speaker #5: Thank you, Lucas, for your question. Felipe here. When we look at the results for the second quarter of commercial aviation, as we mentioned, we had an impact from customer mix, driven by legacy contracts.

Gui Paiva: Thank you, Lucas, for your question. Felipe here. When we look right to the result of Q2 commercial aviation, as we mentioned, we had an impact of customer mix and driven by legacy contracts. When you look for the full year of commercial aviation, should be in line from what it was last year. Right? We're going to see some improvements going forward on EBIT and also customer mix on commercial aviation.

Speaker #5: When you look at the full year for commercial aviation, it should be in line with what it was last year, right? So, we're going to see some improvements going forward on EBIT and also on the customer mix in commercial aviation.

Speaker #1: Perfect. Super clear. Thank you very much.

Lucas Barbosa: Perfect. Super clear. Thank you very much.

Speaker #3: The next question comes from Lucas Lucky with XP. Please go ahead.

Operator: The next question comes from Lucas Laghi with XP. Please go ahead.

Speaker #7: Hi, everyone. Good morning. I have a follow-up question on profitability. I mean, we saw this very strong performance in Executive, but also in Services.

Lucas Laghi: Hi, everyone. Good morning. I have a follow-up question on profitability, but we saw this very strong performance on Executive, but also in services. Almost 18% of recurring EBIT margin in the services division. My question is, how to think of the structural levels for services going forward? I guess that this performance was slightly above what we saw as a reference according to our conversations with market participants. When it's interesting that gross margin decline and EBIT margin increased, not sure about the effects of operating leverage that you still have to capture going forward. If you could also comment on the nature and the profile of the revenues this quarter, thinking of these different components that you have in services, and how to think of this going forward.

Speaker #7: I mean, almost 18% of recurring EBIT margin on the Services division. My question is, I mean, how should we think about the structural levels for Services going forward?

Speaker #7: I guess that this performance was slightly above what we saw as a reference according to our conversations with market participants. So, it's interesting that gross margin declined and EBIT margin increased, so I'm not sure about the effect of operating leverage that you still have to capture going forward.

Speaker #7: And if you could also comment on the nature and the profile of the revenues this quarter, thinking of the different components that you have in Services, and how to think of this going forward—if we should see some more upside or downside considering this 18% return level that you saw in the second part, going forward.

Lucas Laghi: If you should see some more upside or downside considering this 18% return levels that you saw in Q2 going forward. Thank you very much.

Speaker #7: Thank you very much.

Speaker #5: Felipe here. Thank you for your question. Right. As we've mentioned, we do not just do efficiency on the business using that aircraft, but also on certain support.

Felipe Santana: Felipe here. Thank you for your question. As we mentioned, we not just do efficiency on the business unit aircraft, but also on certain support. When we look to the 17%, almost 18% of margin on certain support on the Q2, really believe that should be the way that we could do for the next quarters. Especially mainly because of the scale that we have and also all these new deals that we've been signing on pool agreements and everything with the customers on commercial aviation and also on defense and executives, is also helping us to see better margins going forward on certain support. Of course, we do have OGMA as well, that is also improving, especially on the GTF engines. Also for the coming years, we're going to see better margins coming also from OGMA.

Speaker #5: So, when we look at the 17%, almost 18% margin on certain support in the second quarter, I really believe that should be the way we could perform in the next quarters, right?

Speaker #5: Especially mainly because of the scale that we have, and also all these new deals that we've been signing on pool agreements and everything with the customers on commercial aviation, and also on defense and executives.

Speaker #5: It's also helping us to see better margins going forward on certain support. And of course, we do have AOG, right, as well. That is also improving, especially on the DTF engines.

Speaker #5: So, also for the coming years, we're going to see better margins coming also from Algema.

Speaker #4: And Philippe, if you allow me to complement your explanation, we have been pushing for efficiency gains in the entire organization. I mean, to make sure that we have the right cost structure.

Francisco Gomes Neto: Felipe, if you allow me to complement your explanation. We have been pushing for efficient gains in the entire organization. We need to make sure that we have the right cost structure, the right expenditure to support the business, the right level of investment, and continuous productivity gains. This is for us to enjoy the growth we are planning for the future, improving more than proportional the profitability. That's why we are doing this very strongly in the entire organization. We should see the profitability growing more than the revenues in the coming years.

Speaker #4: The right expenditure to support the business, the right level of investment, and productivity gains—continuous productivity gains. So this is for us to enjoy the growth we are planning for the future, improving more than proportionally the profitability.

Speaker #4: So that's why we are doing this very strongly throughout the entire organization. Then we should see profitability growing more than revenues in the coming years.

Speaker #7: Perfect. Thank you very much, Francisco, Felipe. Have a great day.

Lucas Laghi: Perfect. Thank you very much, Francisco and Felipe. Have a great day.

Speaker #4: You too. Thank you.

Francisco Gomes Neto: You too. Thank you.

Speaker #3: The next question comes from Ron Epstein with Bank of America. Please go ahead, sir.

Operator: The next question comes from Ron Epstein with Bank of America. Please go ahead, sir.

Speaker #1: Yeah. Hey, good morning, guys. Can you speak about your investment in Eve? How are you thinking about that? Is that something that should be 100% part of Embraer?

Ron Epstein: Yeah. Hey. Good morning, guys. Can you speak about your investment in Eve? How are you thinking about that? Is that something that should be 100% part of Embraer, or is that something that should be cut loose? When you think about the engineering cost of that, should those engineers be deployed on something else? It sort of seems like you're halfway in, halfway out. How are you thinking about that?

Speaker #1: Or is that something that should be cut loose? When you think about the engineering cost of that, should those engineers be deployed on something else?

Speaker #1: Or it sort of seems like you're halfway in, halfway out. How are you thinking about that?

Speaker #4: Hi, Ron, Francisco, here. Thank you very much for your question. I mean, we are very confident about the Eve's contribution to the Embraer growth, especially beyond the 2029, 2030, to complement our growth strategy.

Francisco Gomes Neto: Hi, Ron. Francisco here. Thank you very much for your question. We are very confident about the Eve's contribution to the Embraer growth, especially now beyond 2029, 2030, to complement our growth strategy at the beginning of the next decade. We had more than 60 vertical flights. We completed recently our first partial transition to horizontal flight. We have, yes, hundreds of engineers supporting Eve, but we expect to certify an entry into service of the Eve 12 by the end of 2028. In parallel, we are working to improve current products, also supporting new sales of our KC-390. New sales mean new configurations that requires a lot of engineering support. Also investing new technologies to support a new cycle of products. As I had mentioned, we continue evaluating emerging technologies and product opportunities to support a longer-term growth strategy.

Speaker #4: At the beginning of the next decade, we are now— we had more than 60 flights, vertical flights. We had also, we completed recently our first partial transition to horizontal flight.

Speaker #4: So we have, yes, hundreds of engineers supporting Eve, but we expect to certify and enter into service with the Eve tools by the end of 2028.

Speaker #4: But in parallel, we are working to improve current products and also supporting new sales of a KC390. So new sales mean new configurations that requires a lot of engineering support.

Speaker #4: And also investing new technologies to support a new cycle of products. And as I have mentioned, we continue evaluating emerging technologies and product opportunities to support a long-term growth strategy.

Speaker #4: This can be commercial aviation, executive aviation, or even defense.

Francisco Gomes Neto: This can be commercial aviation, executive aviation, or even defense.

Speaker #1: Got it, got it. And then, have you seen any impact—and forgive me if you already answered this, I may have missed it—any impact on sales campaigns from what's been going on in the Middle East?

Ron Epstein: Got it. Have you seen any impact, and forgive me if you already answered this, I might have missed it, any impact on sales campaigns from what's been going on in the Middle East?

Speaker #4: Well, I mean, in defense, yes. Because of the geopolitical situation, we have seen countries accelerating sales campaigns. So you saw the recent announcement after the UAE; we announced Colombia recently.

Francisco Gomes Neto: Well, in defense, yes. Because of the geopolitical situation, we have seen countries accelerating sales campaigns. You saw the recent announcement, after the UAE, we announced Colombia recently. You saw Greece also mentioning a potential deal through Portugal of KC-390, and we are working other campaigns as well that I cannot disclose at this point of time. Yes, Ron, the geopolitical situation is helping the defense business. I think not only for us, for the market, but yes, Embraer is benefiting because we have a great product that transport the military aircraft segments.

Speaker #4: I mean, you saw Greece also mentioning a potential deal through Portugal for the KC-390. And we are working on other campaigns as well that I cannot disclose at this point in time.

Speaker #4: So yes, Ron, the geopolitical situation is helping the defense business. I think not only for us, but for the market as a whole. But yes, Embraer is benefiting because we have a great product that transports military aircraft.

Speaker #4: Segments.

Speaker #1: And how about on the commercial side? What's the impact been?

Ron Epstein: How about on the commercial side, what's the impact been?

Speaker #4: Well, commercial, actually, I mean, what we see is that the air transportation industry has been extremely resilient despite the higher costs of the air tickets.

Francisco Gomes Neto: Well, commercial, actually, what we see is that the air transportation industry has been extremely resilient despite the higher costs of the tickets. People are still flying, and this creates an increasing demand in the market for new planes. Ron, as there is a huge backlog for bigger aircraft, now the customers, the airlines, they have to wait many years to receive a new aircraft. Combining with a better understanding of the benefits of the small narrow body to their fleets, we see a lot of opportunities for our E2s with the new orders in the future. Last year was great. This year also, we are doing very well, and we are still working a lot of new campaigns for the E2s as well. I think all this environment has been beneficial for Embraer.

Speaker #4: So people are still flying, and this creates an increasing demand in the market for new planes. And Ron, as there is a huge backlog for bigger aircraft, now the customers, the airlines, they have to wait many years to receive a new aircraft.

Speaker #4: Combining this with a better understanding of the benefits of the small narrowbody to their fleets, we see a lot of opportunities for our E2s with the new orders in the future.

Speaker #4: So last year was great. This year also, we are doing very well. And we are working and still working on a lot of new campaigns for the E2s as well.

Speaker #4: I think it's. The all this environment has been beneficial for Embraer. I mean, for defense, for commercial. Jets, and we keep selling jets as well.

Francisco Gomes Neto: I mean, for defense, for commercial jets, and we keep selling jets as well. Yeah, we are in a good momentum, I would say.

Speaker #4: So, yeah, we are in good momentum, I would say.

Speaker #1: Got it. Great. Thank you very much.

Speaker #4: You are very welcome, Ron.

Ron Epstein: Got it. Great. Thank you very much.

Francisco Gomes Neto: You are very welcome, Ron.

Speaker #3: The next question comes from Danielle Gasparecci with Itaú BBA. Please go ahead.

Operator: The next question comes from Daniel Gasparete with Itaú BBA. Please go ahead.

Speaker #5: Good morning, guys. Thank you very much for the opportunity. And congrats on the results. The first question, please, will be regarding if you could provide us with an update on India both on commercial and defense aviation.

Daniel Gasparete: Good morning, guys. Thank you very much for the opportunity, and congrats on the results. The first question, please, would be regarding if you could provide us with an update on India, both on commercial and defense aviation. That would be great. Thank you very much. The second question will be a follow-up on the previous question. When do you guys feel that Eve is going to be de-risked, I would say, operationally? Do you feel like it's going to be only after the total certification by the end of 2028? Do you feel that when you have enough flights or you're comfortable enough with the envelope of tests, that could be a threshold of comfort, please?

Speaker #5: That would be great. Thank you very much. And the second question will be a follow-up on the previous question. When do you feel that Eve is going to be de-risked?

Speaker #5: I would say operationally. Do you feel like it's going to be only after the total certification by the end of 2028, or do you feel that when you have enough flights, or you're comfortable enough with the envelope of tests, that could be a threshold of comfort? Please.

Speaker #5: And just one confirmation, Francisco, you said about a new venture. You said about commercial and executive aviation as we have discussed in the past.

Daniel Gasparete: Just one confirmation, Francisco, you said about a new venture, you said about commercial and executive as we have discussed in the past, but you mentioned defense, if I'm not mistaken. Just to clarify that, please. Thank you very much. That would be all.

Speaker #5: But you mentioned defense, if I'm not mistaken. Just to clarify that, please. Thank you very much. That would be all.

Speaker #4: All right, Danielle. Thanks for your question. Let's try to share this in parts. So, Guy, maybe you start, then you can address it to me.

Francisco Gomes Neto: All right, Daniel, thanks for your question. Let's try to share this in parts. Gui, maybe you start, then you address to me.

Speaker #1: Sure. I guess. Good morning, Gasparecci. Thanks for the question. So let me tackle the Eve question and Francisco can complement on India. On Eve, I think the project will be de-risked when we kind of achieve the major milestones that we have in the project.

Gui Paiva: Sure. Good morning, Gasparetti, and thanks for the question. Let me tackle the Eve question, and Francisco can complement on India. On Eve, I think the project will be de-risked when we kind of achieve the major milestones that we have in the project. That would include at least a full transition flight and reversal to landing. As we progress in the campaign through the rest of the year and into early 2027, we do expect this material progress to play out. Francisco?

Speaker #1: So that would include at least a full transition flight and reversal to landing. But as we progress in the campaign through the rest of the year, and into early 2027, we do expect this material progress to play out.

Speaker #1: Francisco?

Speaker #4: Yeah, Danielle, thanks for the question. About India—in India we have two fronts of opportunities, good opportunities. The first one is in defense with the MTA, medium transport aircraft. That is an opportunity for between 60 to 80 KC-390s.

Francisco Gomes Neto: Daniel, thanks for the question. About India. In India, we have two fronts of opportunities, by the way, good opportunities. The first one in defense with the MTA, medium transport aircraft. That is an opportunity between 60 to 80 KC-390s. We believe we have the best product for that application. We have signed an MOU with Mahindra, our partner, and we are just waiting for the customer, the Indian Air Force, to issue the RFP for us to present our proposal with the localization strategy. In parallel, we have been working in the civil aviation as well, with an opportunity to introduce our E-Jets E1s and E2s to help India to improve their connectivity between smaller cities and taking advantage of the Make in India initiative.

Speaker #4: We believe we have the best product for that application, but it's a bit—so we have signed an MOU with Mahindra, our partner, and we are just waiting for the customer, the India Air Force, to issue the RFP for us to present our proposal.

Speaker #4: With a localization strategy. In parallel, we have been working in the civil aviation as well with an opportunity to introduce our eJets, E1s and E2s to help India to improve the connectivity between smaller cities and taking advantage of the making India initiative.

Speaker #4: So in that sense, we have signed an MOU with the Adani Group, and we are in close conversation with them, to find the best way to explore that opportunity.

Francisco Gomes Neto: In that sense, we have signed an MOU with the Adani Group, and we are in close conversation with them to find the best way to explore that opportunity. Both are great opportunities for us, for Embraer, to grow and expand our production capabilities outside Brazil.

Speaker #4: But both are great opportunities for us, for Embraer, to grow and expand our production capabilities outside Brazil.

Speaker #5: Thank you, Francisco. Thank you, Guy. And just one follow-up on the question that I made. On the previous answer that you gave, you mentioned about looking about new ventures.

Daniel Gasparete: Thank you, Francisco. Thank you, Gui. Just one follow-up on the question that I made. On the previous answer that you gave, you mentioned about looking at new ventures. You mentioned commercial and executive aviation, as we have always been discussing, but you also mentioned defense. I would just like to clarify that, if I understood that correctly, that will be something that you're going to be considering as well, or it will be only on commercial and executive aviation, please?

Speaker #5: You mentioned a commercial and executive aviation as we have always been discussing. But you also mentioned defense. I would just like to clarify that if I understood that correctly.

Speaker #5: You would be there will be something that you're going to be considering as well? Or it'll be only on commercial and executive aviation?

Speaker #4: Well, in defense, we have two main products, right? The KC390 and the Super Tucano. We recently announced an upgrade in the Super Tucano with a new cockpit and a new features to detect and eliminate drones and we expect that we'll help us to increase the sales of Super Tucano as well.

Francisco Gomes Neto: Well, in defense, we have two main products, the KC-390 and the Super Tucano. We recently announced an upgrade in the Super Tucano with a new cockpit and new features to detect and eliminate drones. We expect that will help us to increase sales of Super Tucano as well.

Speaker #5: Okay, great. Thank you very much.

Speaker #4: You are welcome, Danielle.

Daniel Gasparete: Okay, great. Thank you very much.

Speaker #3: The next question comes from André Maslini with Citi. Please go ahead.

Francisco Gomes Neto: You are welcome, Daniel.

Operator: The next question comes from André Mazini with Citi. Please go ahead.

Speaker #1: Yes. Hi, Francisco, Felipe, Guy, and Thais. Thanks for the question. So, we see a couple of large airlines bringing engine MRO in. This year, there was news of Ryanair announcing they would do this, bring it in-house.

André Mazini: Yes. Hi, Francisco, Felipe, Gui, and Taís. Thanks for the question. We see a couple of large airlines bringing engine MRO in-house this year. There was news of Ryanair announcing they would do this, bring it in-house. Do you think this may be a trend for E-Jet operators as well, or this will probably be contained to larger jets and very large fleets? 600 737s in the case of this particular airline. Thank you. Thank you so much.

Speaker #1: Do you think this may be a trend for eJet operators as well? Or this will probably be contained to larger jets and very large fleets, right?

Speaker #1: 600, 737s in the case of this particular airlines. Thank you. Thank you so much.

Speaker #4: Thank you, André. Good question. That's my opinion. I think this makes sense only for large volumes, right? So, airlines that operate sizable fleets, that’s where this may make sense.

Francisco Gomes Neto: Thank you, André. Good question. That's my opinion. I think this makes sense only for large volumes. Airlines that operate sizable fleets, that this maybe makes sense because the investments are huge, and also the main purpose of the airline should be flying. Anyway, maybe with big fleets, this makes sense, we don't see this as a trend for all the markets.

Speaker #4: Because the investments are huge. And also, I mean, the main purpose of the airline should be to fly, right? But anyway, maybe with big fleets, this makes sense. We don't see this as a trend for other markets.

Speaker #1: Great, Francisco. And if I may, a quick follow-up. If you could remind us the breakdown in the service revenue between Embraer airplanes and other OEMs, airplanes, we understand OGMA, for instance, they also do larger narrow bodies.

André Mazini: Great, Francisco. If I may, a quick follow-up. If you could remind us the breakdown in the service revenue between Embraer airplanes and other OEMs airplanes. We understand OGMA, for instance, they also do larger narrow bodies. I would imagine, of course, the bulk of it is Embraer, what's the share currently between Embraer and non-Embraer in the service revenue? Thank you so much.

Speaker #1: I would imagine, of course, the bulk of it is Embraer. But what's the share currently between Embraer and non-Embraer in the service revenue? Thank you so much.

Speaker #2: Hi, good morning. So in terms of our service division, OGMA should be running something close to 350 to 400 million dollars of revenues this year.

Gui Paiva: Hi. Good morning. In terms of our service division, OGMA should be running something close to $350 to $400 million of revenues this year. The bulk of that is going to be non-Embraer fleets. That is the agnostic part of the business, and the balance of that, which should be about $1.5, $1.6 billion, will be our Embraer or fleet-related business.

Speaker #2: And the bulk of that is going to be non-Embraer fleets, and that is the agnostic part of the business. The balance of that, which should be about $1.5 to $1.6 billion, will be our Embraer or fleet-related business.

Speaker #1: That's very interesting. Thank you, Francisco and Guy.

Speaker #3: Thank you, ladies and gentlemen. Now we will start the Q&A, dedicated to the press. First, we'll answer questions in English, and then we'll be answering questions in Portuguese.

André Mazini: Super interesting. Thank you, Francisco and Gui.

Operator: Thank you, ladies and gentlemen. We will start the Q&A session dedicated to the press. First, we will answer questions in English, and then we'll be answering questions in Portuguese. We will also answer questions sent via the platform chat. Please hold while we compile the questions. The first question comes from Ioannis Rekas with Flight.com.gr. Please go ahead.

Speaker #3: We will also answer questions sent via the platform chat. Please hold while we compile the questions. The first question comes from Ioannis Vrakas with flight.com.gr.

Speaker #3: Please go ahead.

Speaker #4: Good afternoon from Greece. Can you hear me?

Speaker #5: Yeah, yes, we can. Go ahead.

Ioannis Rekas: Good afternoon from Greece. Can you hear me?

Ioannis Rekkas: Good afternoon from Greece. Can you hear me?

Speaker #4: Great, great. I would like to congratulate you, first of all, for these exceptional results. My question has to do, of course, with the potential of Greece acquiring three C-390s. It is a program that was passed by the Parliament, and we're expecting a cost of €600 million.

Francisco Gomes Neto: Yes, we can. Go ahead.

Ioannis Rekas: Great. I would like to congratulate you, first of all, for these exceptional results. My question has, of course, to do with the potential of a Greece requirement for C-390. It is a program that was passed from the parliament, we're expecting a cost of EUR 600 million. I would like if you can share with us some more updates regarding that. The comment, of course, in the difference of the cost between Colombia's and Greece program per unit. Thank you very much.

Ioannis Rekkas: Great. I would like to congratulate you, first of all, for these exceptional results. My question has, of course, to do with the potential of a Greece requirement for C-390. It is a program that was passed from the parliament, we're expecting a cost of EUR 600 million. I would like if you can share with us some more updates regarding that. The comment, of course, in the difference of the cost between Colombia's and Greece program per unit. Thank you very much.

Speaker #4: So I would like if you can share with us some more updates regarding that. And the comment, of course, in the difference of the cost between Colombia's and Greece's program.

Speaker #4: Per unit. Thank you very much.

Speaker #5: Oh, thank you for your question.

Speaker #4: This opportunity is being discussed between Greece and Portugal. That's why there is an opportunity for short deliveries to Greece. We cannot disclose—we don't know the details about commercial conditions, and we can't disclose your, I mean, price, because every aircraft is different.

Francisco Gomes Neto: Thank you for your question. This opportunity is being discussed between Greece and Portugal. That's why there is an opportunity for short deliveries to Greece. We cannot disclose, we don't know the details about commercial conditions, and we can't disclose price because every aircraft is different, every aircraft has a different specification, and this means different costs for each program.

Speaker #4: Every aircraft has different specifications, and this means different costs for each program.

Speaker #1: Great. Thank you very much. Thank you very much.

Speaker #4: You are welcome.

Speaker #3: Once again, if you would like to ask a question, please click 'Raise Hand' at this time. Ladies and gentlemen, please hold while we compile the questions.

Ioannis Rekas: Great. Thank you very much.

Ioannis Rekkas: Great. Thank you very much.

Francisco Gomes Neto: You are welcome.

Operator: Once again, if you would like to ask a question, please click raise hand at this time. Ladies and gentlemen, please hold while we compile the questions. The next question comes from Edgardo Gimenez from Aviacionline. Please go ahead. Mr. Gimenez, your mic is Sir?

Speaker #3: The next question comes from Edgardo Jimenez from Aviación Line. Please go ahead. Mr. Jimenez, your mic is on, sir?

Speaker #5: Hi. Can you hear me now? Yes? Oh, thank you.

Speaker #4: Yeah, yes, we can. Go ahead.

Speaker #5: No. My question was, with respect to each order from LATAM and ABRA Group, do you see the issue family as a potential good fit for low-cost carriers in the region, such as JetMar, Volaris, or Viva?

Edgardo Gimenez Mazó: Hi. Can you hear me now? Yes?

Edgardo Gimenez: Hi. Can you hear me now? Yes?

Operator: Yes.

Edgardo Gimenez Mazó: Oh, thank you.

Edgardo Gimenez: Oh, thank you.

Francisco Gomes Neto: Yes, we can. Go ahead.

Edgardo Gimenez Mazó: Sorry. No, my question was, with recent E2 orders from LATAM and Abra Group, do you see the E2 family as a potential good fit for low-cost carriers in the region, such as JetSMART, Volaris, or Viva? Have you actually pitched business cases to these kind of low-cost carriers in Latin America?

Edgardo Gimenez: Sorry. No, my question was, with recent E2 orders from LATAM and Abra Group, do you see the E2 family as a potential good fit for low-cost carriers in the region, such as JetSMART, Volaris, or Viva? Have you actually pitched business cases to these kind of low-cost carriers in Latin America?

Speaker #5: Have you actually actively pitched business cases to this kind of low-cost carriers in Latin America?

Speaker #4: Yeah, thanks for the question. Absolutely. We see the E2, I mean, as a perfect fit for this kind of application. No, no. Azul doing very well in Brazil.

Francisco Gomes Neto: Well, thanks for the question. Absolutely. We see the E2 as a perfect fit for this kind of application. We see now Azul doing very well in Brazil, now coming LATAM. The Abra Group, we don't know yet where they will fly the E2s. The idea is the same, to improve connectivity between smaller cities. Mexico is another opportunity. Avianca, of course, in Colombia, under the Abra Group. Mexico for sure. We have, I think over 60 Embraer E1s flying Mexico with different, Aeroméxico and other airlines. Now Mexicana introducing the E2s with a success operation. Yes, we hope the other airlines will look at the E2 as well as an opportunity to complement the operation of large and narrow body in a very efficient way.

Speaker #4: Now, coming to LATAM, the ABRA Group—we don't know yet where they will fly the E2s. But the idea is the same: to improve connectivity between smaller cities.

Speaker #4: And Mexico is another opportunity. So, Avianca, of course, in Colombia, and the ABRA Group. But Mexico, for sure. We have, I mean, I think over 60 Embraer E1s flying in Mexico with different airlines — Aeromexico and others.

Speaker #4: Now Mexicana introducing the E2s. With the success operation, and yes, we hope the other lines will look at the E2 as well as an opportunity to complement the large.

Speaker #4: In a very efficient way.

Speaker #1: Thank you very much.

Speaker #3: Ladies and gentlemen, once again, if you would like to pose a question, please click "Raise Hand" at this time. Please hold while we compile the questions.

Edgardo Gimenez Mazó: Thank you very much.

Edgardo Gimenez: Thank you very much.

Operator: Ladies and gentlemen, once again, if you would like to pose a question, please click raise hand at this time. Please hold while we compile the questions. The next question was sent from the chat, and is from Robert Wall with Aviation Week. On C-390 rates, given the recent orders and what you were seeing in potential opportunities, what is your thinking to go higher than 10 aircraft per year in 2030?

Speaker #3: Next question was sent from the chat, and it's from Robert Wall with Aviation Week. On C390, given the recent developments and what you are seeing in terms of potential opportunities, what is your thinking about going higher than 10 aircraft per year in 2030?

Speaker #4: Well, I mean, an opportunity we are working on is with India. And this will allow us to implement a second assembly line outside Brazil, and go to production levels above 10 per year.

Francisco Gomes Neto: Well, an opportunity we are working on is with India, this will allow us to implement a second assembling line outside Brazil and go to production levels above 10 per year. Another opportunity we are working on is with the United States. That will also allow us, if things go well, and depending on the size of the order, to implement a third assembly line that will allow us to increase even further the production of KC-390. I believe Bosco, our VP of Defense is with us. Bosco, do you want to add anything on that? I think he's not hearing us. Okay. That's it.

Speaker #4: And another opportunity we are working on is with the United States. That will also allow us, if things go well, and depending on the size of the order, to implement a third assembly line, which will allow us to further increase the production of the KC390.

Speaker #4: But I believe both of our VPs of Defense are with us. Bosco, do you want to add anything to that? I think he's not here yet.

Speaker #4: Okay. That's it.

Speaker #3: Thank you very much, sir. This concludes the question and answer session in English for the press. This question and answer session is now being conducted in Portuguese.

Speaker #3: To switch to English, please press the interpretation button on the platform and then select English. Agora, vamos iniciar a sessão de perguntas e respostas em português.

Operator: Thank you very much, sir. This concludes the question and answer session in English for the press. This question and answer session is now being conducted in Portuguese. To switch to English, please press the interpretation button on the platform and then select English. Agora vamos iniciar a sessão de perguntas e respostas em português. A próxima pergunta vem de Marcelo Rocha com CBN Vale. Por favor, pode prosseguir.

Speaker #3: A próxima pergunta vem de Marcelo Rocha, com CBN. Por favor, pode prosseguir. Senhor Rocha, Marcelo Rocha, com CBN Vale, pode prosseguir. Senhoras e senhores, acredito que o microfone do Marcelo Rocha está mutado do lado dele.

Taís Moraes: Senhor Rocha, Marcelo Rocha, com CBN Vale, pode prosseguir. Senhoras e senhores, acredito que o microfone do Marcelo Rocha está mutado do lado dele. A próxima pergunta vem de Karin Salomão, com Seu Dinheiro. Por favor, pode prosseguir.

Speaker #3: Então, a próxima pergunta vem de Karim Salomão, com Seu Dinheiro. Por favor, pode prosseguir.

Speaker #2: Bom dia. Consegue.

Speaker #4: Bom dia.

Speaker #2: Oi. O backlog da Embraer continua batendo recordes. Tem algum limite do que a Embraer é capaz de produzir? Quais são os investimentos para aumentar a produção nos próximos anos?

Karin Salomão: Bom dia.

[Analyst 1]: Bom dia.

Speaker #2: Ou esses ganhos de eficiência que os senhores falaram são o suficiente para manter a velocidade de entregas? Obrigada.

Francisco Gomes Neto: Bom dia.

Karin Salomão: Oi. O backlog da Embraer continua batendo recordes. Tem algum limite do que a Embraer é capaz de produzir? Quais que são os investimentos para aumentar a produção nos próximos anos? Ou esses ganhos de eficiência que os senhores falaram são o suficiente para manter a velocidade de entregas e produção? Obrigada.

[Analyst 1]: Oi. O backlog da Embraer continua batendo recordes. Tem algum limite do que a Embraer é capaz de produzir? Quais que são os investimentos para aumentar a produção nos próximos anos? Ou esses ganhos de eficiência que os senhores falaram são o suficiente para manter a velocidade de entregas e produção? Obrigada.

Speaker #4: Muito boa pergunta. É uma combinação das duas coisas. Uma é continuar investindo em eficiência. Então, o exemplo que tenho trazido aqui com os 2021, hoje produz o mesmo.

Francisco Gomes Neto: Oi, Karin. Muito boa pergunta. É uma combinação das duas coisas. Uma, continuar investindo em eficiência. Um exemplo que a gente sempre tem trazido aqui, com os Praetor, por exemplo, a gente em 2021 levava para produzir um Praetor, hoje a gente produz o mesmo avião em 8 meses e meio. A gente com isso consegue produzir mais aviões com a mesma estrutura. Em paralelo, nós estamos investindo também em aumento de capacidade de produção. A gente espera chegar em 2030 com uma capacidade de produção entre 110 a 120 aviões comerciais por ano, mais de 200 aviões executivos e mais de 10 KC no Brasil. O KC, como eu falei numa pergunta anterior, ainda tem a oportunidade de a gente ter novas linhas de produção. A Índia é uma possibilidade, Estados Unidos é outra, e até os aviões comerciais.

Speaker #4: Então, a gente, com isso, consegue produzir mais aviões com a mesma estrutura. Mas, em paralelo, estamos investindo também no aumento de capacidade de produção.

Speaker #4: Então, a gente espera chegar em 2030 com uma capacidade de 110 a 120 aviões comerciais por ano, mais de 200 aviões executivos e mais de 10 KCs no Brasil.

Speaker #4: E o KC, como eu falei na pergunta, numa pergunta anterior, ainda tem a oportunidade de a gente ter novas linhas de produção, ainda é uma possibilidade.

Speaker #4: Os Estados Unidos é outra. E até os aviões comerciais, se o nosso projeto avançar, nós podemos ter uma segunda linha de produção dos aviões comerciais na Índia.

Speaker #4: Então, assim, iniciativas, mas nós estamos fazendo isso de uma forma bastante responsável. O crescimento do nosso capital de produção que vai limitar o nosso crescimento futuro.

Speaker #2: Perfeito. o. Obrigada.

Francisco Gomes Neto: Se o nosso projeto com a Índia avançar, nós podemos ter uma segunda linha de produção dos aviões comerciais na Índia. Tem boas perspectivas, mas nós estamos fazendo isso de uma forma bastante responsável, simultaneamente ao crescimento do nosso backlog. Não vai ser a capacidade de produção que vai limitar o nosso crescimento futuro.

Speaker #4: Nada.

Speaker #3: A nossa próxima pergunta vem de Christian Carrico, do Valor Econômico. Por favor, pode prosseguir.

Speaker #4: Pessoal, tudo bem? Acho que obrigado aí pelo espaço. Parabéns pelos do meu lado. Só consegui ouvir pouquinho mais de vocês sobre interessante. Sobretudo nas divisões executivas.

Speaker #4: Então, só para ver se eu entendi bem, foi basicamente esse ajuste fino que vocês conseguiram fazer do lado dos fornecedores para reduzir esses atrasos, e vocês têm uma perspectiva bem positiva.

Karin Salomão: Perfeito, obrigada.

[Analyst 1]: Perfeito, obrigada.

Francisco Gomes Neto: De nada.

Taís Moraes: A nossa próxima pergunta vem de Christian Carrico, com Valor Econômico. Por favor, pode prosseguir.

Speaker #4: Pelo que entendi, foi isso. E uma dúvida que eu fiquei é com relação a atualizações de guidance por causa da questão das tarifas dos Estados Unidos.

Christian Carrico: Pessoal, tudo bem? Acho que obrigado pelo espaço, parabéns pelos resultados. Uma dúvida do meu lado, se eu conseguir ouvir um pouquinho mais de vocês sobre essa atualização de guidance, eu achei bem interessante essa questão de ganhos de produtividade, sobretudo na divisão executiva. Só pra ver se eu entendi bem, foi basicamente esse ajuste fino que vocês conseguiram fazer do lado dos fornecedores pra reduzir esses atrasos e vocês têm uma perspectiva ali positiva. Pelo que eu entendi, foi isso. Uma dúvida que eu fiquei é com relação a atualizações de guidances por causa da questão das tarifas dos Estados Unidos. Eu lembro que antes, se eu não estou enganado, essas tarifas caíram, mas vocês acabaram não fazendo uma atualização de guidance por causa disso, vocês mantiveram. Eu estou na dúvida se há espaço de fazer novas atualizações por causa desse cenário.

[Analyst 2]: Pessoal, tudo bem? Acho que obrigado pelo espaço, parabéns pelos resultados. Uma dúvida do meu lado, se eu conseguir ouvir um pouquinho mais de vocês sobre essa atualização de guidance, eu achei bem interessante essa questão de ganhos de produtividade, sobretudo na divisão executiva. Só pra ver se eu entendi bem, foi basicamente esse ajuste fino que vocês conseguiram fazer do lado dos fornecedores pra reduzir esses atrasos e vocês têm uma perspectiva ali positiva. Pelo que eu entendi, foi isso. Uma dúvida que eu fiquei é com relação a atualizações de guidances por causa da questão das tarifas dos Estados Unidos. Eu lembro que antes, se eu não estou enganado, essas tarifas caíram, mas vocês acabaram não fazendo uma atualização de guidance por causa disso, vocês mantiveram. Eu estou na dúvida se há espaço de fazer novas atualizações por causa desse cenário.

Speaker #4: Eu lembro que antes, se eu não estou enganado, vocês essas tarifas caíram, mas vocês acabaram não fazendo uma atualização de guidance por causa de vocês mantiveram.

Speaker #4: Aí eu estou na dúvida, tipo assim, há espaço de fazer novas atualizações por causa desse cenário? E tem aquela questão de você ter ainda residual de peças que foram enviadas, enfim, e por isso foram tarifadas, por isso você tem no balanço.

Speaker #4: Isso já está menor? Isso deve continuar nos próximos trimestres? Nós para entender pouco como que está essa questão dentro dos números, você tem mais possibilidade de ajustes para frente.

Speaker #4: Obrigado.

Speaker #1: Foi, Christian, bom dia. Guilherme aqui. Obrigado pela pergunta. O ajuste de guidance que a gente fez, como você mencionou, foi por uma série de fatores.

Speaker #1: Uma foi os créditos tarifários relacionados às tarifas americanas que nós recebemos durante esse trimestre. Outro ponto foi o fato que nós não estamos mais sendo tributados diretamente, por esses impostos de importação norte-americanos dadas decisões que aconteceram no país, recentemente.

Christian Carrico: Tem aquela questão de você ter ainda um residual de peças que foram enviadas, e por isso foram tarifadas, por isso você tem isso no balanço. Isso já está menor? Isso deve continuar nos próximos trimestres? Mais pra entender um pouco como que está essa questão dentro dos números, se tem mais possibilidade de ajustes pra frente. Obrigado.

[Analyst 2]: Tem aquela questão de você ter ainda um residual de peças que foram enviadas, e por isso foram tarifadas, por isso você tem isso no balanço. Isso já está menor? Isso deve continuar nos próximos trimestres? Mais pra entender um pouco como que está essa questão dentro dos números, se tem mais possibilidade de ajustes pra frente. Obrigado.

Speaker #1: E o terceiro foi pouco a melhoria do nosso Outlook de negócios, dado que a empresa vem performando pouco melhor do que a gente esperava nos trimestres anteriores.

Gui Paiva: Oi, Christian, bom dia. Guilherme aqui. Obrigado pela pergunta. O ajuste de guidance que a gente fez, como você mencionou, foi uma série de fatores. Um foi os créditos tarifários relacionados às tarifas americanas que nós recebemos durante esse trimestre. Outro ponto foi o fato que nós não estamos mais sendo tributados diretamente por esses impostos de importação norte-americanos, dadas decisões que aconteceram no país recentemente. O terceiro foi um pouco a melhoria do nosso outlook de negócios. Dado que a empresa vem performando um pouco melhor do que a gente esperava nos trimestres anteriores. A administração revê o plano de negócios dela regularmente. Quando nós publicamos nossos resultados trimestralmente, esse é sempre um momento no qual a gente pode reiterar o guidance anterior que a empresa teve ou atualizá-lo como nós fizemos nesse trimestre.

Speaker #1: A administração revê o plano de negócios dela regularmente. E, quando nós publicamos nossos resultados trimestralmente, isso é sempre um momento no qual a gente pode reiterar o guidance anterior que a empresa teve, ou atualizá-lo, como nós fizemos nesse trimestre.

Speaker #3: Perfeito, obrigado. A próxima pergunta vem de Marcelo Rocha, da CBN Vale. Por favor, pode prosseguir. Senhor Rocha, o senhor está liberado, mas o seu microfone está mutado do seu lado.

Speaker #3: Poderia verificar isso, por favor? Nós não estamos te ouvindo. Nós não estamos te ouvindo. Ok, muito obrigada. A próxima pergunta vem do chat e é de Nelson During, com o Defesa Net.

Christian Carrico: Perfeito, Guilherme. Obrigado.

[Analyst 2]: Perfeito, Guilherme. Obrigado.

Taís Moraes: A próxima pergunta vem de Marcelo Rocha, com CBN Vale. Por favor, pode prosseguir. Senhor Rocha, o senhor está liberado. Mas o seu microfone está mutado do seu lado. Poderia verificar isso, por favor? Nós não estamos te ouvindo. Ok, muito obrigada. A próxima pergunta vem do chat e é de Nelson Düring, com DefesaNet. A primeira pergunta é: qual a participação projetada para a área de defesa no faturamento total? Agora está em 14%.

Speaker #3: Aqui. A primeira pergunta é: qual a participação projetada para a área de defesa no faturamento total? Agora está em 14%.

Speaker #4: Obrigado pela pergunta, Nelson. Historicamente, a Defesa sempre ficou nessa faixa de em torno de 12% a 15% da participação da receita da Embraer. Mas o que acontece agora, como a receita está crescendo, então esse valor em dólar ele cresce também.

Speaker #4: Então a gente estima assim que pelo menos até 2030 a Defesa fica aí nessa faixa de 12% a 15%. Da participação da receita, mas com uma rentabilidade crescente, o que é bastante importante.

Francisco Gomes Neto: Obrigado pela pergunta, Nelson. Historicamente, a defesa sempre ficou nessa faixa em torno de 12% a 15% da participação da receita da Embraer. O que acontece agora, como a receita está crescendo, esse valor em dólar cresce também. A gente estima que pelo menos até 2030, a defesa fique nessa faixa de 12% a 15% da participação da receita, mas com uma rentabilidade crescente, o que é bastante importante.

Speaker #3: Muito obrigada. Nós também temos uma segunda pergunta aqui, enviada no chat, do Marcelo Rocha, que ele mandou aqui para a gente, com a CBN Vale.

Speaker #3: Para o senhor Francisco, foi citado que a previsão do EVTOL da AIVE entrar em operação comercial até o final de 2028. Quantas unidades podem entrar no mercado nesse período e qual será o primeiro voo comercial previsto no Brasil ou no exterior?

Speaker #4: Obrigado pela pergunta. Sim, a nossa expectativa é dela, do EVE entrar em operação até o final de 2028. Nós temos hoje cerca de 3.000 cartas de intenção de compra.

Taís Moraes: Muito obrigada. Nós também temos uma segunda pergunta aqui enviada no chat, do Marcelo Rocha, que ele mandou aqui pra gente, com CBN Vale. Para o senhor Francisco: foi citado que a previsão do eVTOL da Eve entrar em operação comercial até o final de 2028. Quantas unidades podem entrar no mercado nesse período e qual será o primeiro voo comercial previsto no Brasil ou no exterior?

Speaker #4: Alguns pedidos já firmes. Para o EVTOL, a entrada em operação possivelmente deve ocorrer no Brasil e nos Estados Unidos, como início. Talvez simultaneamente. E no Brasil, pela proximidade da engenharia, nos Estados Unidos, pelas oportunidades que nós temos em várias cidades.

Francisco Gomes Neto: Obrigado pela pergunta. Sim, a nossa expectativa é do Eve entrar em operação até o final de 2028. Nós temos hoje cerca de 3,000 cartas de intenção de compra, alguns pedidos já firmes para o eVTOL. A entrada em operação, possivelmente deve ocorrer no Brasil e nos Estados Unidos, como início, talvez simultaneamente. No Brasil, pela proximidade da engenharia, e nos Estados Unidos, pelas oportunidades que nós temos em várias cidades. É nesta linha e a gente, em termos de produção, nós vamos iniciar com a produção em Taubaté, como a gente já anunciou no passado. Taubaté vai ter uma capacidade máxima próximo de 480 unidades por ano e com uma remontagem dessas aeronaves perto das operações onde elas devem operar no futuro, porque ela não voa. Ela tem um range muito pequeno.

Speaker #4: Então, é nesta linha. E a gente, em termos de produção, nós vamos iniciar com a produção em Taubaté, como a gente já anunciou no passado.

Speaker #4: Taubaté vai ter uma capacidade aí máxima próximo de 480 unidades por ano. E com uma remontagem dessas aeronaves, perto das operações onde elas devem operar no futuro, porque ela não voa, ela tem range muito pequeno.

Speaker #4: E com isso a gente vai sentindo o mercado. E depois vamos decidir sobre outras fábricas do eVTOL, que a gente ainda não tem essa definição neste momento.

Speaker #4: Mas é assim que a gente quer suportar a entrada de operação dos EVTOLs a partir de 2028.

Speaker #3: Muito obrigada. A próxima pergunta também vem do chat e também é do Nelson During, com Defesa Net. Quais as versões estão sendo projetadas para o KC-390?

Francisco Gomes Neto: Com isso a gente vai sentindo o mercado e depois vamos decidir sobre outras fábricas do eVTOL, que a gente ainda não tem essa definição neste momento. Mas é assim que a gente quer suportar a entrada de operação dos eVTOLs a partir de 2028.

Speaker #3: O KC-390 MPA, Maritime Patrol Aircraft, está avançando?

Speaker #4: Olha, Nelson, eu não tenho esse detalhe de informação sobre essas versões, mas as versões que nós vendemos hoje são o C-390 e o KC-390. A diferença entre os dois é o reabastecimento, o air refueling, o reabastecimento aéreo.

Taís Moraes: Muito obrigada. A próxima pergunta também vem do chat e também é do Nelson Düring, com DefesaNet. Quais as versões estão sendo projetadas para o KC-390? O KC-390 MPA, Maritime Patrol Aircraft, está avançando?

Speaker #4: E cada negócio tem especificações diferentes. Não temos ainda uma versão para patrulhamento marítimo, que eu saiba. E até o momento. Então nós estamos focando realmente.

Speaker #4: Os modelos do C-390 e no C-390, com as diferentes especificações de cada cliente.

Francisco Gomes Neto: Olha, Nelson, eu não tenho esse detalhe de informação sobre essas versões, mas as versões que nós vendemos hoje é o C-390 e o KC-390. A diferença entre os dois é o reabastecimento, o air refueling, o reabastecimento aéreo, e cada negócio tem especificações diferentes. Não temos ainda uma versão para patrulhamento marítimo, que eu saiba, até o momento. Nós estamos focando realmente nos modelos do C-390 e no KC-390, com as diferentes especificações de cada cliente.

Speaker #3: Muito obrigada. E ok, está certo. Muito obrigada, senhor. Concluímos as sessões de perguntas e respostas e a conferência de resultados da Embraer. Muito obrigada pela sua participação e tenham todos bom dia.

Taís Moraes: Muito obrigada. Ok, está certo. Muito obrigada, senhor. Concluímos as sessões de perguntas e respostas e a conferência de resultados da Embraer. Muito obrigada pela sua participação e tenham todos um bom dia.

Karin Salomão: Parabéns a todos!

[Analyst 2]: Parabéns a todos!

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