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A. History and Development of the Company
Overview
Embraer S.A. is a publicly held corporation duly incorporated under the laws of Brazil with an indefinite term of duration. Our principal executive office is located at Avenida Dra. Ruth Cardoso, No. 8,501, 30th floor (part), Eldorado Business Tower, Pinheiros, ZIP Code 05425-070, city of São Paulo, state of São Paulo, Brazil. Our telephone number is 55-11-3040-6874, and our internet address is ri.embraer.com.br.
Originally formed in 1969 by the Brazilian government, we became a publicly held corporation in 1989 and were privatized in 1994. In the privatization process, the Brazilian government created the golden share, a special class of shares to ensure that the Brazilian government has certain veto rights, in particular regarding military programs.
In 2000, we registered with the SEC and listed our American Depositary Receipts on the New York Stock Exchange. In 2006, we began a corporate restructuring process with the objective of simplifying our capital structure, which since then is comprised solely of common shares. Moreover, we joined a special listing segment of the B3 known as Novo Mercado, enhancing our corporate governance standards; and, since doing so, we have not had a controlling shareholder or controlling shareholder group.
In 2010, our shareholders approved a change of our corporate name from “Embraer – Empresa Brasileira de Aeronáutica S.A.” to “Embraer S.A.” In addition, our shareholders broadened our corporate object and the scope of our Defense & Security segment to allow this segment to manufacture and trade equipment, materials, systems, software, accessories and components for the defense, security and energy industries, as well as to perform technical activities and services related to these areas. As a result, our by-laws were amended to reflect the addition of these activities to our corporate purposes.
In 2011 and 2012, we made acquisitions and entered into partnerships in the Defense & Security segment, including the acquisition of Atech Negócios em Tecnologias S.A. and Bradar Indústria S.A., or Bradar (which was merged into Embraer in 2018), Savis Tecnologia e Sistemas S.A. (which was merged into Embraer in 2021) and Visiona Tecnologia Espacial S.A., or Visiona.
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In 2020, through our subsidiary Embraer Defesa e Segurança Participações S.A., we acquired 61% of Tempest Serviços de Informática S.A., and its subsidiaries, a cybersecurity company in Brazil. In 2024, Embraer Defesa e Segurança Participações S.A. indirectly acquired 100% of Tempest and its subsidiaries.
In 2021, we, through our subsidiary EVE, entered into a business combination agreement with Zanite Acquisition Corp., or Zanite, to further develop EVE’s comprehensive, practical and capital efficient UAM solutions. The objective of this solution is the design and production of eVTOL, service and support of such vehicle, fleet operations and UATM. The transaction closed on May 9, 2022 and Zanite changed its name to Eve Holding Inc., or Eve Holding. Eve Holding’s shares were listed on the New York Stock Exchange on May 10, 2022.
In June 2023, we, through our subsidiary Embraer Aircraft Holding, Inc., or EAH, and Nidec Motor Corporation, one of the world’s leading comprehensive electric motor manufacturers, comprised by approximately 340 group companies all over the world, entered into an agreement, or the Framework Agreement, which establishes the terms and conditions for the formation of a new company named Nidec Aerospace, LLC, or Nidec. The objective of this partnership is the joint development and manufacture of electric propulsion systems for aeronautical usage, including for vertical take-off and landing vehicles, and for fixed-wing aircraft. The transaction closed on October 5, 2023.
Business Development
We have grown from a government‑controlled company, originally established to develop and produce aircraft for the Brazilian Air Force, into a publicly held company that produces aircraft for commercial and executive aviation and for defense and security purposes and related services. As part of our evolution, we have obtained, developed and enhanced our engineering and technological capabilities through our own development of products for the Brazilian Air Force and through joint product development with foreign companies on specific projects. We have applied these capabilities that we gained from our Defense & Security segment to further develop our Commercial Aviation segment.
Our reportable operating segments reflect the organizational and management structure used by the Chief Executive Officer, as chief operating decision‑maker, to allocate resources and assess performance, with the Company’s results evaluated on a consolidated basis and segregated by product perspective into Commercial Aviation, Executive Aviation, Defense & Security, and Services & Support, while operating activities that do not meet the quantitative thresholds are aggregated and disclosed as Other Segments.
Commercial Aviation
Our first regional aircraft was EMB-110 the Bandeirante, a 19-passenger twin-engine non-pressurized turboprop aircraft initially designed to service the transport needs of the Brazilian Air Force. This aircraft was certified in 1973. The Bandeirante was followed by the EMB 120 Brasília, which was certified in 1985. The EMB 120 Brasília is a high performance, pressurized turboprop commercial aircraft seating up to 30 passengers and was designed to serve the longer routes and higher passenger traffic of the growing regional aircraft market. Drawing upon the design of the EMB 120 Brasília and the jet technology acquired in our development of the AM-X, a jet strike bomber for the Brazilian Air Force, we developed the ERJ 145 regional aircraft family, our first jet product for commercial use. This family comprises three aircraft, which seat up to 37, 44 and 50 passengers. The first member of the ERJ family, the ERJ 145, was certified in 1996. We have expanded our jet product line with the development of the EMBRAER 170/190 jet family, which has the capacity to seat between 70 and 118 passengers and was designed to serve the aircraft market’s trend towards larger, higher volume and longer-range jets. The first member of this family, the EMBRAER 170, was certified in February 2004, and its derivatives, the EMBRAER 175 and the EMBRAER 190, were certified in December 2004 and August 2005, respectively. The certification of the EMBRAER 195 was granted in June 2006. In June 2013, Embraer launched the second generation of its E-Jets family of commercial aircraft, the E-Jets E2, comprising three aircraft, the, E190-E2 and E195-E2. The E190-E2 and the E195-E2 entered service in April of 2018 and September of 2019, respectively. Our Commercial Aviation segment accounted for 31.3%, 34.5% and 35.1% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. For more information, see “—B. Business Overview—Commercial Aviation Segment.”
Executive Aviation
We developed a line of executive jets throughout time, beginning with the Legacy 600, which was discontinued in 2016 to focus on the success of its longer-range successor, the Legacy 650. In 2005, we launched the Phenom 100, an entry-level jet, and the Phenom 300, a light jet. Later in 2006, the Lineage 1000, an ultra-large jet, was added as the largest executive jet in our executive jets portfolio. Then, in 2008, we launched the Legacy 450 and Legacy
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500, both medium cabin jets and in 2009, we presented the Legacy 650, a large executive jet that was positioned in our portfolio between the Legacy 500 and the Lineage 1000. The enhanced version of the Lineage, the Lineage 1000E, was introduced in 2013. The Legacy 500 and the Legacy 450 entered into service in October of 2014 and December 2015, respectively. In 2016, we launched the Phenom 100EV and the Legacy 650E. In 2017, the Phenom 100EV entered into service and we also launched the Phenom 300E, an enhanced version of our Phenom 300, with a revolutionary interior design, which entered into service in October 2017 with a demonstration aircraft. In 2018, we introduced the Praetor 500 midsize and Praetor 600 super-midsize business jets, which entered into service in June and in December 2019, respectively. Also in 2019, we successfully implemented the sunset strategy of the Legacy 650 and Lineage 1000E. In 2020 we concentrated our business efforts on the renewed and highly competitive Phenom and Praetor product lines, sunsetting the Legacy 450 and 500 models. Finally, in 2023, we launched the Phenom 100EX, the latest evolution from the Phenom 100 series, which entered into service in early 2024. Our Executive Aviation segment accounted for 29.1%, 27.6% and 26.7% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively.
Defense & Security
Embraer’s story starts in the Defense & Security segment, with the EMB-110 Bandeirante and EMB-120 Brasília aircraft in the 1970s, on which the foundations of our Company were built. Since then, we have continued to support the military aviation market with a range of products for the Brazilian Armed Forces. Early programs included the EMB‑312 Tucano, a basic trainer, and the EMB‑111 Bandeirante Patrulha for maritime patrol, both of which were also exported. In the 1980s, Embraer and Aermacchi jointly developed the AMX jet, highlighting the importance of international cooperation in the aerospace and defense industry.
In the early 2000s, we began production of the newly developed A‑29 Super Tucano. The aircraft is an advanced training platform that entered service in 2004 and remains in production, with more than 300 units sold to over 20 countries as of December 31, 2025. As a proven light attack, advanced training and armed reconnaissance platform, it is a pillar of our portfolio, combining low operating costs, rugged construction, deployability, and a combat‑proven record. Over the years, we have developed and certified several other aircraft tailored to our customers’ missions, particularly the KC‑390 Millennium, a state‑of‑the‑art, multi‑mission platform, and the largest aircraft ever manufactured in Brazil. The platform entered into service in 2019, and currently has three operators (Brazil, Portugal and Hungary). At least six more operators are expected to be added in the coming years as we deliver our backlog. A next‑generation airlift platform, the KC‑390 is the flagship of our Defense & Security portfolio. We also entered the radars and land systems market with the acquisition of Bradar in 2011, which was fully incorporated into Embraer in 2018. Our offerings include the SENTIR M20, SABER M60, and SABER M200 VIGILANTE radars, as well as new development projects.
Moreover, we have expanded our portfolio to support our customers around the globe with a broad line of intelligence, surveillance and reconnaissance aircraft, services, systems and solutions; ground radars; aircraft for transportation of authorities; tactical military transport; aerial refueling; basic and advanced training aircraft; satellites; and cybersecurity solutions (through our wholly owned subsidiary Atech). Through Atech, we produce complex systems for critical missions in the areas of command and control, communications, computing, cyber defense, air defense, and air traffic control for defense, security and other civil applications. With a 51% equity interest in Visiona, we also operate in satellite development, production, and satellite‑based services.
In 2018, Embraer formed the consortium Águas Azuis in partnership with Thyssenkrupp Marine Systems and our subsidiary, Atech. The consortium was selected in 2019 as the preferred supplier to build four new Tamandaré Class Frigates for the Brazilian Navy. In 2021, we further reinforced our defense portfolio by the merger with and into the Company of Savis Tecnologia e Sistemas S.A., a wholly owned subsidiary specialized in the development and integration of complex land systems. Savis’ offerings include the development, integration and implementation of the SISFRON Program of the Brazilian Army for land border surveillance.
Embraer Defense has a global footprint. As of the date of this annual report, we believe we remain the leading supplier of defense aircraft to the Brazilian Air Force. Over the years, we have significantly expanded our presence worldwide, with sales of aircraft to armed forces in North America, Europe, Asia, Africa, and Latin America. This growth – from our early personnel transport aircraft to trainer programs to the A‑29 Super Tucano and the KC‑390 Millennium, complemented by radar, command‑and‑control, and cyber capabilities – illustrates the evolution of our Defense & Security segment, and our role as a long‑term partner to selected government customers and armed forces worldwide. Our Defense & Security segment accounted for 13.0%, 11.3% and 9.8% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. Revenues from sales to the Brazilian government accounted for 11.2%, 23.0% and 23.8% of this segment’s revenue for the years ended December 31, 2025, 2024 and 2023, respectively.
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Services & Support
Our Services & Support segment is focused on providing a complete portfolio of solutions for the operations of Embraer aircraft and products in the Commercial Aviation, Executive Aviation and Defense & Security segments. The portfolio comprises materials solutions, pay-by-hour programs, maintenance, aircraft modifications, training, integrated support, digital services, engineering services, among others. This operating segment also includes our subsidiary OGMA – Indústria Aeronáutica de Portugal S.A., or OGMA, which is an Embraer subsidiary based in Portugal that offers maintenance, repair and overhaul, or MRO, services, for civil and military aircraft and engines (manufactured by Embraer or by third parties), and Embraer CAE Training Services, which provides training services. Finally, this segment has a network of more than 80 owned and authorized service centers spread across the world, customer service centers dedicated to each market and a team of more than 4,000 employees responsible for supporting more than 4,391 Embraer aircraft, as well as other original manufacturer aircraft, engines and radars.
Our Services & Support segment accounted for 25.4%, 25.6% and 26.9% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively.
Other Segments
Finally, our Other segments include various activities and deliveries not included in the foregoing segments. We have the Ipanema aircraft, a crop duster developed in the 1970s under the specifications of the Brazilian Ministry of Agriculture. Now in its seventh generation, all new Ipanema aircraft are delivered with engine powered by biofuel (Ethanol). As of December 31, 2025, we had delivered a total of 1,728 Ipanema aircraft, including 50 units delivered in 2025. Additionally, in 2025, we set up the Embraer Equipment Division (EDE), a business unit dedicated to supplying parts and equipment to external customers. This initiative was undertaken to enhance our supply chain efficiency and strengthen support for the after market sector. Beyond the supply of parts and equipment, the division is also responsible for the technological development of two solutions for EVE: the landing gear and the flight control computer.
Additionally, through Eve Air Mobility, we are engaged in the development and certification of eVTOL aircraft, the establishment of a maintenance and service network for eVTOLs, and the development of an air traffic management system for urban air mobility (UAM). We also develop and manufacture electric propulsion systems for aeronautical use, including vertical take‑off and landing vehicles and fixed‑wing aircraft, and have invested in cybersecurity solutions through our subsidiary Embraer Defesa e Segurança Participações S.A., which, in 2020, acquired 61% of Tempest, the largest cybersecurity company in Brazil, and in 2024, we indirectly acquired the remaining 39% of the company.
Our Other segments accounted for 1.2%, 1.0% and 1.5% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. For additional information on our Other segments, see Note 35.5 to our 2025 audited consolidated financial statements included elsewhere in this annual report.
B. Business Overview
Overview
We are the leading manufacturer of jets with up to 150 seats in the world, based on the number of aircraft delivered over the last decade, holding a 30% market share in terms of accumulated deliveries since 2004, according to a Cirium Fleet Analyzer data report dated December 31, 2025. As a result, we have a franchise footprint represented by our global customer base. Our focus is to achieve customer satisfaction with a range of products and services addressing the commercial airline, executive jets and defense and security markets. We have developed a customer-centric technology-driven portfolio of commercial aviation products and services that allows us to build long-term relationships with our clients in the commercial aviation, executive jets and defense and security markets. We grew from a government-controlled company that developed and produced products for the Brazilian Armed Forces to a publicly held company that produces aircraft for and provides related services to commercial and executive aviation, as well as for defense and security purposes. Providing high quality customer support is a key element of our customer focus and is critical to our ability to maintain customers with whom we have a long-term relationship.
One of our main market opportunities lies in direct product replacement, particularly in regions where our products are well perceived, such as North America and Europe. Additionally, we believe there is significant potential in specific markets like India, Brazil, Turkey, and Saudi Arabia. For Commercial Aviation, this is driven by the development of regional aviation in these areas, along with the global growth of the sub-150 seat segment, as airlines adjust their fleets
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to better suit demand. For Executive Aviation, we, through our vision of delivering the ultimate experience in business aviation, serve the worldwide base of High Net Worth Individual or HNWI, corporate owners and flight department, charter and fractional operators. We also serve first-time buyers and additions and replacements markets.
The business of our Defense & Security segment is driven mostly by the KC-390 Millennium and A-29 Super Tucano. The demand for the KC-390 is mainly driven by replacement of old tactical transport aircraft (20-to-30-ton category) that are reaching retirement age. The demand for the A-29 Super Tucano is driven by the need to (i) add capabilities and (ii) improve cost-efficiency levels. On the capabilities side, the A-29 supports different missions: light attack/ close air support, advanced training, and/ or armed reconnaissance, to name a few. On the efficiency side, the A-29 can perform some of the missions usually executed by more advanced platforms (e.g. fighter jets), at a fraction of the cost – the A-29 acts as a better value solution, and an airframe saver at the same time. Beyond the KC-390 Millennium and the A-29 Super Tucano, the entire portfolio is important to support our partnerships with government and defense customers – either because they leverage on Embraer’s aerospace design and manufacturing capabilities, or because they expand to other solutions in the realm of our competencies, like systems design and integration, command and control, payload integration and modernization, among others.
In 2025, we generated revenue of US$7.6 billion, of which 96.6% was U.S. dollar denominated. Of our aggregate revenue in 2025:
✈31.3% of such revenue originated from our Commercial Aviation segment, 25.4% was from our Services & Support segment, 29.1% was from our Executive Aviation segment, 13.0% was from our Defense & Security segment and 1.2% was from our Other Segments, and
✈58.7% of such revenue originated from clients in North America, followed by clients in Europe with 24.3%, Brazil with 8.3%, the Asia Pacific region with 5.4%, Latin America (except Brazil) with 1.9% and other regions with 1.4%.
In 2024, we generated revenue of US$6.4 billion, of which 94.7% was U.S. dollar denominated. Of our revenue in 2024:
✈34.5% was from our Commercial Aviation segment, 25.6% was from Services & Support segment, 27.6% was from our Executive Aviation segment, 11.3% was from our Defense & Security segment and 1.0% was from our Other Segments, and
✈59.1% of such revenue originated from clients in North America, followed by clients in Europe 22.5%, Brazil with 8.3%, Asia Pacific region with 4.0%, Latin America (except Brazil) with 4.2% and other regions with 1.9%.
As of December 31, 2025, 2024 and 2023, we had a total firm order backlog of US$31.6 billion, US$26.3 billion and US$18.7 billion, respectively.
We continue our long-term strategy of focusing on consistent execution of our strategic business plan and efficiency programs with lean concepts, seeking partnership opportunities to drive growth, investing in innovation as a primary source of future growth and further developing our ESG program that reinforces our commitment towards:
(i)Carbon reduction: we have been able to achieve carbon neutral growth since 2022, by reducing scope 1 and 2 emissions, while maintaining our target to reach carbon neutrality in our operations by 2040, use 100% renewable electricity by 2030 and manufacture products to support zero emissions aviation by 2050;
(ii)Social responsibility: we maintained our aspirational goal to reach 50% of diverse hires in our entry level programs, 20% of women in senior leadership positions by December 31, 2025 and continued committed to supporting more than 80% of students from Embraer-funded schools in being accepted into public or private universities with full-tuition scholarships by December 31, 2025;
In 2025, we achieved 60% diverse hires in our entry-level programs and, as of February 2026, we saw at least 85% of students from Embraer-funded schools gain admission to public universities or private universities with full-tuition scholarships. For 2026, we have updated our goals in order to maintain our growth in diversity and inclusion.
(iii)Corporate governance standards: we aim to maintain the highest international governance standards and robust ethics and compliance programs.
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Our Strengths
We believe that our primary strengths are as follows.
Aircraft design and technology; cost and operating efficiency
We conceive, develop and manufacture clean sheet design aircraft with cutting edge technology to help our customers reduce their operating, maintenance and training costs because of the efficient design of our parts. Within a jet family the parts share similar technology and features that reduce our design, development and production costs and allow us to offer competitive prices to our customers with high quality standards. For example, the Praetor 500 and Praetor 600 jets have similar characteristics and technologies that enhance our value proposition for the midsize and super-midsize business segments. We constantly monitor trends and behaviors in the aviation industry, to adapt our products to the constantly changing environment we are inserted in.
Our investments in innovative technologies, such as automation design, enable us to increase operational efficiency by reducing engineering and production costs, and lowering customers’ maintenance costs. For instance, our subsidiary EVE, which is a leading developer of next generation Urban Air Mobility (UAM) solutions, is developing a comprehensive UAM solution that includes the design and production of eVTOLs, a portfolio of maintenance and support services (Techcare) focused on our and third-party eVTOLs, and a new urban air traffic management system (Vector) designed to allow eVTOLs to operate safely and efficiently in dense urban airspace alongside conventional aircraft and drones. We have also invested in cybersecurity solutions by acquiring Tempest in 2020 and using Beacon, which is an innovative platform designed to connect the aviation maintenance system.
Leading commercial aircraft manufacturer with a large customer base and a global footprint.
We are the leading manufacturer of jets with up to 150 seats, based on the number of aircraft delivered, and have a strong global customer base. As of the date of this annual report, more than 170 airlines from over 90 countries use our commercial aircraft on five continents. Our customers include some of the largest and most significant network, regional and low-cost carriers in the world. We believe that there are significant market opportunities in the commercial and executive aviation sector based on the growing demand for our products and aircraft replacement opportunities in the next decade.
Strategic risk-sharing partners
With respect to our commercial and business aircraft, we developed strategic relationships with key risk-sharing partners. These risk sharing partners develop and manufacture significant portions of our aircraft’s systems and components with their own funds, thereby reducing our development expenses. These risk-sharing partners also fund a portion of our research and development expenses through direct contributions of cash or materials. These strategic relationships enable us to reduce our development expenses and risks, improve our operating efficiency, enhance the quality of our products and reduce the number of our suppliers, thereby providing us with flexibility in our production process and operations, and, consequently, allow us to adjust production in response to market demand.
Experienced and skilled workforce
Our over 23,000 employees are experienced and highly skilled. As of December 31, 2025, engineers comprised approximately one-fifth of our workforce. We believe that our employees’ high skill and knowledge levels and our continuous training and incentive programs allow us to efficiently pursue new programs and offer high technical expertise and guidance to our customers.
ESG standards
ESG has long been part of our strategy, including in the development of increasingly more eco-efficient aircraft and in the adoption of more sustainable production processes and management of natural resources. We embed our business strategy with social responsibility and environmental impact in everything we do, from our processes and facilities to product development and our supply chain. We work across all our key stakeholder audiences to develop sound strategies, define indicators, and establish targets that are integrated into our corporate sustainability plan. Certain parts of our long-term ESG commitments are: (i) achieving carbon neutrality in operations by 2040, through the reduction of our scope 1 and 2 emissions, such as operating with 100% renewable energy, increasing the use of sustainable aviation fuel (SAF) and compensating any residual emissions that are not reduced through efficiency projects, available alternative
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energy sources, or new technologies, (ii) developing disruptive products, services and technologies that contribute to advancing our sustainability strategy , including electrification, hybrids, biofuels (such as SAF) and other innovative alternative energy sources; (iii) launching the “eVTOL” aircraft with zero emission by 2027; and (iv) leveraging diversity in hiring for entry-level programs, in leadership positions and in the aeronautical specialization program maintained by us.
Skilled defense engineering and market-leading products in our Defense & Security segment
From inception through December 31, 2025, we have sold more than 1,400 defense aircraft, including government transport aircraft, to more than 60 armed forces and government operators worldwide.
The KC-390 Millennium and the A-29 Super Tucano are the main products of our Defense & Security segment.
The KC-390 Millennium is a multi-role military transport aircraft, which was developed in the 21st century, and positioned to deliver higher value and lower life-cycle costs to become a market leader in its category. Combining multiple capabilities in a single platform, every aircraft can support a variety of missions – such as aerial refueling, cargo and/ or troop transport, cargo airdrop, aerial assault, medical evacuation, and firefighting, among others. The KC-390 Millennium safely provides speed, operational flexibility, robustness, comfort, ease of maintenance and state-of-the-art technology.
The A-29 Super Tucano is the best-selling aircraft in its class, according to our internal analysis; we believe this success is due to its rugged and reliable design, with a high-precision-class payloads delivery system.
Our workforce has significant experience in understanding our customers’ operational needs and their requirements related to our defense products and services portfolio. We believe our team delivers capable, reliable and flexible products, which are suitable for operations in most global environments, performing at high efficiency levels and low life-cycle costs. We also believe that we have a strong ability to engage with several stakeholders through partnerships, enabling the development of state-of-the-art aerospace and defense solutions on accelerated timelines.
Visible and well-diversified customer base
We sell our aircraft and provide services in North America, Europe, Brazil, Asia Pacific, Latin America and other regions. We also have diversified business segments with flexibility to shift overall focus according to demand. Our revenue generation is spread among those business segments, with increasing expansion of recurring services revenue, and does not present concentration risks. As of December 31, 2025, 45.9% of our firm orders was from our Commercial Aviation segment, 24.0% was from our Executive Aviation segment, 14.5% was from our Defense & Security segment and 15.6% was from our Services & Support segment.
Liquidity position and debt maturity profile
We have implemented and executed cash management policies and procedures to enhance our liquidity and our ability to efficiently manage our liabilities and debt maturities. Our debt profile is focused on long-term unsecured debt, with 14.4% of our debt being secured as of December 31, 2025. Our steady cash generation allied with higher aircraft deliveries, cost reduction and efficiency measures improved our cash position in 2025, with cash and cash equivalents, and financial investments totaling US$2.9 billion and a revolving credit facility available in the amount of US$1.0 billion, in each case as of December 31, 2025. As a result of our efforts and achievements in the area, we have been rated investment grade by Standard & Poor’s with a rating of BBB with a stable outlook as of September 2025, by Fitch with a rating of BBB- with a positive outlook, both as of September 2025, and by Moody’s with a rating of Baa3 with a positive outlook as of October 2025.
Business Strategies
With a view to further grow our business and increase our profitability, we intend to continue to offer our customers cost-effective, high quality, and reliable aircraft and services. Below are certain key elements of our business strategy.
Focus on marketing of our commercial aircraft
We are fully committed to marketing our jets of up to 150 seats. As of December 31, 2025, there were approximately 360 units in the ERJ jet family in operation, which is a series of twin-engine jet-powered regional jets; approximately 1,400 units in the EMBRAER 170/190 jet family; and approximately 170 units in the E-Jets E2 jet family, which are medium-range jet airliners, in active service, according to a Cirium report dated December 31, 2025. For more
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information, see “—Commercial Aviation Segment—Products.” We believe there are market opportunities for the EMBRAER 170/190 jet family and for the E-Jets E2 generation, especially for airlines seeking to expand their fleet in the mid-density segment and substitute aging aircraft in the below-150 seat category. Additionally, commercial jets will have opportunities with mainline and low-cost carriers that are right sizing their fleets to adjust capacity and will provide us with significant opportunities to increase our competitiveness by offering a full range of jets of up to 150 seats to our customers.
Maintain our market leadership for commercial jets with up to 150 seats
Our new generation of commercial aircraft, the E-Jet E2 jet family, reinforces our commitment to maintain our market leadership in the segment of commercial jets up to 150 seats. Our commercial aircraft have state-of-the-art engines, aerodynamically advanced wings, full fly-by-wire flight controls and improvements to other systems that increase efficiency by reducing fuel consumption, maintenance costs, emissions and external noise significantly.
Develop innovative and sustainable solutions
Embraer continues to assess and develop technologies that may support the advancement of innovative and sustainable air mobility solutions. A key element of these efforts is the full‑electric eVTOL under development by EVE, which represents one of our main initiatives in next‑generation propulsive technology. The development and integration of a fully electric propulsion system within EVE’s eVTOL program is expected to provide important insights into the technical, operational, and sustainability characteristics of electric aviation. This experience may further enhance our understanding of how such technologies could be applied to larger aircraft concepts, including those studied under the Energia family initiative. We believe that these activities support our long‑term strategy to evaluate emerging propulsion architectures and other innovations that may contribute to more efficient, lower‑emission mobility solutions in the future.
Comprehensive well-positioned portfolio in the executive aviation market.
We have streamlined our portfolio to feature four clean sheet aircraft designs in the small and medium cabin jet classes. The Phenom 100EX is an entry-level jet, the Phenom 300E, a light jet, the Praetor 500, a midsize jet, and the Praetor 600, a super-midsize jet. We believe that this revamped portfolio is industry-leading in performance, comfort and technology. We are committed to understanding and responding to market and customer needs and to continuously improving our product and customer support for our executive jets. For over a decade, we have introduced disruptive clean sheet design aircraft to the market. In 2025, the Phenom 300E was the most delivered light jet for the fourteenth consecutive year and the most delivered twinjet in the whole executive jets industry for the sixth consecutive year, according to the General Aviation Manufacturers Association, or GAMA.
Provide complete and integrated solutions to the customers of our Defense & Security segment
In our Defense & Security segment, we offer a broad range of solutions across all domains – air, land, sea, space, and cyber. Our portfolio of solutions includes tactical transport aircraft, close air support, advanced training, and armed reconnaissance aircraft, radars, border surveillance systems, air traffic control and management systems, satellites to name a few. We are continually evaluating new opportunities to meet our customers' evolving requirements.
Continue to pursue niche market opportunities in the defense and security market
We offer solutions for transportation, aerial refueling, close air support, tactical training, intelligence, surveillance, reconnaissance and cybersecurity (through our subsidiary Atech), among others. Through our integrated portfolio, we provide effective capabilities that address a wide range of government and military needs. This is supported by a culture of continuously pursuing market opportunities with existing and prospective customers, with whom we co‑develop innovative, tailored solutions over time.
Expand our international sales, while continuing our partnership with the Brazilian Armed Forces in our Defense & Security segment
Historically, the Brazilian Armed Forces have been our key partner in the development and acquisition of aerospace and defense capabilities. Since Embraer’s foundation in 1969, we have developed state-of-art engineering capabilities, operational capabilities, and supply chain management expertise at a level that enable us to meet the needs of both Brazilian and international customers with effective and tailored solutions. We remain committed to expanding our international business relationships, while consolidating our role as a key partner of the Brazilian Armed Forces. To
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illustrate our international expansion beyond acquisition contracts, some key milestones are worth highlighting: in 2024 we inaugurated Embraer Defense Europe, with an office in Lisbon, to broaden our presence in the European/ NATO environment to foster future business opportunities; and in 2025, we inaugurated Embraer offices in India, strengthening our presence in this important country.
Maintain our focus on customer experience
We believe that focusing on customer experience is fundamental to our entrepreneurial success and business strategy. Our philosophy is to offer and deliver a comprehensive portfolio of services and support solutions to all customers ensuring best product availability with competitive operational costs. Our high-quality customer service and support is key to our success, as it allows us to maintain long-term relationships with our customers and increase the competitiveness of our products. As the number of our aircraft in operation continues to grow and our business expands, we have increased our commitment to provide quality after-sale support, including technical assistance, training, maintenance, spare parts, product modifications and other related services.
Maintain and reinforce operational excellence
We are committed to elevating service levels and operational excellence, ensuring continuous effort to exceed customer expectations and with high quality standards. We focus on three main initiatives to exceed customer expectation: (i) fleet expansion to optimize existing resources; (ii) guaranteeing spare parts availability and optimizing inventory turnover to strategically minimize downtime and enhance cost-effectiveness; and (iii) footprint synergy to optimize resources and operations across different locations, fostering collaboration, and improving overall efficiency. We have also started using artificial intelligence tools to enhance the customer experience within our Services & Support segment. We believe artificial intelligence tools help improve our ability to gather and analyze data, identify patterns and trends, anticipate maintenance needs and optimize material logistics. We believe that combining artificial intelligence tools, coupled logistics and data, will help us developed tailored solutions to meet the requirements of our customers’ operations.
Continuously foster the growth of our Services & Support segment
Growth is a strategic imperative for our Services & Support segment, and we are committed to several initiatives to foster growth such as increasing of our services backlog, ensuring a robust pipeline that supports sustained expansion, strengthening our presence in both organic and agnostic markets, and considering diverse opportunities that align with our core competencies, such as the expansion of our maintenance capacity through the extension of our MRO service centers in the United States of America in 2025. Also, we are always seeking to develop innovative and competitive solutions, leveraging technology to enhance efficiency and meet the evolving needs of our stakeholders and providing unique value to our clients.
Motivate our employees and improve our production processes and managerial practices
We strive to continuously exceed our customers’ expectations by combining operational excellence, robust management practices, and high quality standards. The success of our products and services is driven by the strong engagement of our people and the continuous evolution of our production systems.
We strive to foster a culture that motivates employees while systematically enhancing our processes through disciplined execution and continuous improvement. Central to this approach is our Embraer Enterprise Excellence Program (P3E), a company‑wide system grounded in lean manufacturing principles designed to increase efficiency, reduce lead times across the value chain, and strengthen responsiveness from suppliers to customers.
Commercial Aviation Segment
Overview
We design, develop and manufacture a variety of commercial aircraft. See “Item 4. Information on the Company—A. History and Development of the Company—Business Development—Commercial Aviation.” Our Commercial Aviation segment accounted for 31.3%, 34.5% and 35.1% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. As of December 31, 2025, our firm orders in backlog for our commercial aviation aircraft totaled US$14.5 billion as compared to US$10.2 billion as of December 31, 2024.
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Products
ERJ Jet Family
Beginning in 1996, we developed the ERJ family, our 37-50-passenger twin jet-powered regional jet, to address the growing demand among regional airlines for medium-range, jet-powered aircraft. Until the launch of the EMBRAER 170/190 jet family, the ERJ was our most important product, achieving great results and being responsible for consolidating our presence in the United States of America regional market. As of December 31, 2025, 367 ERJ aircraft remained in service around the world, according to Cirium Fleet Analyzer data as of December 31, 2025.
EMBRAER 170/190 Jet Family
The EMBRAER 170/190 jet family provides our customers four aircraft models in the regional passenger jet range, and is comprised of four models: the EMBRAER 170, the EMBRAER 175, the EMBRAER 190 and the EMBRAER 195.
The EMBRAER 170 is a 66-78 seat jet and the EMBRAER 175 is a 70-90 seat jet, while the EMBRAER 190 is a 98-114 seat jet and the EMBRAER 195 is a 100-124 seat jet. The EMBRAER 170 was certified by ANAC, the FAA, the Joint Aviation Authority of Europe (the former advisory organization that made certification recommendations to non-European Union national authorities), or the JAA, and the EASA in February 2004, and deliveries of the EMBRAER 170 began in March 2004. The EMBRAER 175 was certified by ANAC in December 2004, by the EASA in January 2005 and by the FAA in August 2006. The EMBRAER 190 was certified by ANAC in August 2005, by the FAA in September 2005 and by the EASA in June 2006. The EMBRAER 195 was certified by ANAC in June 2006, by the EASA in July 2006 and by the FAA in June 2007.
We designed the EMBRAER 170/190 jet family to maximize the benefits of commonality among the four aircraft models of the family. Aircraft in the EMBRAER 170/190 family share approximately 86% of the same components. The high level of commonality in this jet family lowered our development expenses and shortened our development period. We believe that this commonality leads to significant savings to our customers in the form of easier training, less expensive parts and maintenance and lower operational costs. Due to differences in size and weight, the EMBRAER 170/190 jet family does not share the same wing design. This regional jet family has engines fixed under its main wings—a design intended to enhance power, improve fuel economy and minimize turnaround times. All of the aircraft models of this family are powered by engines manufactured by General Electric Aircraft Engines and contain state-of-the-art avionics manufactured by Honeywell International Inc. (Aerospace).
The EMBRAER 170/190 jet family’s principal features are:
✈Performance. All four jets in the EMBRAER 170/190 jet family have a maximum cruising speed of Mach 0.82. The EMBRAER 170 and the EMBRAER 175 with all passengers on board have maximum ranges of 1,800 and 1,750 nautical miles, respectively, and each is available in the advanced-range version, with maximum ranges of 2,150 and 2,250 nautical miles, respectively. The EMBRAER 190 and EMBRAER 195 with all passengers on board have maximum ranges of 1,850 and 1,600 nautical miles, respectively, and each is available in the advanced-range version with maximum ranges of 2,450 and 2,300 nautical miles, respectively.
✈Ground servicing. The underwing engine design and the existence of four doors, two in the front and two in the back, provide for enhanced accessibility and efficiency of ground services.
✈Cabin and cargo space. We have enhanced passenger safety and comfort in the EMBRAER 170/190 jet family. The aircraft’s “double-bubble” design enables a four-abreast cabin, a wide aisle, greater interior space and headroom, and a larger baggage compartment than the regional jets of our competitors, including those regional jets that are in the development stage.
Set forth below are recent orders that we received for our EMBRAER 170/190 jets:
✈In June 2023, American Airlines signed a firm order with Embraer for 7 new E175s. American Airlines thereafter ordered more 4 new E175s in October 2023 and 2 new E175s in December 2023.
✈In September 2023, Nigeria-based Air Peace, West Africa’s largest airline, signed a firm order for 5 E175 aircraft.
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✈In October 2023, SkyWest ordered 19 new E175 jets for operation by United Airlines under a capacity purchase agreement.
✈In March 2024, American Airlines placed a firm order with Embraer for 90 E175s, with purchase rights for 43 additional jets. The aircraft will be delivered with 76 seats in American Airlines’ standard dual-class configuration. The firm orders were included in our backlog of the first quarter of 2024.
✈In June 2025, SkyWest, Inc. placed a firm order for 60 E175 aircraft, with purchase rights for up to 50 additional aircraft, and indicated that deliveries are expected to begin in 2027.
✈In October 2025, Truenoord, the specialist regional aircraft leasing company, signed a firm order agreement with Embraer, including purchase rights of up to 10 E175s.
✈In November 2025, the national airline of the Republic of Côte d'Ivoire, Air Côte d'Ivoire, signed a firm order for 4 E175 aircraft, with purchase rights for 8 additional aircraft, as part of its fleet modernization and regional expansion strategy.
As of December 31, 2025, the EMBRAER 170/190 jet family had 1934 orders in backlog, while a total of 1744 aircraft in this family have already been delivered to customers worldwide.
E-Jets E2 Family
In June 2013, we launched the second generation of our E-Jets family of commercial aircraft, named the E-Jets E2, comprising three aircraft, the E175-E2, E190-E2, and E195-E2. The E190-E2 and E195-E2 entered service in April of 2018 and September of 2019, respectively.
The launch of the E-Jets E2 jet family advances our vision of offering leading-edge commercial aircraft with a capacity for 70 to 150 seats, seamless mainline comfort, and performance for flexible and efficient utilization by regional, low-cost and network carriers. Our strategy is to offer all the benefits of a new design, but with the reliability of an updated platform and commonality with the EMBRAER 170/190 jet family. We have continually invested in the E-Jets program, so our customers can stay competitive with aircraft that have the lowest operating costs and the highest passenger appeal.
In a typical single-class layout, the E175-E2 was extended by one seat row, compared to E175, and will seat up to 90 passengers, while the E190-E2 is the same size as the E190, with up to 114 seats. The E195-E2, compared to the E195, has grown by three seat rows and accommodates up to 132 seats in a typical single class configuration or up to 144 seats in a high-density configuration.
In 2015, two years after the launch of the program, we began to assemble the first of the E-Jets E2 family, an E190-E2, at our factory in São José dos Campos, and the Pratt &Whitney PW1900G PurePower® Geared Turbofan™ (GTF) engine for the Embraer E190-E2 and E195-E2 aircraft successfully completed its first flight initiating the engine’s flight test program.
In 2016, we launched the E190-E2, which made its first flight. In 2017, we launched the second model of the E2 generation, and announced that Azul, the largest operator of the current generation E195s in the world, would be the launch operator of the E195-E2.
In 2018, we received a type certificate (certificação de tipo) from ANAC, the FAA and EASA for the E190-E2, the first member of the E-Jets E2 family of commercial aircraft, being the first time that an aircraft program with the level of complexity of the E2 received a type certificate from three major worldwide certification authorities simultaneously. In that same year, we delivered the first aircraft E190-E2 aircraft to Widerøe, the largest regional airline of Scandinavia.
In 2019, the E195-E2 received simultaneous approval and was certified by ANAC, the FAA and EASA, and we delivered the first E195-E2, the largest of the three members of the E-Jets E2 family of commercial aircraft, which made its inaugural flight in that same year. The recipients were AerCap, the world’s largest aircraft leasing company, and Azul, which is the global launch operator for the E195-E2. On December 12, 2019, the Embraer E175-E2 made its inaugural flight from our facility in São José dos Campos. This aircraft has a relevant market potential, being the most efficient and comfortable commercial aircraft in the market for the 76-seat category, whether to substitute the EMBRAER 175 or to enhance the regional air mobility through new markets. However, on February 25, 2025, we announced an additional four-year pause on the development of the E175-E2 jet, in addition to the previous pause disclosed on February 18, 2022, mostly because U.S. mainlines’ scope clauses are not expected to change at least until 2027. We constantly monitor discussions between airlines and the pilot unions regarding the maximum take-off weight (MTOW) limitation for aircraft with up to 76 seats. We intend to keep offering the EMBRAER 175 with all the improvements made to the platform throughout the years of operation and feedback of our customers.
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In 2022, we announced the launch of the E190F and E195F Passenger to Freight Conversions (P2F), designed to meet the changing demands of e-commerce and modern trade that require fast deliveries and decentralized operations. The full freighter conversion is available for all pre-owned E190 and E195 aircraft, and its entry into service occurred in 2025. In 2022, the Embraer E190-E2 was granted the Type Certificate by the Civil Aviation Administration of China (CAAC). On August 10, 2023, the E195-E2 was granted this same certification.
In July 2022, during the Farnborough Airshow, Porter Airlines placed a firm order for 20 Embraer E195-E2 passenger jets, adding to their existing 30 firm orders.
In October 2022, SalamAir signed a firm order with us for 6 E195-E2
On December 15, 2022, the Embraer E195-E2 and E190-E2 were granted the Type Certification from Transport Canada Civil Aviation (TCCA), following certification from ANAC, the FAA (United States of America), and EASA (Europe) in 2019 and 2018 respectively.
In December 2022, the first 5 of 50 Embraer E195-E2 ordered by Canadian company Porter Airlines were delivered. Porter was the North America entry customer for Embraer’s E195-E2 and opened up operations in the region. In November 2023, Porter added 25 Embraer E195-E2 to its order, increasing the order to a total of 75 Embraer E195-E2.
In December 2022, the Spanish carrier Binter, which is an award-winning airline from the Canary Islands, placed a firm order for 5 E195-E2s. Binter then placed an additional order for 6 Embraer E195-E2 aircraft in June 2023.
In January 2023, we announced that we had received an order for 15 E195-E2s from an undisclosed customer, which was subsequently revealed in June to be Azorra.
In May 2023, Malaysia’s SKS Airways selected the Embraer E195-E2 for use. In addition, we and commercial aviation lessor Azorra announced an 8-aircraft deal with Royal Jordanian Airlines, which agreement introduced both the E190-E2 and E195-E2 to the airline’s fleet.
In October 2023, the Luxembourg-based carrier Luxair ordered four E195-E2s, including 2 purchase options and 3 purchase rights for additional E2 jets.
In November 2023, the Embraer E195-E2 was granted certification for steep approach into London City Airport from EASA. This achievement was an important milestone, allowing airlines to operate the E195-E2 at London City Airport (LCY), known for its challenging approach and short runway. Together with the E190-E2, which received Steep Approach certification in 2021, both members of the E2 family are approved for operations at this meaningful airport.
Also in November 2023, the Embraer E190-E2 and E195-E2 was granted a type certification from the Civil Aviation Authority of Singapore (CAAS). Scoot, a low-cost subsidiary of Singapore Airlines, began to operate the E190-E2 in 2024.
In May 2024, LOT Polish Airlines announced a lease of 3 new E195-E2s from Azorra. The airline will configure the E195-E2s, each of which seats a maximum of 146 passengers, in a comfortable single class layout with 136 seats. All aircraft deliveries were completed in 2024.
In June 2024, Mexicana de Aviación, Mexico’s state-owned carrier, ordered 20 E-Jets E2 aircraft—10 E190-E2 jets and 10 E195-E2 jets, which we will begin to deliver in the second quarter of 2025. Mexicana, the first E-Jets E2 operator in Mexico, will configure the E190-E2 with 108 seats and the E195-E2 with 132 seats—both in a single class layout.
In August 2024, Virgin Australia placed a firm order with Embraer for 8 E190-E2 small narrowbody aircraft, as part of its fleet renewal plan. Deliveries began in the second half of 2025.
In December 2024, Luxembourg carrier Luxair signed a firm order for an additional 2 E195-E2s. In exercising the 2 options secured in their 2023 firm order for 4 E195-E2 aircraft, Luxair completed the total of 6 E195-E2s on order. The first aircraft delivered from the first order, which was placed in 2023, is expected to fly in early 2026, and the new order secured additional delivery slots in 2027.
In February, 2025, ANA Holdings Inc. ordered 15 E190-E2s aircraft from Embraer with options for an additional 5 aircraft. The selection of the E190-E2 is part of ANA’s fleet renewal plan.
In July 2025, SAS entered into an agreement to acquire 45 E195-E2 aircraft, with purchase rights for up to 10 additional aircraft. Deliveries are expected to begin in late 2027, with additional deliveries extending over approximately four years thereafter.
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In August, 2025, Airlink and Azorra have finalized a lease agreement for 10 new Embraer E195-E2 twin-engine passenger aircraft, with the first delivery in the second half of 2025.
In September 2025, Avelo Airlines placed a firm order for 50 E195-E2 aircraft, with purchase rights for up to 50 additional aircraft. Deliveries are expected to begin in the first half of 2027. Avelo indicated that it expects to utilize enhanced takeoff performance capabilities on the E195-E2 to support operations at certain constrained airports and to expand its network.
In September 2025, LATAM Airlines Group S.A. announced an order for up to 74 E195-E2 aircraft, consisting of 24 firm aircraft and 50 purchase options. Deliveries of the firm aircraft are expected to begin in the second half of 2026 (initially for LATAM Airlines Brazil, and potentially later for other affiliates).
In October, 2025, TrueNoord, the specialist regional aircraft leasing company, signed a firm order agreement with Embraer to acquire 20 new E195-E2 aircraft. The agreement also includes purchase rights for up to 20 additional E195-E2 and up to 10 new E175s.
In November 2025, we executed an agreement with Azul to renegotiate the agreements relating to Azul’s previously disclosed firm orders for E195-E2 aircraft, originally entered into between 2014 and 2018. Pursuant to that agreement, the parties amended the firm orders from an aggregate of 51 aircraft to 25 aircraft. The renegotiation occurred in connection with Azul’s restructuring discussions, and the agreement was approved by the U.S. Bankruptcy Court for the Southern District of New York in December 2025.
In November 2025, Helvetic Airways placed a firm order for 3 E195-E2 aircraft and obtained purchase rights for up to 5 additional E195-E2 aircraft. If fully exercised, the order would increase Helvetic’s E195-E2 fleet from 12 to up to 20 aircraft over time.
As of December 31, 2025, our E-Jets E2 jet family had 468 orders in backlog, and 199 aircraft had already been delivered to customers worldwide. The main operators of these jets include airlines in various regions, such as Azul (Latin America), Latam (Latin America), Widerøe (Europe), Helvetic (Europe), KLM (Europe), Binter (Europe), Scoot (Asia Pacific), ANA (Asia Pacific), Air Peace (Africa), Royal Jordanian (Middle East), Porter (North America) and Avelo (North America).
Customers
We have a diverse, global customer base, and our major operators for commercial aircraft include some of the largest regional, low-cost and mainline airlines in the world. As of December 31, 2025, our largest E-Jet customers by number of aircraft in service were SkyWest, Republic, American Airlines, KLM, Mesa, Azul, Horizon Air, Porter, Tianjn, and LOT Polish. In addition, as of December 31, 2025, 93.7% of our firm orders in backlog for the current EMBRAER 175s are from the airlines Republic Airlines, SkyWest and American Airlines. Moreover, as of December 31, 2025, our E-Jets E2 family mainly comprises orders from the companies Azul Linhas Aéreas Brasileiras S.A., or Azul, Avelo Airlines, or Avelo, Scandinavian Airlines, or SAS, Porter Airlines, or Porter, Latam Airlines Group S.A., or Latam, TrueNoord, Mexicana de Aviación, or Mexicana, ANA Holdings Inc., or ANA, Azorra Aviation Holdings, LLC, or Azorra, and AerCap Holdings N.V., or AerCap, which represented 77.1% of our E-Jets E2 family orders.
We generally sell our commercial aircraft pursuant to contracts with our customers on a fixed-price basis, adjusted by an escalation formula. Our contracts generally include an option for our customers to purchase additional aircraft at a fixed-price option, subject to the same escalation formula. In addition, our contracts include a product support package to cover the entry into service of our aircraft, as well as a general warranty for such aircraft. Other provisions for specific aircraft performance and design requirements are negotiated with our customers. In addition, some of our contracts contain cancellation provisions and trade-in options.
Sales and Marketing
Our current marketing strategy is based upon our assessments of the worldwide commercial airline market and of the needs of our customers. We actively market our aircraft to international airlines and regional affiliates of major global airlines through our regional offices in the United States of America, Europe and Asia. Our success depends, to a significant extent, on our ability to identify our customers’ needs, including needs for customer service and product support, and to fill those needs in a timely and efficient manner while maintaining the high quality of our products. Our market and airline analysts focus on the long-term trends of the market, competitive analysis, product-enhancement planning, and airline analysis. In terms of direct marketing to our customers, we rely on relationship development, social media, and professional network. As a way to keep our customers informed and enhance awareness and brand recognition, we participate at air shows and events, webinars and other forums. Besides São José dos Campos in Brazil, we have
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regional sales offices in Amsterdam, the Netherlands; Fort Lauderdale, Florida, United States of America; Beijing, China; and Singapore.
Production, New Orders and Options
Prior to starting production or development of a new project, we secure letters of intent for future orders of a significant number of aircraft. We typically begin taking orders and building a backlog two years before we begin producing a new aircraft model, aiming to receive a significant number of orders before we deliver the initial aircraft. Once an order is taken, we reserve a place for that order on the production line, ensuring that we will maintain production sufficient to meet demand. Once a place is reserved on the production line, we are able to give customers delivery dates for their orders.
We include an order in backlog once we have received a firm commitment, represented by a signed contract. Our backlog does not include options and letters of intent for which definitive contracts have not been entered into.
Our options generally provide our customers the right to purchase an aircraft at a fixed price and on a specified delivery date, subject to escalation provisions, under a purchase agreement. Once a customer decides to exercise an option, we account for it as a firm order. Occasionally, we have extended the exercise date for our options and renegotiated the delivery schedule of firm orders, as well as allowed customers to convert their firm orders or options for one aircraft into firm orders or options for another aircraft within the same commercial aircraft family.
Competition
We generally face competition from major manufacturers in the international aircraft market. Each category of our products faces competition of a different nature and generally from different companies. Some of our competitors have greater financial, marketing, and other resources than we do. We currently face the strongest competition from the following aircraft:
✈A220, former CSeries, 110 to 150-seat jets acquired by Airbus from Bombardier, which entered into service in 2016;
✈C909, a 90-seat regional jet produced by the Commercial Aircraft Corporation of China, or COMAC;
✈SSJ100, a 103-seat regional jet produced by JSC Yakovlev Corporation, a branch of United Aircraft Corporation;
✈SpaceJet (former MRJ), a 76 to 88-seat jet which was under development by Mitsubishi Aircraft Corporation, but had its development suspended in 2020 and officially cancelled in 2023;
✈CRJ-700, CRJ-900 and CRJ-1000, 70-seat, 86-seat and 98-seat regional jets, respectively, formerly produced by Bombardier, acquired by Mitsubishi Heavy Industries (MHI);
✈Dash 8-400 (former Q-400) a 72-seat turboprop program from Bombardier acquired by Havilland Canada which belongs to Viking Air; and
✈ATR-72, a 68-seat turboprop produced by ATR Aircraft.
We are the leading manufacturer in the market for jets up to 150 seats in the world, with a 30% market share in terms of accumulated deliveries since 2004, according to Cirium Fleet Analyzer data as of December 31, 2025.
The key competitive factors in the markets in which we participate include design and technological strength, aircraft operational costs, aircraft price, including financing costs, customer service and manufacturing efficiency. We believe that we will be able to compete favorably based on our aircraft performance, efficiency, low operating costs, product development experience, global customer base, market acceptance, cabin design and aircraft price. In addition, while the competitive landscape has become increasingly aggressive, deals such as the Airbus acquisition of a majority stake in Bombardier’s C-Series Program, rebranded as A220, are evidence of the opportunities in the 100-150 seats market. With the Airbus sales team marketing the A220 Program, we believe customers who would not have previously considered aircraft of this size may seek our E190/E195-E2 as a comparable alternative.
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Executive Aviation Segment
Overview
We design, develop, and manufacture a variety of executive jets within our Executive Aviation segment. Our current portfolio of executive jets comprises the entry-level Phenom 100 EX, the light Phenom 300E, the midsize Praetor 500, and the super-midsize Praetor 600.
We market our executive jets to various types of customers, including fractional ownership companies, corporate flight departments, charter and air-taxi companies, high-net-worth individuals, independent commercial airline, and military flight academies. Our Executive Aviation segment accounted for 29.1%, 27.6% and 26.7% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. As of December 31, 2025, our firm orders in backlog for our executive jets totaled US$7.6 billion, as compared to US$7.4 billion on December 31, 2024.
In May 2005, we launched the Phenom 100 and Phenom 300, which are executive jets in the entry-level and light jet categories, respectively. The Phenom 100 jet, which carries up to eight people, received ANAC and FAA certification in December 2008, the same month of its entry into service. The Phenom 300 carries up to eleven people and has a larger fuselage, wingspan, and longer range than the Phenom 100. It received ANAC and FAA certification and entered service one year after the Phenom 100. Since the inception of the Phenom 100 through the end of 2025, we delivered 430 Phenom 100 aircraft and 906 Phenom 300 jets. Focused on constant improvement, we launched the Phenom 100EV and the Phenom 300E in 2016 and 2017, respectively.
In 2020, we introduced the new Phenom 300E, featuring enhancements in performance, comfort, and onboard technology. The new Phenom 300E is currently the only in-production single-pilot jet to reach Mach 0.80, offering a quieter cabin and upgrades to its avionics suite. These features include predictive windshear and a Runway Overrun Awareness and Alerting System (ROAAS), which are our exclusive intellectual property and the first technology of its kind to be developed and certified in business aviation. The model was granted certification by ANAC, EASA, and the FAA.
In August 2020, we announced the Phenom 300MED, a unique medical evacuation, or MEDEVAC, transportation solution suitable to the Phenom 300 model series, which is also available for retrofit.
In October 2023, we launched the Phenom 100EX, the newest generation of the Phenom 100 series, with improvements focused on experience for both users and pilots. The Phenom 100EX combines enhanced comfort, operational versatility, and single-pilot-friendly technology. The aircraft features a complete airstair, large entrance door, and an accessible baggage compartment. It offers the tallest and widest cross section in its class combined with extra-large windows. The cockpit is wider with further pilot legroom provided by extended seat tracking, an open-concept cockpit for easier communication with the cabin, and enhanced safety as the first in its class to offer a ROAAS. Additional avionics improvements, as part of the Prodigy Touch, based on the Garmin 3000, include FlightStream 510, stabilized approach, predictive windshear, automatic 3D volumetric scanning with lightning, hail prediction and more.
In 2024, we introduced a new autothrottle for the Phenom 300E, enhancing its already single‑pilot‑friendly cockpit. Offered as an option and supported for in‑service aircraft via service bulletin (SB), the system increases automation and ease of operation, improving both pilot workload and passenger comfort — a testament to our mindset of continued improvement and customer-centric philosophy.
In April 2008, we formally launched two new programs in the medium cabin category, the midlight jet Legacy 450, with a 2,575 nautical mile range and a capacity for up to nine passengers, and the midsize jet Legacy 500, with a 3,125 nautical mile range and a capacity for up to 12 passengers. The Legacy 500 was certified by ANAC and the FAA in 2014, the same year that it entered service. The Legacy 450 was certified by ANAC and the FAA in August 2015 and by the EASA in September 2015. In November of the same year, we announced an increase of the Legacy 450’s range to 2,900 nautical miles, and it entered service in December. In November 2017, we introduced the 5,800-foot cabin altitude for the Legacy 450/500 jets, which further enhanced customer experience. These two aircraft programs have helped strengthen our position in the market and establish our portfolio as one of the broadest in the executive aviation industry. Both the Legacy 450 and 500 had their final deliveries to customers in 2020 and were rebranded as Praetors.
In October 2018, we launched the new Praetor 500 and Praetor 600, the most disruptive and technologically advanced midsize and super-midsize jets, respectively, introducing unprecedented range into their categories. The Praetor
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600 is the farthest-flying super-midsize business jet, which allows nonstop flights between London and New York. The Praetor 500 is the fastest midsize aircraft, capable of reaching Europe from the west coast of the US with a single stop. The Praetor 500 succeeds the Legacy 450 and positions it in the midsize class, as the Praetor 600 succeeds the Legacy 500 and positions it in the super-midsize class. The Praetor 600 was certified and entered service in April 2019 and in June 2019, respectively, while Praetor 500 was certified and entered service in August 2019 and in December 2019, respectively.
In 2020, we announced a series of breakthrough cabin enhancements for the Praetor 500 and Praetor 600. In addition to the lowest cabin internal atmospheric pressure in the class (equivalent to an altitude of 5,800 feet) and 100% fresh air capability, HEPA filter is a standard feature on all Praetor aircraft as well as an electric lavatory pocket door that enables the emergency exit to be moved away from the main cabin. In 2020, we announced the completion of the first European conversion of a Legacy 450 to a Praetor 500. As of December 31, 2025, we delivered 187 Praetor 500 units, including 14 Legacy 450 and 44 conversions from Legacy 450 to Praetor 500, and delivered 226 Praetor 600 units, including 79 Legacy 500.
As of December 31, 2025, we had delivered over 2070 executive jets to more than 1200 customers across 70 countries, with a backlog exceeding 470 aircraft.
Competition
Phenom 100EX and Phenom 300E competitors in the entry-level and light jet categories include Textron, Honda and Pilatus. In the midsize class, the Praetor 500 competes with aircraft produced by Textron, while, in the super-midsize class, the Praetor 600 competes with Textron, Gulfstream and Bombardier aircraft.
Continuing Internationalization
In October 2014, we announced an expansion to our Legacy 500 and Legacy 450 assembly complex in Melbourne, Florida, which more than doubled the size of our campus at the Melbourne International Airport. Since then, we have continued to expand our complex footprint, with delivery centers, assembly hangars, and paint and flight preparation facilities. As of December 31, 2025, our Melbourne campus had a constructed area of approximately 543,485 square feet.
Defense & Security Segment
We design, develop, manufacture and support a wide range of integrated solutions for the defense and security market. Our products include military transport and aerial refueling aircraft, basic and advanced training, aerial surveillance platforms, government transport aircraft and command, control, communications, computer, intelligence, surveillance and reconnaissance systems, border surveillance and security, and cybersecurity. We offer a complete portfolio of customer services, ranging from maintenance and material solutions to complete contractor logistical support programs. Using our commercial platforms and executive Jets, we also offer a comprehensive range of aircraft dedicated to the transportation of VIPs, medical evacuation and general transportation missions for the defense and security market.
We also consider ourselves the leading supplier of defense aircraft to the Brazilian Air Force, measured by the total number of aircraft in their fleet.
As of December 31, 2025, we had sold more than 1,400 defense aircraft, including government transport models, to over 60 armed forces and operators worldwide. The Defense & Security segment contributed to 13.0%, 11.3% and 9.8% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. As of December 31, 2025, our firm orders backlog for this segment stood at US$ 4.6 billion, compared to US$4.2 billion at the end of 2024.
Products
Military Transport – KC-390 Millennium
The KC-390 Millennium is a state-of-the-art, multi-mission military transport aircraft, developed to set higher standards in its category. The KC-390 Millennium is efficient for cargo and troop transport, aerial resupply and humanitarian missions, among other uses, as well as for uses in adverse situations, medical evacuations, firefighting and aerial refueling. Taking advantage of modern engineering solutions in its design, this aircraft is an innovation in military transport aviation, and features speed, operational flexibility, robustness, comfort, ease of maintenance and advanced technology.
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As of December 31, 2025, the 13 aircraft in the KC-390 Millennium fleet had accumulated more than 20 thousand flight hours, with a mission capability rate of 90% and mission completion rate above 98%. Moreover, the KC-390 Millennium is now the tactical transport solution of choice of eleven countries: Brazil, Portugal, Hungary, the Republic of Korea, the Netherlands, Austria, the Czech Republic, Sweden, Lithuania, Slovakia and Uzbekistan, as follows:
✈Brazil—Between 2019 and 2025, we delivered eight KC-390 Millennium multi-mission transport aircraft to the Brazilian Air Force. During the COVID-19 pandemic, the Brazilian Air Force intensively operated the KC-390 to support logistics and airlift operations, carrying essential supplies to combat the pandemic in Brazil. The Brazilian Air Force received its eighth aircraft in October 2025.
✈Portugal—In 2019, the Portuguese government was the first to sign an export contract of KC-390 Millennium aircraft, including the acquisition of five aircraft and one flight simulator, together with a 12-year contract of services to support the fleet, which will be used for military transport. In 2023, the Portuguese Air Force received its first aircraft, which is the first KC-390 with NATO configuration. The second aircraft for Portugal was delivered in June 2024. This aircraft has presented reliability and availability levels similar to those observed in the Brazilian fleet, with very high productivity. In September 2025, Embraer and the Portuguese government signed an amendment to the existing KC-390 contract providing for the acquisition by Portugal of a sixth KC-390 Millennium aircraft. The amendment also included 10 purchase options, intended to facilitate potential acquisitions by future partner nations.
✈Hungary—In November 2020, we entered into an export agreement with the Hungarian government for the acquisition of two KC-390 Millennium, which included the capability to perform in-flight refueling missions. The Hungarian fleet is also the first to be equipped with an intensive care unit (ICU). The first aircraft was delivered to the Hungarian Air Force in September 2024, and the second one in November 2025.
✈South Korea—In December 2023, the C-390 Millennium was selected through a public procurement process for the South Korean Large Transport Aircraft II program, which is intended to provide new military aircraft to the Republic of Korea Air Force. South Korea is the first customer of the C-390 Millennium in Asia.
✈Netherlands—In June 2022, the Ministry of Defense of the Netherlands announced the decision to acquire five KC-390 Millennium aircraft to substitute its fleet of C-130H Hercules. In 2024, the Dutch and Austrian governments placed a joint firm order for KC-390 Millennium – five aircraft will be delivered to the Royal Netherlands Air Force.
In June 2025, Embraer and the Netherlands signed a landmark contract to deliver a cutting-edge aeromedical evacuation system for the Royal Netherlands Air Force’s KC-390 Millennium fleet. This system will expand the operational capabilities of the platform by enabling a modular airborne medical facility capable of delivering life-saving care both in the air and on the ground.
✈Austria—In September 2023, the Austrian government decided to select the KC-390 Millennium as its new multi-mission platform. In July 2024, as part of the “Replacement of Tactical Airlift Capacity” project, the Austrian and Dutch government made a joint purchase of four KC-390 Millennium aircraft which will be delivered to the Austrian Air Force.
✈Czech Republic—In October 2023, the Czech Republic also selected the KC-390 Millennium as its new multi-mission platform. In October 2024, the Czech government formally placed an order for two KC-390 Millennium aircraft, which are designed to perform a wide range of missions, such as tactical transport of troops, vehicles, and equipment, medical evacuation, firefighting, disaster management, humanitarian support, and air-to-air refueling.
✈Sweden— In November 2024, the Swedish Ministry of Defense announced the selection of the Embraer KC-390 Millennium as Sweden’s new tactical transport aircraft. This strategic decision from one more NATO member country marked the first acquisition of the KC-390 Millennium by a Northern European country, underscoring Sweden’s commitment to enhancing its defense capabilities with a state-of-the-art aircraft. In October 2025, Sweden executed a contract to acquire four C-390 Millennium multi-mission aircraft, as part of a collaborative European procurement framework together with the Netherlands and Austria. The contract also included nine purchase options, intended to facilitate potential future acquisitions by other European nations.
✈Slovakia— In December 2024, the Slovak Minister of Defense acknowledged that the Embraer KC-390 Millennium is the option that better fits Slovakia’s future military transport requirements.
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✈Uzbekistan—In December 2024, we signed a contract for the sale of two C-390 Millennium multi-mission aircraft. The contract also includes a comprehensive training and support package as well as the supply of spare parts. The aircraft will be specially configured to meet customers’ requirements, which include tactical transport of troops and vehicles, humanitarian aid, disaster management and medical evacuation.
✈Lithuania—In June 2025, Lithuania’s Ministry of National Defense announced the selection of the C-390 Millennium as Lithuania’s next-generation military transport aircraft.
In February 2024, our Defense & Security segment announced that we had signed a memorandum of understanding (MoU) with Mahindra Defense Systems, a subsidiary of Mahindra, with the objective of jointly fulfilling the acquisition of the KC-390 Millennium multi-mission aircraft by the Indian Air Force in its upcoming Medium Transport Aircraft (MTA) procurement project. The MoU was signed at the Embassy of Brazil in New Delhi. Embraer and Mahindra have since engaged with the Indian government and Air Force to identify the next steps of the MTA program, as well as contact the local aerospace industry in India to start developing the industrialization plan for the project. In October 2025, Mahindra and Embraer further strengthened this agreement, expanding the scope of cooperation to include joint marketing, industrialization and developing India as a hub for the KC-390 Millennium in southern Asia.
In December 2024, we signed an agreement with the Brazilian Air Force to deepen collaborative studies aimed at expanding the capabilities of the KC-390 Millennium platform for Intelligence, Surveillance and Reconnaissance (ISR) missions, with a focus on Maritime Patrol. Based on its versatility, ruggedness, state-of-the-art communications, and self-protection systems, we believe that this aircraft is well positioned to meet the operational requirements not only of the Brazilian Air Force, but also of customers worldwide.
In April 2025, Embraer and Denel, a leading South African aerospace and defense company, signed a memorandum of understanding during the LAAD Defense and Security exhibition in Brazil. This memorandum outlines the framework for a potential future collaboration on the KC-390 Millennium aircraft, with focus on aerostructures manufacturing, maintenance, repair, and overhaul activities.
In November 2025, Embraer Defense & Security and UAE-based companies AMMROC and GAAL signed memoranda of understanding to explore joint opportunities in the development and support of the aerospace & defense sectors, with a particular focus on maintenance, repair and overhaul (MRO) and training services for the KC-390 Millennium multi-mission military transport aircraft. The memoranda also provide a framework for additional collaborative activities across the defense and associated support sectors.
In November 2025, Embraer and Saab, in cooperation with the Brazilian Air Force (FAB), have successfully completed the certification flight test campaign for in-flight refueling of the Gripen E fighter jet, using the KC-390 Millennium multi-mission aircraft as a tanker.
Close Air Support and Advanced Training – A-29 Super Tucano
The A-29 Super Tucano is a turboprop designed for close air support and counterinsurgency, surveillance and reconnaissance (ISR) and advanced training missions. The platform integrates sensors, datalink, cockpit protection and multiple payload configurations.
The A-29 Super Tucano is the best-selling aircraft in its class, based on our internal analysis, and we believe its success is due to its rugged and reliable platform, with a high-precision-class payloads delivery system. The A-29 Super Tucano is also a full-fledged tactical trainer due to its handling features, low operating costs, and state-of-the-art avionics systems.
Since its entry into service in 2004, more than 300 units have been sold to over 20 different countries. The fleet has logged more than 600 thousand flight hours. Orders for the A-29 Super Tucano in 2025 comprised a total of 10 aircraft, in contracts with Uruguay (five), Panama (four), and Sierra Nevada Corporation (one). Below is a list of orders for the A-29 Super Tucano:
Paraguay - In August 2024, we announced the execution of a contract with the Paraguayan Air Force for the sale of six A‑29 Super Tucano aircraft. The agreement includes mission equipment and an integrated logistics services package. The Paraguayan Air Force acquired the aircraft as part of its broader effort to modernize aerial and detection capabilities, and to enhance its capacity to address emerging threats. The first four aircraft were delivered in the second quarter of 2025.
Uruguay - In December 2024, we announced the execution of a contract with the Uruguayan Air Force for the sale of A-29 aircraft, including five purchase options, which were converted into firm orders in January 2025.
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Undisclosed Country - In December 2024, we announced a firm order for six A‑29 Super Tucano light attack and advanced training aircraft placed by an undisclosed customer. The order was included in our release of backlog and deliveries in the fourth quarter of 2024.
Undisclosed Country in Africa - Also in December 2024, we signed a separate contract for the sale of four A‑29 Super Tucano aircraft to an undisclosed customer in Africa, which will become the sixth operator of the aircraft in the continent.
Panama - In April 2024, we announced that Panama’s National Air and Naval Service (Servício Nacional Aeronaval), or SENAN, together with Panama’s Ministry of Public Security, selected the A-29 Super Tucanos as its new platform for surveillance, reconnaissance and protection missions. In September 2025, this selection was consolidated through the execution of a contract for the acquisition of four A-29 Super Tucano.
U.S. Foreign Military Sales Programs - We have acted as a subcontractor for the U.S. government and through the Sierra Nevada Corporation, a U.S. government contractor, have delivered 47 A-29 Super Tucanos to different countries as of December 31, 2025. In September 2025, we entered into an agreement with Sierra Nevada Corporation for the sale of one A-29 Super Tucano aircraft to support a foreign-partner program in advance of a pending U.S. Foreign Military Sales case.
Another notable milestone in the A-29 Program, in November 2025, was the announcement of a project to expand the A-29 platform’s capabilities to address counter-unmanned aerial systems (C-UAS) missions.
Fighter Jet – F-39 Gripen Program
In July 2014, we entered into an agreement with Saab AB, or Saab, to collaborate in a joint management program for the F-X2 Project, currently called F-39 Gripen Program, pursuant to the selection of the Gripen NG as Brazil’s next generation fighter jet. Under this agreement, we have performed a material role in the overall program, and we have also taken an extensive share of work in systems development, integration, flight testing, final assembly and aircraft deliveries of the state-of-the-art Gripen NG aircraft for the Brazilian Air Force. The program represents a significant enhancement of Embraer’s capabilities in advanced systems engineering, industrial integration and military aircraft manufacturing.
In 2023, we and Saab inaugurated the production line of the Gripen E fighter in Brazil, at our facility in Gavião Peixoto, Brazil. Of the 36 Gripen E aircraft ordered by the Brazilian Air Force, 15 will be assembled on this production line. As of December 31, 2025, Embraer continued to advance in the production of the first Gripen E aircraft assembled in Brazil, and reached the milestone of five aircraft being produced simultaneously, reflecting progress in industrial execution. Activities under the Gripen program also included the completion of the contractually defined development scope, including remaining flight test activities, in accordance with applicable contractual and technical requirements.
Military Modernization Programs
Embraer provides military aircraft modernization services focused on extending platform service life, incorporating new technologies and enhancing operational capabilities. These programs typically include avionics upgrades, systems integration, certification activities and delivery of associated training and mission support systems.
Our program with the Brazilian Air Force relates to the modernization of five E-99M Airborne Early Warning and Control, or AEW&C, aircraft. The agreement also includes six mission planning and analysis stations, which will be employed for training and crew development. In 2020, the first two units were delivered, and continued through 2022. In 2023, the program obtained the full operational capability, or FOC, certification, followed by reconfiguration of previously delivered aircraft to the FOC standard. The program was demobilized and the contract concluded in 2025.
Our modernization program with the Brazilian Navy is for the upgrade of A-4 Skyhawk fighter jets (AF-1, per the Brazilian Navy’s designation), with the purpose of incorporating new technology, including new avionics, radar, power generation, and independent oxygen-generating systems. By 2022, all seven modernized AF-1 (AF-1B) fighter jets had been delivered to the Brazilian Navy, as well as the fixed-base simulator AATD (Advanced Aircraft Training Device). In 2023, the aircraft received the FOC certification. Reconfiguration activities were completed in 2025, followed by program demobilization and contract conclusion.
In addition to our ongoing programs, we also concluded the A-1M modernization program with the Brazilian Air Force. This program focused on modernizing the AM-X aircraft, an aircraft developed by Embraer together with Aermacchi (Italy), and sold to the Brazilian Air Force approximately 20 years ago. The platform naturally became technologically outdated over time. Between 2013 and 2021, we delivered 11 modernized aircraft, and the program was completed with the Verification Plan by the Brazilian Air Force in 2021. The demobilization of the production line began thereafter, and was concluded in 2024.
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In 2025, we concluded all active modernization programs – all aircraft deliveries were finalized.
Radars and Land Systems Programs
Our portfolio of capabilities in the land domain includes the development, integration, project management, sourcing, manufacturing, implementation, deployment and life cycle support of radars and land systems for multiple applications, including: low-altitude air defense, surface surveillance, air traffic control, identification friend or foe (IFF), medium-range air defense, surveillance and early warning, monitoring and protection of borders, and protection of critical infrastructures, among others. Our products include both fixed, modular, and transportable solutions. Our line encompasses a comprehensive range of products: the SENTIR M20 ground surveillance radar, the SABER M60 short-range air defense radar, the SABER M200 VIGILANTE medium-range air defense radar, among other integrated solutions. One of these solutions is the SISFRON, which has the purpose of monitoring Brazil’s land borders. Embraer leads the system architecture design, development and implementation of the SISFRON program.
In 2025, Embraer made significant progress in its radar and landing systems programs. During the period, a contract was signed with the Brazilian Army aimed at expanding the capabilities of the M200 Multimission radar, including the development and validation of the counter-battery mode, reinforcing technological advancement and national autonomy in artillery target acquisition systems.
Within the scope of the SISFRON Project – Phase 2, contractual execution surpassed 70% in 2025, driven by consistent progress in deliveries. Throughout the year, 77 mobile tactical communications units were delivered, strengthening the command, control, and communications infrastructure required for border protection operations. Complementing this architecture, four mobile command & control centers (cc2) were delivered, enhancing decision-making support capabilities in remote environments, and consolidating the operational evolution of the system along the western border of the country. These results reaffirm Embraer’s commitment to the development of strategic technologies, and to strengthening the operational capability of the Brazilian Armed Forces, by supporting the protection of Brazil’s borders and upholding Brazil’s sovereignty.
Principal Defense & Security Subsidiaries and Joint Ventures
Atech
Since 2013, Atech has worked on many strategic projects for the Brazilian government, including the LABGENE program and Brazilian air defense systems. Atech is also responsible for the development, implementation, and modernization of Brazil’s air traffic control centers. Atech’s business capabilities also include the design and development of complex systems, solutions for critical missions, and technologies to support decision-making. Atech also acts as a strategic partner in KC-390 sales campaigns, supporting Embraer in countries where the aircraft has been gaining market share, by expanding opportunities for industrial cooperation.
The LABGENE (Nuclear Power Generation Laboratory) program continues to advance. In 2023, Atech delivered the External Nuclear Detection System (Sistema de Detecção Nuclear Externa) and the Internal Nuclear Detection System (Sistema de Detecção Nuclear Interna) to the Brazilian government. Atech continues to play a key role in advancing the LABGENE program in 2025, delivering critical monitoring, control, and protection systems while supporting operator training and commissioning. The company is also contributing to requirements harmonization for small modular reactors, strengthening its position in Brazil’s nuclear sector.
In 2024, Atech signed five new contracts for the development, modernization and implementation of air traffic control systems in Brazil, in partnership with the Department of Airspace Control of the Brazilian Air Force. The same year, Atech and Eve Air Mobility signed a contract for Phase 3 of the Urban Air Traffic Management system (UATM), part of the strategic partnership between the companies.
In 2025, Atech maintained its strategic position in complex systems engineering and solutions for critical missions, expanding its international presence. The company strengthened its role in highly relevant sectors — defense, security, cybertechnology, air traffic management, and nuclear power generation — aligned with its growth and revenue diversification strategy. In the international market, Atech consolidated its presence by signing a contract with the South African state-owned company ATNS for the modernization of the country’s air traffic flow management system. In Brazil, the company strengthened its position by signing four additional contracts with DECEA (Department of Airspace Control), expanding its portfolio in air traffic control systems, and ensuring growth in projects of high relevance to the sector.Atech also advanced in strategic programs with the Brazilian Navy (LABGENE and Tamandaré-Class frigates) and with the
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Brazilian Air Force (DACOM and SOpM), securing contractual deliveries, amendments, and new contracts that strengthen our position in long-term, high-complexity projects.
Visiona
In 2012, Embraer and Telecomunicações Brasileiras S.A. (Telebras) incorporated Visiona, with Embraer holding a 51.0% stake and Telebras a 49% stake. Visiona became the prime contractor for the Brazilian Strategic and Defense Communications Geostationary Satellite (Satélite Geoestacionário de Defesa e Comunicações Estratégicas), being responsible for the system integration.
In 2023, the VCUB-1 nano satellite was launched into space aboard SpaceX’s Transporter 7 mission. In 2024, all planned objectives were successfully achieved and the mission was declared a success with the publication of the first-ever images captured by a private Brazilian satellite. Additionally, as part of the VCUB-1 mission, Visiona completed the development and validation of onboard data management, communications, and orbit and attitude control systems for satellites, reaching full mastery of onboard satellite software.
Also in 2023, Visiona won a government grant in the amount of R$220.0 million to develop a new very high-resolution observation satellite (SATVHR). In 2024, the company concluded all subsystems preliminary design reviews and surpassed the 50% conclusion milestone for the project.
In 2025, important milestones of the SatVHR project were completed, including the preparation of models for radiofrequency and thermo-structural tests, as well as the execution of Critical Design Reviews (CDR) for several subsystems.
In February, 2025, the VCUB nanosatellite re-entered the atmosphere, marking the end of this successful mission.
At the end of 2025, Visiona celebrated ten years of operations in the remote sensing services market. Over this period, more than 300 projects were executed, serving over 120 clients in sectors such as government, energy, gas, environment, mining, and logistics. In 2025, 27 new contracts were signed in this area, including seven new clients. The partnership with Google deepened, accelerating the joint development of new business opportunities, particularly in the government, energy, and agriculture sectors.
Águas Azuis
Águas Azuis is a specific purpose company held by Embraer, Atech, and Thyssenkrupp Marine Systems founded and contracted in 2020 to build four Tamandaré-class frigates for the Brazilian Navy.
The “Tamandaré” Frigate (F200), the first of its class, was launched in August 2024 and underwent sea acceptance trials in 2025. The second frigate, “Jerônimo de Albuquerque” (F201), was launched in August 2025.
Construction of the third vessel, the “Cunha Moreira” Frigate (F202), began in June 2025 with the keel-laying ceremony.
Competition
Our military aircraft face competition from various manufacturers in different countries, in all segments. The A-29 Super Tucano competes in the close air support market with the Textron AT-6 (United States of America), L3 Harris’ SkyWarden (United States of America), KAI KA-1 (South Korea), TAI Hürkuş (Turkey) and Aero Vodochody L-39NG (Czech Republic), among others. In the training market, the A-29 Super Tucano competes with the Pilatus PC-21 (Switzerland) and Textron T-6A/B (United States of America), among others.
In the military transportation segment, the KC-390 Millennium operates in the medium airlift segment in the 20-ton category. Its main competitor is the Lockheed Martin C-130J (United States of America). Due to the multi-mission design of the KC-390 Millennium, including medical evacuation, search & rescue, firefighting, air-to-air refueling, transport of troops and aerial resupply, we expect competition from other aircraft that can execute some similar missions. These competitors include the Airbus A400M (Europe), Airbus C-295 (Europe), Kawasaki C-2 (Japan), Leonardo C-27J (Italy), and Ilyushin IL-76 (Russia).
In our special mission subsegment, which includes the aircraft used by government officials and authorities, our executive jets face competition from the main manufacturers of business jets, such as Textron and Gulfstream (United States of America), Bombardier (Canada), and Dassault (France).
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Services & Support Segment
Overview
On December 20, 2016, we announced the creation of Embraer Services & Support, which is a services and customer support business unit that brings together capabilities that were previously allocated to each business segment. Our Services & Support segment is responsible for developing solutions in support of current and new products and services, as well as for managing the associated processes and resources.
As of December 31, 2025, this segment supported approximately 4,391 products and served over 2,000 customers in nearly 100 countries. This operating segment also supports the Commercial Aviation, Executive Aviation and Defense & Security segments through a network of specialized operations in dedicated sites, such as warehouses, MRO facilities, training centers with full flight simulators and more than 200 field support representatives, who work side-by-side with operators to understand their specific needs and ensure product performance.
Through a comprehensive portfolio of services covering all segments, our team of experts offers the following services and products:
✈Field support for on-site or remote assistance for operational and technical challenges, ensuring maximum performance and convenience;
✈Technical support, offering leverage analytics, engineering expertise, and real-time fleet monitoring to meet our operators’ technical needs with precision and cutting-edge efficiency;
✈Flight operations solutions to enhance our customers’ operations through tailored solutions, consulting, supervision, and training resources, optimizing efficiency and safety;
✈Aircraft modification, elevating our fleet’s performance with expert execution and coordination of system upgrades, along with cabin, avionics, and connectivity modifications for a superior onboard experience;
✈Meticulous materials management, ensuring seamless availability of parts for both scheduled and unscheduled maintenance;
✈Optimized maintenance solutions prioritizing efficiency and safety for sustained operational excellence;
✈Training programs to prepare the flight crew, maintenance technicians, and operations personnel to achieve the highest levels of competence; and
✈24/7 technical support at our customer care center, providing assistance to every product platform we have to offer, from the EMB-120 Brasilia to the E-Jets E2 and Praetor 600.
Our global network of over 15 owned MROs and more than 80 authorized service centers are designed to support our customers with effective, reliable, and efficient customized solutions. Our MROs are located in the United States of America (Mesa, Arizona; Fort Lauderdale, Florida; Melbourne, Florida; Nashville, Tennessee; Macon, Tennessee, Fort Worth, Texas, Dallas Love Field, Texas, Cleveland, Ohio and Sanford, Florida), Brazil (Sorocaba, Gavião Peixoto, and São José dos Campos, São Paulo), France (Le Bourget), and Portugal (Alverca).
To further support our customers, our global logistics capabilities and warehouses offer unparalleled access to a comprehensive inventory of spare parts, complemented by new parts planning and repair management systems to ensure uninterrupted operations. These warehouses are located in the United States of America (Davie and Fort Lauderdale, Florida), France (Mitry Mory), Singapore, China (Beijing), and Brazil (São José dos Campos and Taubaté).
Our Services & Support segment accounted for 25.4%, 25.6% and 26.9% of our revenue for the years ended December 31, 2025, 2024 and 2023, respectively. As of December 31, 2025, our firm orders in backlog for our Services & Support segment amounted to US$4.9 billion, compared to US$4.6 billion as of December 31, 2024.
In 2023, new contracts and renewals were signed in our Flight Hour Pool Program (which is an agreement that allows the customer to receive support for a wide range of repairable components for their fleet based on its flight hours) with customer operators such as: Porter Airlines, SKS, Star Air, Marathon Airlines, Sky High, Royal Jordanian Airlines, Fly Amelia, National Jet Express, a Rex Group company, Scoot, LuxAir, among others.
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Furthermore, digital evolution continues to be key in our business. In 2023, several resources were launched to improve the customer experience, such as the (i) electronic commerce tool for purchasing or renewing services, such as technical publications, the Aircraft Health Analysis and Diagnosis, or AHEAD (which is an operational management tool that continuously monitors aircraft inflight through automatic transmission of aircraft system alert messages to the ground), and smart troubleshooting, (ii) “customer academy,” which consists of tutorials for customer support, and (iii) improvements to the eParts system (which is a system that allows the customers to manage and purchase aircraft parts such as parts request, order tracking, quotation, material return, among others).
In 2024, we announced the expansion and investment of our MRO services network in the United States to support the growing fleet of E-Jets E2 aircraft with the opening of a new Embraer-owned service center at the Perot Field Alliance Airport, in Fort Worth, Texas.
In 2025, in partnership with the City of Fort Worth, Denton County and the State of Texas, we began operations in an existing hangar in the second quarter of the year, while building a second hangar that should be concluded by 2027. With the new facilities, Embraer’s capacity to serve the E-Jets customers will increase by 53% in the United States, and investments are expected to reach up to US$70 million, creating approximately 250 new aviation jobs in Texas. The new Fort Worth service center will be added to the global network of Embraer which includes 80 authorized centers and 14 owned service centers around the world.
Services & Support related to the Commercial Aviation Industry
Our teams of highly skilled technicians work directly with Commercial Aviation operators to design a maintenance package that addresses the needs of the business unit, such as:
✈Flight-Hour Pool Program, which allows airlines to minimize upfront investment in high-value repairable inventories and resources using Embraer’s expertise and vast component repair service provider network. The program results in significant savings on repair and inventory carrying costs, reduction in warehousing space, and virtual elimination of repair management resources;
✈Embraer Collaborative Inventory Planning (ECIP), which is a tailored expendable spare parts inventory management program designed to assist customers reduce operational costs by optimizing inventory levels;
✈Embraer Parts Exchange Program, which offers operators a highly comprehensive list of rotable parts available for ad-hoc exchanges which includes the exchange and repair costs; and
✈Customer Stock Optimization, which comprises strategic management and allocation of inventory to meet customer demand while minimizing excess stock and associated costs.
We constantly monitor customer satisfaction levels and keep open communication channels with them to understand customer needs and define the most appropriate actions for the continuous improvement of our support. To do so, we use the following tools and forums:
✈annual customer support satisfaction survey to identify our competitive position;
✈specific action plans and commitments with each customer, known as Customer Integrated Action Plans;
✈teamwork and systematic identification and integrated action plans to solve problems affecting us, our suppliers and customers;
✈periodic dedicated meetings at the customer’s headquarters;
✈Embraer Operators’ Conferences, which are held once a year and in different regions of the world, with the presence of all operators of E-Jets and E2s, as well as suppliers and partners;
✈Maintenance Cost Workshop, a yearly event held to share best maintenance practices and discuss cost reduction initiatives among operators and the Embraer team;
✈eTalks, which is a series of monthly lives created to keep customers informed and updated about different subjects related to Embraer Services & Support;
✈interactive forums for discussions in the web portal FlyEmbraer, fostering the exchange of experiences among operators and Embraer;
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✈participation in international fairs related to maintenance, technology, customer relationship management and others; and
✈an internal program, Embraer Excellence in Customer Experience, which aims to address changes in the Services & Support segment of the commercial aviation division, in order to elevate the performance of our Commercial Aviation segment, covering current and future market needs, with the purpose of obtaining the highest levels of customer satisfaction based on their experience in the commercial aviation industry.
In 2023, the new generation version of the AHEAD system was launched. AHEAD is a tool that helps airlines and customers to implement digital predictive maintenance on their E-Jet E1 and E2 fleets, using data to identify and predict potential issues before they become critical.
In 2023, Embraer-CAE Training Services announced the expansion of the joint venture between CAE Training Services and Embraer, with the purpose of including training programs for pilots and cabin crew for the E-Jet E2 family. The new pilot training program will take place in Singapore and will feature a new state-of-the-art full flight simulator for the E2 E-Jets at the on-site CAE Flight Training Center.
During 2023, we reached an important milestone with the passenger aircraft conversion program for cargo aircraft, which was the official launch of the aircraft, revealing its painting scheme to the market, and initiated ground testing. Pursuant to this program, full freighter conversion is available for all pre-owned EMBRAER 190 and EMBRAER 195 aircraft, which entered into service in 2024.
In 2024, one of the main drivers for Commercial Aviation services was the signing of a Memorandum of Understanding (MoU) between Fokker Services Asia (a subsidiary of Fokker Services Group) and Embraer. This MoU sets Fokker Services Group Asia’s facility in Seletar, Singapore on track to become an Authorized Service Center for Embraer’s first-generation E-Jets family, supporting the steadily growing Embraer presence in the Asia-Pacific region. A few months later, Fokker Services Asia received official certification as an Embraer Authorized Service Center, focusing on the E190 aircraft. Also, SIAEP, a subsidiary of SIA Engineering Company Limited (SIAEC), has become the first Embraer Authorized Service Center in the Asia-Pacific region to offer maintenance, repair, and overhaul services for Embraer’s E-Jets E2 family.
Embraer and Scoot, the low-cost subsidiary of Singapore Airlines, have signed a contract for the Embraer Collaborative Inventory Planning (ECIP), a tailored expendable spare parts inventory management program designed to help customers reduce operational costs by optimizing inventory levels. The ECIP agreement, coupled with the Pool Program will provide comprehensive support for Scoot’s incoming fleet of nine E190-E2 jets. The airline will be the first ECIP customer in the Asia-Pacific region.
Another important milestone during this first semester was the introduction of the E-Jets E2 full-flight simulator (FFS) in Singapore, the first in the Asia-Pacific region. E-Jets E2 training is the latest program offered by the recently expanded Embraer CAE Training Services (ECTS) joint venture. The E2 training program will feature CAE’s competency-based training assessment (CBTA) courseware, interactive classroom instruction with the CAE Simfinity virtual simulator (VSIM), and immersive practical training in a new state-of-the-art CAE 7000XR Series FFS.
Additionally, Embraer is expanding its MRO services network in the United States of America to support the growing fleet of E-Jets. A new Embraer-owned service center will be established at Perot Field Alliance Airport in Fort Worth, Texas. The first E-Freighter, Embraer’s E190F, a converted jet from passenger transport to freighter, successfully completed its first flight. At the end of 2024, the E190F, a passenger-to-full-cargo conversion, was certified by ANAC.
In 2025, our Services & Support for commercial aviation business consolidated significant strategic and operational advancements. A key highlight was the signing of a contract with a customer in the Europe, Middle East and Africa region for the Embraer Collaborative Inventory Planning (ECIP) program, ensuring support for a fleet of 68 aircraft and strengthening customers’ logistical efficiency and operational availability.
In 2025 we also signed three new contracts under the Special Parts Program, and renewed one preexisting contract. Additionally, we also extended a total support package contract for an E2-family operator from 2032 to 2035. The segment also recorded the execution of seven remarketing contracts.
Expansion of training capacity was another highlight of 2025, with the installation of a new full‑flight simulator by Embraer CAE Training Services (ECTS) in Madrid, Spain, increasing the offerings for E2-family customers in Europe.
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In the MRO area, the opening of new facilities in Dallas–Fort Worth strengthened support for the commercial jet fleet in the United States and international markets. In Europe, LOT Aircraft Maintenance Services (LOTAMS) became the first Embraer Authorized Service Center for E2 aircraft.
In the retrofit business, the new design for the overhead bins of E‑Jets E1 was launched, with a confirmed launch customer set to modernize more than 260 aircraft. The Pool Program also made significant progress, with the signing of contracts with various airlines and government operators, adding approximately 75 aircraft to the portfolio.
Among the main contracts, highlights include the renewal of Republic Airways’ heavy maintenance agreement through 2030, and Air Dolomiti’s enrollment in the Pool Program, covering 26 aircraft. Embraer also signed new maintenance agreements with CommuteAir, delivered the first E‑Freighter to Bridges Air Cargo Ltd., and expanded its AHEAD Premium customer base. The year concluded with the groundbreaking ceremony for a new MRO facility for commercial jets in Fort Worth, reinforcing the Company’s investments in global infrastructure.
Services & Support related to the Executive Aviation Industry
Services and support provided to Executive Aviation aircraft continue to be strong, mostly driven by the high volume of aftermarket aircraft transactions and the addition of new customers to our Executive Care program, which is a comprehensive airframe maintenance program carefully designed and managed by Embraer to provide a simple and predictable way for budget aircraft’s maintenance costs. We have also improved our services and support structure to enhance our customers’ experience.
To measure our customers’ satisfaction, we implemented the Customer Experience Program, supported by a marketing tool that measures customer satisfaction based on the customer’s experience. The score and feedback received allow us to be more responsive on developing initiatives as well as predict their needs.
Our Customer Care Center has a team of specialists dedicated to support all Embraer Executive Aviation and offers complete and timely assistance for their operational, technical and maintenance needs. It operates 24 hours a day, seven days a week, and is based at Embraer’s headquarters in São José dos Campos. Its priority is to minimize downtime from the customer’s first contact to final completion, by quickly and efficiently applying appropriate resources to critical needs, assuring that customers have expert assistance anywhere in the world.
Since 2014, our product support consistently achieved top rankings in our industry surveys. In 2016, we secured the number one position in both the Aviation International News (AIN) and Pro Pilot Product Support Surveys for the first time. The following year, AIN again recognized us as the leader in product support. In 2018, we claimed the top spot in the Pro Pilot Product Support Survey and secured the second position in AIN’s survey. In 2020 and 2021, we maintained our top-ranking status across all categories in Pro Pilot’s Product Support Survey, such as company response time, costs of parts, and overall ranking. By 2022, we advanced to first place in AIN’s Product Support Survey and secured the second spot in Pro Pilot’s Survey. Overall results and customer satisfaction on executive jets kept Embraer at the top of the 2023 product support surveys, earning first place in Professional Pilot Magazine and third place in AIN.
In 2023, we successfully implemented a new full flight simulator for the Phenom 300E in Las Vegas, Nevada. Additionally, for the fifth consecutive year, Embraer fixed-base operator, or FBO operator, in Sorocaba, São Paulo, was recognized as the best FBO in Brazil, according to Aviation International News research. This recognition is a result of our continued commitment to improve our solutions, including the expansion of the Sorocaba on-site service center in 2022.
Furthermore, during the year, in partnership with FlightSafety, we implemented the third full flight simulator for Praetors, in Orlando, Florida, and launched the auto throttle for Phenom 300E aircraft.
Embraer-CAE Training Services announced the expansion of its training capacity with two new Phenom 300 flight simulators to meet the growing demand for training in executive jets in the United States of America and Europe. In the same period, we partnered with Elite Jets to replace the seats in the Phenom 300 fleet with our new logo and announced the doubling of our maintenance capacity through the extension of our service centers in the United States of America, including increasing from one ground handling team to 28 teams distributed around the country supporting all MROs.
In July 2023, we celebrated 40 years of our presence in France. We currently have a Business Jet Service Center in Le Bourget, and a warehouse in Mitry-Mory, just outside Charles de Gaulle Airport.
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In 2024, Embraer, EVE and Groupe ADP (Aéroport de Paris) signed a Memorandum of Understanding (MoU) to advance the future of low-carbon aviation in and around Paris-Le Bourget Airport, France. As part of this initiative, Embraer Services & Support plans to design and relocate its current facilities to a new maintenance building, aiming to more than double its existing capacity.
The new Embraer MRO facility in Cleveland, Ohio, United States of America, began operations in July 2024, followed by the launch of another facility in Sanford, Florida, United States of America in August 2024. For the second consecutive year, we ranked first in the Pro Pilot Product Support Survey 2024 and climbed to second in Aviation International News’s ranking.
In 2025, Embraer Services & Support strengthened its global network with the addition of Fly Across MRO as a new authorized service center in Mexico and the entry of Aerocardal in Chile, offering base maintenance for the Phenom, Praetor, and Legacy jet series. This expansion increased service capacity across Latin America.
The Executive Care program maintained its strategic relevance, with the signing of 37 contracts in 2025, including renewals, new agreements for newly delivered aircraft, late enrollments, and scope expansions. These results reinforce cash‑flow predictability and strengthen customer loyalty.
We also continued to diversify our portfolio with the launch of Gogo Galileo HDX connectivity for the Phenom 300 in the aftermarket, as well as the expansion of Starlink connectivity options for the Praetor and Legacy models. Additionally, innovations were introduced in the aftermarket portfolio, such as the first installation of LED Taxi landing lights on the Phenom 300.
These initiatives reinforce Embraer’s commitment to operational excellence, innovation, and global support for executive aviation customers.
Services & Support related to the Defense & Security Industry
The Services & Support segment provides solutions to several air forces and government entities through our comprehensive portfolio. These solutions are tailored to our customer needs and may include provision of material, training, maintenance, engineering and other aspects that will enhance fleet availability and mission readiness.
Our support services may range from simple transactional sales to integrated support programs. We assess our customer capabilities and requirements to define the integrated solution that will keep the fleet operating in the most effective way.
The multi-mission KC-390 Millennium has a dedicated team to design and implement the most effective entry into service solution. The customer participates directly in the process, alongside the Embraer team, encompassing overall strategy as well as specific details, assuring a reliable and smooth operation from the beginning of the process.
As part of the integrated support program, we also provide services to new and existing customers of our Super Tucano, which is an aircraft used by several air forces around the world.
Additionally, we also provide support aircraft services to passenger carriers from several government organizations. For instance, we have support services designed to fulfill requirements, including sale of spare parts, maintenance, training and technical support, among others, relating to (i) recent aircraft Phenom 100, Phenom 300, Legacy 450; (ii) older aircraft, including Legacy 600 and ERJ-145, and (iii) legacy aircraft, including Bandeirantes (EMB-110) and Brasília (EMB-120). Through the support services we provide to our customers, we can complement commercial or business aircraft with equipment and sensors, thereby making our customers’ fleet available for different types of missions.
In 2022, Embraer Services & Support for the defense market also achieved important milestones, as the second phase of the SISFRON program, which started in the first quarter of the year.
During the same year, new temporary support contracts were signed with the Brazilian Federal Police for two E175s and with SATENA, which represented new revenue to Embraer Services & Support. New agreements also include sustainment engineering (aircraft support and maintenance); pilot training; M60 radars on demand and technical representative contract for the Legacy 500 fleet.
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Also in 2022, the Services & Support segment team supported the preparation for entry into service of the KC-390 fleet of the Portuguese Air Force and the Hungarian Defense Force and the operation of 100% of the Super Tucano fleet in the Philippines. In training, the team assisted in the first and successful operation of the KC-390 to airdrop cargo supplies at the Brazilian research base in Antarctica, in addition to completing pilot training in the Turkmen Air.
In the Defense & Security segment, the Services & Support segment entered into an integrated logistics support contract, or ILS, for the A-29 with the Chilean Air Force and Embraer’s participation in the first meeting of the Users Group KC-390, organized by the Portuguese Air Force.
In June 2023, a major milestone was the inauguration of the first complete flight simulator for the KC-390 Millennium multi-mission jet at the Embraer Academy, located at the Eugênio de Mello unit in São José dos Campos, state of São Paulo, Brazil. In addition, the execution of spot contracts for spare parts and repair with the Philippine Air Force, and the ILS contract with the Hellenic Air Force were relevant accomplishments.
In 2023, a major milestone was the extension of the ILS contract for the Brazilian Air Force fleet, consisting of 24 ERJ-135, Legacy 600 and AEW aircraft. In our management’s view, ILS is the preferred choice in the defense market, which we believe will guarantee our military and government customers the availability of assets at predictable and competitive costs.
In 2024, we reached milestones such as: the entry into service support of the seventh KC-390 Millennium multi-mission aircraft delivered to the First Squadron of the First Group of the Brazilian Air Force at the Galeão Air Force Base in Rio de Janeiro; the five-year celebration of service for the KC-390 for the Brazilian Air Force; and the Hungarian Air Force KC-390 Millenium’s entry into service by our technical team. We also announced that we will provide training solutions for the KC-390 Millenium to the Royal Netherlands Air Force. The agreement includes a full-flight simulator, and a cargo handling station trainer developed with Rheinmetall.
In 2025, Embraer intensified its activities in the Defense & Security segment, focusing on support, maintenance, training, and technological integration. Notable highlights include the return to service of Indian Air Force aircraft after heavy inspections performed in India, as well as the signing of an Integrated Logistics Support contract for the Praetor 600 with Burkina Faso.
We also completed the KC-390 Millennium training package with the Royal Netherlands Air Force and carried out technical assessments for new Super Tucano customers, preparing these aircraft for entry into service. Additionally, a contract was signed with the Dominican Republic to support its Super Tucano fleet, including maintenance, parts supply, and technical assistance, contributing to the resumption of critical missions.
The Super Tucano Operators Conference and the integration of ILIAS software suite into the service offerings for the C-390 Millennium and the A-29 Super Tucano in 2025 further reinforce Embraer’s position as a provider of comprehensive and technologically advanced solutions for the defense sector.
OGMA
OGMA, an Embraer subsidiary located in Alverca, Portugal, combines the accumulated know-how as an aircraft manufacturer and maintenance service provider. It offers worldwide MRO services, for defense, commercial and executive aviation as well for aircraft engines and components. Furthermore, OGMA plays an important role as a major aerostructures supplier of integrated solutions to OEMs and first tier suppliers. OGMA delivers assemblies and sub-assemblies of both metallic and composite materials. As of December 31, 2025, we owned 65% of OGMA’s voting capital, with the remaining 35% held by idD - Portugal Defense S.A.
In 2018, OGMA celebrated 100 years of activity in the aeronautical market. Since its formation, OGMA has been investing in the areas of MRO and manufacturing of aerostructures. In 2018, it also entered into an agreement for the maintenance and management of the Brazilian Air Force’s C-130 aircraft fleet, strengthening OGMA’s position in this market. OGMA further extended the MRO spectrum, obtaining certification for maintenance of the Rolls-Royce AE1107 engine. In addition, it entered into a pylon manufacturing agreement with one of the largest manufacturers of executive
aircraft.
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In 2020, OGMA entered into 12 new contracts to provide MRO services to the Defense & Security and Commercial Aviation segments, and repair of maintenance components, such as those related to hydraulic, pneumatic, fuel, electrical and avionics systems. Still in 2020, OGMA became a new authorized maintenance center for Pratt & Whitney engines, as a result of a project developed by OGMA, with the support of Embraer, over the prior 12 months, allowing the expansion of its scope of services in the area of engine maintenance, and marking the entry of Pratt & Whitney maintenance, repair and overhaul in Portugal.
In 2021, OGMA had major achievements such as: Pratt & Whitney signed agreement for PW GTF engines, the Rolls-Royce AE 2100 Program: delivery of the first Nacelle within the contracted TAT, and an agreement for OGMA Aeronautical Academy. Also, featured in Aerospace & Defense Review, OGMA was ranked as one of the “Top 10 MRO Service Companies in Europe 2021.”
In 2022, OGMA delivered the last F-16 to the Royal Netherlands Air Force (RNLAF), the second ERJ-175 for the Brazilian Federal Police and delivered a C-130 for the Portuguese Air Force.
OGMA has also achieved two important market recognitions, being ranked as one of the “Top 10 MRO Service Companies in Europe in 2022” by Aerospace & Defense Review. OGMA was named as one of the best places to work, ranking first in the aviation industry, according to the employer branding study developed by Randstad Portugal.
In 2023, OGMA carried out the first base maintenance of an E2 aircraft, the first in the world, and completed the maintenance of the C-295 aircraft to the Portuguese Air Force.
In 2023, OGMA carried out maintenance on model EH101 helicopters from the Portuguese Air Force and model C-295 and C-130 H aircraft from the Brazilian Air Force. OGMA carried out the first heavy C-Check maintenance (which is a maintenance check performed every 20–24 months) on the three E2 aircraft from Widerøe, the largest regional airline in Scandinavia. These aircraft are part of the first group of aircraft to undergo this type of maintenance in the world.
In 2023, after maintenance services, we delivered ERJ-145 aircraft to Loganair, ERJ-135 to the Indian Air Force, EJet170 to the Royal Oman Police and Nordic Aviation Capital, 190E2 aircraft to Placard, C-130 to the Chilean Air Force and the Chadian Air Force, and F-16 and EH helicopter 101 to the Portuguese Air Force. Around 25 Rolls-Royce engines were also delivered after repair and maintenance. Regarding aerostructures, OGMA delivered several manufactured and assembled parts to our main customers.
In the last quarter of 2023, we delivered C-295 aircraft to the Portuguese Air Force and began heavy maintenance training for the GTF engines.
In 2024, OGMA launched the new maintenance line for Pratt & Whitney’s GTF PW1100 family and concluded the induction of the first engine.
In 2025, OGMA advanced in several key strategic projects, including the start of the industrialization phase of the PW1900 engine, which is expected to enter service in November 2026, and the approval of the first PW1100 engines in the test cell. The company also received National Civil Aviation Agency of Portugal (Autoridade Nacional da Aviação Civil) approval for complex repairs on GTF engines, expanding its technical capabilities.
In the civil segment, contracts were signed with various customers, expanding and diversifying the portfolio. Another highlight was the first Time & Material allocation received from Rolls‑Royce for an AE2100D3 and QEC‑J engine, strengthening relationships with new operators. OGMA’s initiatives reinforce its position as a strategic partner of Embraer in delivering high‑complexity maintenance solutions.
Other Segments
Overview
In our Other segments, we supply Liebherr Aerospace with parts to support their aftermarket needs. Additionally, we develop the technical solution for the landing gear and flight control computer for EVE in our parts and equipments division.
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We produce the Ipanema aircraft, a crop duster originally developed in the 1970s under specifications from the Brazilian Ministry of Agriculture. Now in its seventh generation, all new Ipanema aircraft are delivered with an engine powered by biofuel (ethanol). This aircraft is produced on demand, and as of December 31, 2025, we had delivered a total of 1728 units, including 50 in 2025.
Our Other segments also include services related to the development and certification of eVTOLs, including the creation of Techcare, a maintenance and services network for eVTOLs and the creation of Vector, an air traffic management system (urban air mobility, or UAM business).
For the years ended December 31, 2025, 2024 and 2023, our Other segments accounted for 1.2%, 1.0% and 1.5% of our revenue, respectively. This segment also includes revenues from our subsidiary, Tempest. For further details, please see note 35 to our 2025 audited consolidated financial statements included elsewhere in this annual report.
Tempest Security Intelligence
Founded in 2000, Tempest Security Intelligence plays a key role in the Brazilian cybersecurity market. Under the leadership of CEO João Paulo Lins, the company successfully transitioned its business model in 2025 toward scalability, automation, and SaaS (Software as a Service). This shift was marked by expressive revenue growth and a robust commercial pipeline, achieving 93% year over year revenue growth compared to the previous year’s revenue. Furthermore, the company was recognized as a "Top Partner" by Trellix, Cloudflare, and KnowBe4.
Throughout 2025, Tempest launched products and solutions that further strengthened its positioning in the cybersecurity market. A key milestone, was the launch of the Resonant brand (Threat Intelligence solution), which solidified the transition to a SaaS model. This market segment saw a substantial increase in its leaked credentials database, and Tempest is now the only company in the Americas to hold a strategic partnership with Google Threat Intelligence worldwide. We continue to invest in the development of proprietary technologies, with a focus on automation and artificial intelligence, aiming to drive efficiency in our pentesting services and deliver more scalable mobile testing capabilities.
As part of its expansion and long-term growth strategy, Tempest began revamping two key areas in 2025: Vulnerability & Risk Management and Technology Services. These efforts have already yielded significant results, growing the pipeline from zero to 250 active opportunities. Finally, Tempest continues to uphold the highest standards of corporate integrity, successfully maintaining its ISO 9001 and ISO 27001 certifications, with the 2025 external audit for ISO 27001 recording zero non-conformities.
Aircraft Operating Lease Activities
In order to provide better financial support to our commercial activities, as well as to manage and reduce financial risks related to aircraft marketing, we created ECC Leasing in September 2002. ECC Leasing has been able to remarket aircraft in its portfolio with conditions and at values similar to market conditions and without any guarantee from Embraer. All sale and leasing transactions were entered into based on market rates, helping to sustain the present and future value of our products.
In January 2017, ECC Leasing merged with Embraer Netherlands, with assets and activities incorporated under Embraer Netherlands. The mission of Embraer Netherlands, as our company responsible for aircraft operating lease activities, is to manage and remarket Embraer’s aircraft portfolio, which as a result of contractual obligations, may be acquired by us via trade-in transactions. We also provide remarketing services to third parties looking to sell their Embraer manufactured aircraft.
In 2025, 2024 and 2023, Embraer Netherlands did not sell or deliver any aircraft. Since the remarket aircraft business was established in 2002 through December 31, 2025, we sold 267 aircraft, none of which were available or under sale negotiations at the end of 2025.
We believe the results of Embraer Netherlands will be largely dependent on market conditions, aircraft availability levels and the demand for jets mainly in the 70 to 150-seat category.
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Markets
The following table sets forth our revenues by segment and geographic region of end users for the periods indicated:
Year ended December 31,
2025 2024 2023
(in US$ millions)
Commercial Aviation
North America 1,886.7 1,615.6 1,489.4
Latin America (except Brazil) 33.1 95.4 32.2
Asia Pacific 35.9 29.0 —
Brazil — 0.3 4.2
Europe 414.1 440.8 293.8
Other — 27.5 27.2
Total 2,369.8 2,208.6 1,846.8
Executive Aviation
North America 1,538.8 1,330.3 1,054.1
Latin America (except Brazil) 30.1 36.7 21.4
Asia Pacific 5.3 35.3 20.1
Brazil 320.5 156.3 85.7
Europe 299.2 204.1 226.9
Other 11.2 — —
Total 2,205.1 1,762.7 1,408.2
Defense & Security
North America 14.6 0.1 1.0
Latin America (except Brazil) 24.8 81.2 —
Asia Pacific 204.5 60.2 67.1
Brazil 115.5 181.9 141.9
Europe 623.6 384.6 304.9
Other 0.9 12.9 0.5
Total 983.9 720.9 515.4
Services & Support
North America 1,009.3 835.1 737.8
Latin America (except Brazil) 54.0 53.9 44.6
Asia Pacific 158.8 131.7 117.3
Brazil 129.7 127.0 141.4
Europe 481.3 408.0 305.1
Other 92.5 80.8 71.4
Total 1,925.6 1,636.5 1,417.6
Other Segments
North America 1.5 0.1 —
Europe 22.5 — —
Asia Pacific 4.6 — —
Brazil 64.5 65.9 80.5
Total 93.1 66.0 80.5
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Suppliers and Components; Risk-Sharing Arrangements
We do not manufacture all of the parts and components used in the production of our aircraft. As of December 31, 2025, 73.7% of our consolidated production costs in our Commercial Aviation, Executive Aviation and Defense & Security segments consisted of materials and equipment purchased from our risk-sharing partners and other major suppliers. Risk-sharing arrangements with suppliers of key components allow us to focus on our core business: design, development, manufacture, and sale of aircraft and systems for the Commercial Aviation, Executive Aviation, and Defense & Security segments. Risk-sharing arrangements are those in which suppliers are responsible for the design, development, and manufacture of major components or systems of our aircraft.
In our Commercial Aviation, Executive Aviation and Defense & Security segments, we rely on risk-sharing partners to supply essential components of our aircraft. We select suppliers based on, among other factors, the technical performance and quality of their products, production capacity, prior relationships, and financial competitiveness. We have maintained longstanding relationships with most of our major suppliers since the beginning of Bandeirante aircraft production in 1975.
In addition, we have entered into purchase agreements with our major suppliers, which cover our production. These contracts contain pricing formulas that take into consideration the various factors that affect the business of our suppliers and help us mitigate the effects of price volatility (which in some cases can be significant) of the materials, parts and components that are required for our operating activities. As a standard, we are not required to purchase a minimum amount of materials annually under these supply contracts. Our ongoing supplier relationships depend on cooperation, performance, and the maintenance of competitive pricing.
As the Russia-Ukraine conflict persists, and geopolitical instability continues in other regions, we continue to closely monitor developments to assess any potential restrictions or impacts that may arise, including potential increases in the prices of products sold by our suppliers. In addition, these developments have resulted in an increase in cyber-attacks around the world, further amplifying operational risks across the aviation industry.
As soon as the conflict began, we suspended parts, maintenance and technical support services for certain customers to comply with the sanctions imposed on Russia, Belarus and certain regions of Ukraine by laws of jurisdictions to which we are subject, and we may be required to take similar actions in the future to comply with applicable sanctions, export controls or other trade restrictions affecting certain jurisdictions, such as Iran and Venezuela. Russia remains one of the world’s largest suppliers of titanium, a critical material for aircraft manufacturing. Although we do not currently anticipate constraints in the availability of titanium in our supply chain, considering our current inventory position and the existing alternative sources in other countries, we will continue to actively monitor our supply chain to identify and mitigate any potential constraints.
Moreover, we continue to monitor developments in the Middle East and in other regions where the security environment remains highly unstable. Ongoing tensions and conflicts in these regions, as well as sanctions and other regulatory restrictions affecting certain jurisdictions, may create additional uncertainty for global supply chains and transportation routes. Given that we have suppliers located in some of these regions, any disruptions, shipment delays, regulatory restrictions or cost increases arising from such geopolitical developments could adversely affect our business.
For additional details on our supplier relationships, please refer to “Item 3. Key Information—D. Risk Factors—Business Operations and Contracts—Any Decrease In Brazilian Government-Sponsored Customer Financing Or Increases In Government-Sponsored Financing That Benefits Our Competitors, May Decrease The Competitiveness Of Our Aircraft. ” and “Item 3. Key Information—D. Risk Factors—Business Operations and Contracts—We work with a limited number of key suppliers.”
Commercial Aviation
EMBRAER 170/190 Jet Family and E-Jets E2 Jet Family
We are continuously improving the EMBRAER 170/190 jet family, together with risk-sharing partners that supply key systems for the aircraft. Our supplier arrangements for the EMBRAER 170/190 jet family differ from the supplier arrangements of the ERJ 145 regional jet family, in which we use fewer suppliers. In the EMBRAER 170/190 jet family, each risk-sharing partner is responsible for the development and production of aircraft systems, including the landing gear, the hydraulic system and the flight control system, rather than individual components, and fewer components are supplied by companies that are not risk-sharing partners. The assumption of responsibility for systems by our risk-
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sharing partners lowers our capital expenditures, which decreases our development risks and increases our operating efficiency by reducing the number of suppliers per product and cutting production costs.
When the E-Jets were launched, they were one of the most advanced aircraft in operation. The fly-by-wire system, the integrated avionics and the double-bubble cross-section brought a new level of technology and passenger comfort for the segment. The family’s success led to 30% market share of deliveries in the up to 150 seats jet segment from 2004 to 2025, according to Cirium. Notwithstanding, during the last ten years we have been continually improving the family. New performance packages, maintenance improvements, external noise reduction and fuel burn reduction are examples of improvements developed.
The E-Jets E2 project is an important example of our commitment to keep our market leadership in the segment. The state-of-the-art technology applied to the engines, wings, and avionics make the E2 family a highly efficient tool for airlines. The E2 represents a new level of aerodynamic efficiency, as applied to the wing with one of the highest aspect ratios of the industry and advanced wing shape. The E2 also has improved systems and avionics, including fourth generation full fly-by-wire flight controls, and Pratt & Whitney’s PurePowerTM Geared Turbofan high by-pass ratio engines (PW1700G on the E175-E2, PW1900G on the E190-E2 and E195-E2). These improvements result in double-digit reductions of fuel burn, emissions, noise and maintenance costs. Cockpit commonality with the current generation of E-Jets is a key driver in the design of the E-Jets E2, in order to enable a smooth transition for the E-Jets pilots. Honeywell’s Primus Epic™ 2 advanced integrated avionics system with large landscape displays and advanced graphics capabilities, and Honeywell’s Next Generation Flight Management System (NGFMS), already in development with current-generation E-Jets, provide exceptional pilot situational awareness and flexibility for continuous innovation on the flight deck. The E-Jets E2 jet family has the additional objective of increasing revenue opportunities, as the family is designed to provide better aircraft availability and to increase ancillary revenue for operators.
Known for its comfortable and roomy cabins, with no middle seats, the E-Jets passenger experience is further enhanced in the E2 generation. The U.K. design firm PriestmanGoode was contracted to develop the aircraft cabin jointly with Embraer. The interiors establish a new benchmark in cabin design, improve the passenger experience, and deliver a more comfortable and improved environment tailored to passengers’ needs, while maximizing airlines’ operational efficiency.
Other suppliers and partners for the E-Jets E2 include, among others: Liebherr (control systems for flaps and slats), Moog (fly-by-wire), Safran (horizontal stabilizer control system), Collins Aerospace (wheels, brakes, APU, electrical system), Safran AeroSystem (engine and APU fuel feed, pressure refueling, fuel transfer, fuel tank inerting and ventilation, and fuel gauging and control), Crane Aerospace & Electronics (brake control systems and proximity sensors), ASTK (fuselage segments), the Embraer equipment division (responsible for the landing gear) and Aernnova Aerospace (vertical and horizontal stabilizers, wing skins, spars, stubs and ribs).
Parker-Meggitt designs and produces a random high-performance assembly for in-flight connectivity, while Panasonic provides the wireless streaming onboard platform.
Executive Aviation
The risk-sharing partners for the Phenom 100EX and Phenom 300E jets are Pratt & Whitney Canada, the engines supplier; Garmin, the avionics systems supplier; and Eaton Corporation, the hydraulic systems supplier. The main risk-sharing partners for the Praetor 500 and Praetor 600 jets are Honeywell, the engines supplier, and Collins Aerospace, the avionics systems supplier.
Defense & Security
With respect to our Defense & Security segment, we established business arrangements with various entities for the supply of parts. One example is our partnership with ELTA Systems, a subsidiary of the Israel Aerospace Industries, announced in 2019 for the launch of the Praetor 600 AEW&C aircraft. With respect to the KC-390 Millennium, we have a partnership with RTX, responsible for various aircraft parts, including the engines and the avionics system, with Rheinmetall, our preferred supplier for simulators and training devices; and with BAE Systems to explore KC-390 opportunities in the Middle East. For the A-29 Super Tucano, we have a partnership with Elbit Systems, which is a strategic and relevant supplier of core electronic components, and a partnership with Sierra Nevada Corporation (SNC) for sales of the A-29 Super Tucano through the United States of America’s FMS (Foreign Military Sales) program.
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Aircraft Financing Arrangements
Commercial aircraft customers may request financing support for aircraft acquisition. This support usually includes providing assistance to customers in obtaining financing arrangements from different sources, including ECAs, leasing companies, commercial banks and capital markets.
Additionally, customers may sometimes require short-term bridge financing prior to arranging long-term debt financing, as long-term funding may not be available for them at the time of delivery. On a case-by-case basis, we have provided interim financing, above market rates, to customers who already have their financing arrangement structured or who are in the process of negotiating such arrangements.
Government Regulation and Aircraft Certification
We are subject to regulation by regulatory aviation agencies, both in Brazil and abroad. These agencies are responsible for the regulation and inspection of civil aviation activities as well as aeronautical and airport infrastructure of the country it belongs. Besides certification in Brazil, we must obtain certification in each jurisdiction in which Embraer manufactured aircraft is registered and operated. The certifying authority in Brazil is ANAC, a special-regime governmental department with regulatory agency status linked to the Ministry of Ports and Airports. ANAC is responsible for the regulation, inspection and certification of aircraft, operators, manufacturers, aircraft maintenance organizations, aerodromes, schools and civil aviation professionals. We are also subject to the regulation of aviation authorities in other countries, including the FAA in the United States of America and the EASA for the European Union. Once an aircraft is certified by ANAC and validated by the FAA and/or the EASA, some authorities may opt to ratify the product certification instead of running a full domestic validation process. Other countries, such as Canada, require compliance with their own specific national requirements before certification. Some countries simply validate and complement the original certification from ANAC, the FAA or the EASA, in accordance with their own rules. ANAC has a bilateral certification agreement with several aviation authorities, including the FAA and the EASA. This cooperation among regulatory authorities leads to simplified certification by the foreign authorities.
Aircraft certification is a continuous process. ANAC must approve any change in the design of any of our aircraft. Significant changes to aircraft design may require a separate validation/certification by other authorities as specified in their regulations and bilateral agreements. Changes in aircraft certification requirements do not require a new certification or a new validation of a previously certified aircraft, but significant safety improvements may otherwise be required by the authorities acting through operational rules or airworthiness directives.
Our defense products must comply with the certification guidelines defined in each contract with the customer. Unlike our civil aircraft, our defense products are rarely subject to regulatory obligations. Some contracts, including those for civil aircraft modified for military purposes, may require civil certification (e.g., AEW India). Other contracts, including some for KC-390 or Super Tucano, may require approval from the Military Certification Authority, which may adopt regulatory obligations derived from civil aviation regulations. The adoption of the European Military Airworthiness Regulations (EMAR) by the air forces of European Union member states in recent years has influenced other countries to include similar regulatory obligations in their contracts.
Environmental, Social and Governance Practices
Overview
ESG has been part of our strategy, including in the development of increasingly more eco-efficient aircraft and in the adoption of more sustainable production processes and management of natural resources, including, two decades of positive social impact led by Instituto Embraer, which manages our social projects. Additionally, we have established new ESG commitments and targets for the next years, given that our current goals were set for December 2025.
Sustainability is key for the continuity of any business, and we are committed to aligning our economic targets to social and environmental performance. In light of new global ESG requirements, we have been preparing for our next steps to address the challenges posed by climate change, uphold new governance standards and increase our diversity, equity, and inclusion. These priorities add to our commitment to business ethics and absolute focus on product safety, which are key pillars in our sector.
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Environmental
Environmental management is an essential part of our strategy and ranges from the development of new products and services, industrial operations to the dismantling and final disposal of the aircraft at its end-of-life.
Our Environmental, Occupational Health and Safety Policy defines the main corporate guidelines for managing eco-efficiency, supply chain, product development and climate change, as well as for ensuring compliance with laws and regulations and promoting continuous improvement. The maintenance of ISO 14001 certification, held since 2002, reinforces our adherence to environmental management standards and our ongoing efforts to enhance operational processes. Since setting our ESG targets in 2021, we have implemented several actions to progress on our sustainability journey. One of the first measures aimed at decarbonizing operations is to reduce scope 2 emissions associated with energy consumption. Regarding this scope, new electricity supply contracts became effective in Brazil in January 2024 and in Portugal at OGMA in July 2024. As a result, all electricity used at our aircraft manufacturing and maintenance sites in both countries is now sourced from solar or wind generation.
In the United States of America, in 2024, a partnership with Florida Power & Light Company (FPL) was signed for the installation of a solar array at our Melbourne, Florida, unit. The project—the largest photovoltaic project ever carried out by Embraer— started operating in 2025 at the Embraer Executive Jets headquarters, with the goal of supplying most of the electricity demand for the entire hangar of the unit’s service center.
SAF fuel use also continued to grow at this unit, where the fleet of executive jets was supplied with biggest volume of SAF ever purchased by Embraer (over 1,000,000 liters), representing 3.6% of our total fuel consumption. SAF has the potential to reduce carbon emissions in the aerospace industry by up to 80% compared to traditional fuel, according to the International Air Transport Association, or IATA. The main challenge lies in the volume of production, which is currently insufficient to meet global demand, and in the costs involved in ensuring supply. To promote the use and production of SAF in Brazil, Embraer actively participated in the technical subcommittee called ProBioQAV, within the scope of the “Fuel of the Future” program of the Ministry of Mines and Energy of the Brazilian government. This subcommittee established the technical assumptions supporting the approved Law No. 14,993/2024, known as the “Fuel of the Future Law”. This law is an important landmark to stimulate the sustainable aviation fuels chain in Brazil, providing the necessary legal certainty for potential actors to develop their action plans for creating this new production ecosystem.
In 2025, Embraer advanced its efficiency and energy transition strategy by expanding the use of biomethane in its industrial operations. After the Gavião Peixoto (in the State of São Paulo) unit became the Company's first plant to operate 100% on renewable fuel in 2024, the model was expanded to the Botucatu (in the State of São Paulo) unit. In 2026, the project will continue in the planning phase to enable its adoption in other Company facilities.
To reduce the environmental impact of our products, the E195-E2, Embraer’s largest commercial aircraft, received recent upgrades that increased its fuel efficiency from 10.0% to 12.5%, higher than its main competitor. It is also considered the quietest in its class, making it an efficient solution in response to regulations aimed at reducing noise pollution in large urban centers. In June 2022, we conducted the first flight of an E195-E2 aircraft using 100% renewable SAF in partnership with engine manufacturer Pratt & Whitney. The test confirmed that Pratt & Whitney’s GTF™ engines and the E-Jets E2 family can operate with up to 100% SAF without compromising safety or performance.
Embraer also advanced the concept of sustainable energy aircraft in 2025. We expanded our research to include 50-seat planes in the program, in addition to existing 30-seat models. We also broadened our analysis of hydrogen or dual-fuel turbines, adding these to our ongoing analysis of hybrid, electric, and fuel cell technologies. One of these energy models is expected to achieve technological readiness in the next decade, in line with the goal of net-zero carbon aviation emissions by 2050.
Social
We continuously invest in personnel, diversity, inclusion, and education, constantly seeking competitiveness and innovation. We make sure that our employees have adequate work conditions, professional development plans, quality of life and wellbeing. Accordingly, we offer an attractive compensation compared to market standards, and social and labor benefits. We also maintain social and environmental programs and projects that value education, culture, leisure and health. For us, promoting social inclusion is key to building a fairer and more sustainable society.
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Occupational Safety
We seek excellence in our occupational health and safety performance, a topic considered a priority for Embraer. To this end, we promote educational and preventive actions in a continuous manner and directed by the Environmental, Occupational Health and Safety Policy of global scope, which is a guideline for setting goals linked to our business excellence criteria.
The management model adopted in the Embraer Business Excellence Program - P3E - uses the concept of Safety, Quality, Delivery and Cost (SQDC), aiming at the standardization and optimization of our operational and cost indicators. In addition to the criteria of business excellence, we have maintained the ISO 45001 certifications in its largest manufacturing units for 20 years. In 2025, the units successfully obtained recertification.
We have been consistently investing in the development and implementation of comprehensive, global corporate programs aimed at strengthening preventive behaviors across our operations and fostering a safe and healthy work environment.
Among these programs, the Safe Workplace Program stands out, as it is based on the systematic identification and recording of potential risk situations in daily operations, enabling timely decision‑making, effective and timely responses, and the clear assignment of responsibilities across all organizational levels. The Safe Workplace Program indicators are monitored and managed by Embraer’s leadership and are supported by a consistent policy, a safety management system, and prevention‑focused initiatives. In parallel, Embraer has implemented a structured incident communication and lessons learned initiative, designed to enhance transparency, strengthen organizational learning, and increase awareness of risks and incident causal factors, thereby contributing to the reduction of future failures and accidents.
Social Projects
We believe that promoting social inclusion is key to building a fairer and more sustainable society. Over the years, we have developed several social programs to help develop the communities where we operate.
✈Instituto Embraer: The Instituto Embraer (“Embraer Institute”) is aligned with the Company’s strategies. Since the beginning of its activities, more than 20,000 people have benefited from its social engagement initiatives and more than 5,000 students have graduated from Embraer schools, which are known for their high acceptance rates at Brazil’s top universities. Embraer schools offer free, full-time high school education to students from public schools and low-income families in São Jose dos Campos and Botucatu, in the state of São Paulo. In addition to these, we have several paying students, which accounted for approximately 20% of the total student body (44 students as of December 31, 2025). For scholarship students, in addition to quality education, the following are offered free of charge: uniforms, school materials, transportation, and meals. As of the date of this annual report, 85% of graduating students were accepted to public or private higher education institutions with full scholarships.
In order to maintain positive results, Embraer schools seek to achieve excellence across three pillars: general education, training itineraries, and the life-project pillar. While the general-education and training-itineraries pillars prepare young people for admission to top universities and for successful careers, respectively, the life-project pillar aims to support students' development and emotional well-being. For each pillar, the schools have a dedicated team and course load, in addition to modern laboratories and facilities.
In 2025, Instituto Embraer expanded its impact through strategic partnerships and programs such as Ciência Diversa (“Diverse Science”), Climate Emergency Program, and Asas do Bem (“Wings of Good”). These initiatives connect organizations and volunteers to social causes and environmental catastrophes.
Throughout its history, Instituto Embraer has benefited thousands of people through initiatives aligned with the Brazilian government as well as with our stakeholders. Its operations are guided by transparency, with clear guidelines set forth by its deliberative council, supervisory board, and executive board. This year, the focus remained on inclusion, sustainability, and strengthening educational programs, bringing concrete results to students, families, and communities in the regions where Embraer operates.
✈Fabric recycling: In 2025, the Embraer High-school developed a fabric recycling project with students, partner companies, and employees. Leather scraps from executive aircraft seats manufacturing were repurposed to create eco-friendly promotional gifts, distributed to clients during conferences for commercial and executive aviation operators. This initiative promoted sustainability, reduced waste on the production line, and gave a new life cycle to materials that were previously discarded. Additionally, students also had the opportunity to develop entrepreneurial skills and connect with professional sewers. In 2025, Embraer High-
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school partnered with two companies, engaged over 30 volunteers, benefited over 50 people and generated over 40 hours of collaborative learning.
✈Social Technology in Partnership with the Banco do Brasil Foundation. In 2025, the partnership between the Instituto Embraer and the Banco do Brasil Foundation incorporated social technology to the curriculum of Embraer schools. Students learned theoretical content on topics such as climate change, problem-solving, and social innovation, in addition to developing practical projects. The result of this work was the delivery of four lamp posts powered by solar energy in the São Jose dos Campos and in Botucatu, in the state of São Paulo, the project benefited independent beekeepers, who received equipment for processing beeswax. The equipment, which makes up the “Honey Station,” will be important for generating income and reducing the environmental impact of their activities. In total, over 100 people were benefited.
✈Educational Projects and Community. In 2025, the Embraer schools strengthened their connection with the community through projects such as the Mini Glider Challenge and the Science and Technology Olympiad for Girls, which brought more than 200 students from the public school system closer to the science, technology, and aviation fields:
◦Mini Glider Challenge. The Mini Glider Challenge is an initiative by Instituto Embraer in partnership with EVE, carried out with the support of volunteers from the Asas do Bem program. The project offers practical workshops for eighth and ninth grade students in public primary schools, where participants learn to build and test mini gliders. The experience provides a first contact with engineering and aviation concepts, in addition to stimulating teamwork and creative thinking. The built mini gliders are tested in a final competition that, in 2025, had approximately 100 participating students from the cities of São Jose dos Campos, Gavião Peixoto, Botucatu, and Taubaté, in the state of São Paulo.
◦Science and Technology Olympiad for Girls. The Science and Technology Olympiad (OCT) is an annual initiative by Instituto Embraer, aimed at public school students. In its fourth edition, held in 2025, the competition was exclusively aimed at girls, with the purpose of encouraging female participation in careers in STEM (Science, Technology, Engineering and Mathematics) and promoting gender equality in the technological field. Registration was free and intended for female students in the seventh and eighth grades of primary education from 38 public schools in six cities in the state of São Paulo. Winners were awarded medals and certificates.
◦UN Simulation for students (SIEF): The SIEF is an initiative by the São José dos Campos Department of Education that uses UN-style simulations to develop students’ critical thinking, communication, and global citizenship skills. In 2025, the Embraer schools participated as pedagogical partners, where 31 students supported the event as committee leaders, media, mediation, and educational roles. The collaboration also included teacher training and guided visits to the Simula Jovem ONU event. In total, 45 public schools took part, including a bilingual committee that strengthened students’ linguistic and cultural competencies.
✈Revoar Program. The Revoar Program offers financial support to young graduates from Embraer schools who have started higher education. In partnership with the Semear Institute, the program has already benefited over 153 students since its creation, with the goal of combating university dropout. The number of scholarship recipients grew from 21 in 2023 to 87 in 2025, with students in their first and second year of undergraduate studies receiving monthly financial aid and individual support from Embraer volunteers. During the program, participants receive guidance on how to deal with the challenges of university life and prepare for internships and opportunities in the job market, including at Embraer itself. Revoar stands out for being funded by voluntary donations from Embraer employees and collaborators.
✈Ciência Diversa: Ciência Diversa ("Diverse Science"), a program by Instituto Embraer, continued its initiatives focused on technological and social inclusion. In the third edition, held in 2025, two partner NGOs were selected: Alpha Lumen, which conducted inclusive workshops with predominantly female participation (70% women and 30% men), promoting equity in the field of science and technology through its "Girls in Science and Technology" program and Inovação CESAR, with the "Programming the Future" project that offered technology training for young people in vulnerable situations, benefiting 100 individual, 70% of whom belong to historically underrepresented groups. In 2025 the program continued to focus on women, LGBTQIA+ community, people of color, and people with disabilities, in addition to continued funding of
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projects led by civil society organizations in STEM (Science, Technology, Engineering, and Mathematics) subjects.
✈Asas do Bem. Instituto Embraer’s volunteer program organizes its actions through the Asas do Bem platform (“Wings of Good”), which connects employees to educational and social projects developed by CSOs. This platform offers opportunities to positively impact groups in vulnerable situations through initiatives aligned with the United Nations Sustainable Development Goals (SDGs). In 2025, over 700 people participated as volunteers and more than 2,000 were benefited from activities such as mentoring, guided tours, and projects at Embraer schools. The actions can be carried out in person or online. They reinforce the role of employees in supporting educational and social development in the communities where Embraer operates.
✈Accelerating Careers. The Accelerating Careers mentoring program, run by Instituto Embraer in partnership with the Joule Institute, connects Embraer mentors with young students in STEM fields. For two months, participants receive guidance on developing their professional careers, with a focus on career planning, technical skills, and job market challenges. In 2025, participants also had the opportunity to visit the Embraer “Ozires Silva” plant in São Jose dos Campos, where they explored the commercial aircraft assembly and delivery hangar and participated in lectures with Company's professionals. Since its creation, the program has benefited approximately 380 young people, offering mentoring meetings that promote the exchange of experiences and knowledge between mentors and students. The initiative seeks to support participants at the beginning of their careers and encourage them to explore opportunities in strategic fields such as science and technology.
✈Extra Activities at Embraer Schools. The volunteer program also promoted practical activities that brought students from Embraer schools closer to the professional reality. Workshops, lectures, and games were held across different areas of knowledge, providing inspiring experiences and encouraging young people to explore new educational and career opportunities.
✈Embraer Foundation. Embraer Foundation is a non-profit organization that aims not only to improve the communities where Embraer employees work and live, but also expand aviation opportunities for young people and underrepresented communities. The foundation was created in 2017 in the United States of America, inspired by the Instituto Embraer model. Motivated by Embraer’s value of building a sustainable future, the foundation works in partnership with local communities to develop education, entrepreneurship, and volunteer projects.
✈Through the Embraer Foundation, the Company supports programs that inspire young people to explore aviation and expand access to opportunities in the sector, especially for underrepresented groups. In 2025, the Embraer Foundation partnered with 30 organizations addressing social challenges in the communities where employees live and work. Below are examples of projects that have positively impacted these regions:
Black Pilots of America (BPA): For more than 26 years, BPA has promoted aviation education and training for young people from underrepresented communities in the United States. The organization offers scholarships for the Les Morris Summer Flight Academy, where students receive both theoretical and practical flight instruction.
Women in Aviation International (WAI): With over 30 years of activity, WAI works to increase women's participation in the aerospace industry. The Embraer Foundation supports initiatives such as the WAI Annual Convention and Girls in Aviation Day, events that connect female students with experienced aviation professionals.
Employees are also encouraged to identify opportunities to support local organizations and mobilize colleagues through the IVOLUNTEER program. Each year, up to US$10,000 is allocated to selected initiatives, enabling beneficiary organizations to acquire the resources needed to implement their projects.
Corporate Governance
To ensure a corporate management focused on sustainable growth and business perpetuity, we adhere to the corporate governance standards of the Novo Mercado, the highest tier of corporate governance for companies listed on the B3. We are committed to maintain the highest international standards of governance and a robust ethics and compliance program, fully aligned with global standards.
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Governance Structure
Our governance structure comprises our board of directors, advisory committees to the board of directors, fiscal council, board of executive officers, internal audit and external audit. For more information on our governance bodies, see “Item 6. Directors, Senior Management And Employees and “Item 16. [Reserved]—16G. Corporate Governance.”
Ethics and Compliance
Our Compliance Program is based on seven pillars that aim to ensure high levels of corporate compliance and ethics in all our businesses: corporate governance, risk management, policies and procedures, communication and training, whistleblower channel—Helpline, monitoring and third-party assessment.
In line with our commitment to comply with all applicable anti-corruption laws and regulations and to abide by our "Ethics and Integrity in everything we do” motto, we work to ensure that an effective anti-corruption compliance program is deeply embedded throughout the Company and its subsidiaries, based on the following missions:
✈ensure the Company’s compliance with laws, regulations and internal policies;
✈prevent, assess and respond to compliance-related events;
✈guide all employees to conduct their activities with ethics and integrity;
✈provide continuous improvement in compliance actions;
✈promote a culture of integrity based on Embraer’s values and its Code of Ethics and Conduct;
✈support Embraer departments and group companies in preventing risks, detecting red flags, improving processes, investigating and solving problems; and
✈consolidate all compliance initiatives, especially those related to anti-corruption and the whistleblower channel - Helpline.
Risk Management
Our risk management method focuses on the following categories of risks: strategic risks, operating risks, financial risks, regulatory/legal risks and cyber risks.
Our structure is strengthened by the operation of our risks and internal controls department, comprising the following macroprocesses: management of internal controls, management of corporate risks, segregations of duties, crisis management, monitoring of potential violations and business continuity.
The purpose of our risk and internal controls department is to ensure the identification, prioritization, assessment, mitigation and management of the main risks are conducted in accordance with the best practices established by us and the market, ensuring transparency and integrity in our processes. We also use these tools to prevent uncertainties that may negatively affect our results. We seek the continuous improvement of our risks management and internal controls system. For more information, see “Item 15. Controls And Procedures.”
Management Model and Strategic Planning
Our management model comprises long-term planning, as set forth in our strategic plan, and short- and medium-term projects, as set forth in our action plan. Our strategic plan is our main avenue for the future. Through strategic mapping, we establish initiatives in order to drive Embraer’s growth and sustainable future while endeavoring to secure operational efficiency and meeting our economic and financial objectives. These efforts are guided by our safety and quality standards, core values and cultural pillars. Our action plan sets clear objectives for the first year, with a strong focus on execution. Our strategic plan and our action plan aim to secure our business continuity and the creation of value for shareholders, focusing on increasing our competitiveness, improving our corporate excellence model and continuously seeking to improve our results. For more information on our strategic plan, see “—Business Strategies.”
Seasonality
We have historically experienced seasonality in our results of operations and cash flow generation. This is mainly due to a traditionally higher number of deliveries in the fourth quarter, particularly in our Executive Aviation segment, which is in line with overall executive jet industry seasonality. Deliveries of executive jets in the fourth quarter
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historically constitute an average of over 40% of annual deliveries in our Executive Aviation segment, while in our Commercial Aviation segment the historical fourth quarter deliveries average is more than 35%.
We are currently developing a plan to mitigate such delivery concentration, referred to as Production Leveling. The Production Leveling plan has the main purpose of creating stability and having a leveled production throughout the whole year for both the Executive and Commercial Aviation segments. The main focus of our Production Leveling plan is on (i) sales and operations planning, (ii) sales and operations execution, and (iii) production plan and control, aiming to assess the demand and real capacity of our suppliers and our production facilities, assure the execution of a defined plan, mitigating risks for the short- and medium-term, and control aircraft production and completion on an hourly basis. We believe our synchronized planning, combined with execution management and our qualified workforce will contribute to the success of our Production Leveling plan, minimize delivery concentration and improve our operating results in the future.
C. Organizational Structure
Our operations are conducted by Embraer S.A. as the controlling and principal operating company. We have a number of direct and indirect subsidiaries, the majority of which is not considered significant. A complete list of our subsidiaries is filed as Exhibit 8.1 to this annual report, and a description of our joint ventures and project subsidiaries and strategic alliances is included in “Item 4. Information On The Company—B. Business Overview” above.
D. Property, Plants and Equipment
Overview
For information about our property, plant and equipment, see note 13 to our 2025 audited consolidated financial statements included elsewhere in this annual report. For a discussion of our capital expenditures relating to property, plants and equipment, see “Item 5. Operating And Financial Review And Prospects—B. Liquidity And Capital Resources—Capital Expenditures.”
Production
The manufacture of an aircraft consists of three principal stages: production of primary parts, assembly of major components and final assembly. Primary parts include metal sheets and plates (produced from die-cast molds, stretch forming or various chemical treatments), parts produced using computerized and non-computerized machines, and prefabricated parts. The primary parts are then assembled, or mated, with one another to produce the aircraft’s major components, which are in turn joined to create the aircraft’s basic structure. In the final assembly stage, the aircraft’s various operating systems (including wiring and electronics) are installed into the structure and tested.
We have the flexibility to increase or decrease production as a response to changing demand.
Commercial Aviation
In July 2009, in line with our initiatives to improve production efficiency pursuant to the Business Efficiency Strategy (Frente Eficiência Empresarial), we converted the final assembly for the E-Jets E1 family to a line concept in São José dos Campos, which resulted in a significant reduction in the cycle of production time. In 2015, we started the prototype production for the new E-Jets E2 family of jets, with the first delivery and production certification in 2018. We have production facilities for commercial aviation aircraft in São José dos Campos, state of São Paulo, Brazil.
In 2022, we entered into an agreement with Toyota do Brasil to embrace Toyota Production System (TPS) principles and concepts in its industrial operations. The program aims to eliminate waste, obtain operational efficiency, and increase value generation for stakeholders. During the first phase of this project, carried out throughout the second half of 2022, a team of TPS specialists from Toyota do Brazil was immersed into our daily work to evaluate and suggest improvements for our manufacturing area at the Ozires Silva Unit, located in São José dos Campos, Brazil. The first phase of the project has been concluded and presented a 50% cycle reduction for a specific commercial jets wing assembly process and 17% in overall wing manufacturing. Due to the results of the first phase, both companies decided on October 2023 to extend the project for an assembly line station.
Executive Aviation
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Executive Aviation aircraft are currently produced in Melbourne, Florida in the United States of America and Gavião Peixoto, state of São Paulo, Brazil. The Melbourne facility is a final assembly plant with a Customer Center and an Engineering Office. In 2014, we announced an expansion plan to assemble the Legacy 450 and the Legacy 500 (currently Praetor 500 and Praetor 600) in this facility, to improve our production capacity. We have been increasing the number of executive jets produced in Melbourne since 2016. Since 2020, the Gavião Peixoto facility has manufactured executive jets and assembled the Praetor 500 and Praetor 600 aircraft.
Defense & Security
The Gavião Peixoto facility includes flight-testing capabilities for all Embraer aircraft and a final assembly line for our defense aircraft. This facility has been operational since November 2002. In May 2014, we inaugurated the final assembly line of the new military transport and aerial refueling jet, the KC-390 Millennium, and in February 2015, it successfully performed its first flight. Embraer received the Type Certificate from ANAC for the multi-mission airlift KC-390 Millennium and delivered the first aircraft in 2019.
We have a final assembly facility in Jacksonville, Florida, for Defense & Security where we initiated the final assembly line for the Super Tucano for the United States of America’s Air Force’s LAS Program in 2013. The Super Tucano is also manufactured at the Gavião Peixoto unit, responsible for the final assembly line and the manufacturing of large segments that supplies both of our final assembly sites.
In 2016, we launched the GDDN in Gavião Peixoto. It is the hub for the Gripen NG technology development in Brazil for Saab and Embraer together with the Brazilian partner industries and institutions. The GDDN includes the development environment and simulators required to undertake the fighter development work. In addition, the GDDN is connected to Saab in Sweden and the industrial partners in Brazil, securing both technology transfer and efficient development.
Other Segments
Embraer manufactures aerospace systems and components at our São José dos Campos facility. This production was originally carried out by our subsidiary ELEB Equipamentos Ltda., or ELEB, which was one of our productive subsidiaries located in São José dos Campos. ELEB has since been merged with and into the Company and these activities are now carried out by the equipment division of Embraer. Our main products in this initiative are structural parts, landing gear systems, hydraulics and electro-mechanical sub-assemblies, such as actuators, valves, accumulators and pylons.
Additionally, in the city of Botucatu, located in the state of São Paulo, Brazil, we produce the Ipanema crop duster, which is developed pursuant to specifications of the Brazilian Ministry of Agriculture.
Production in our Subsidiaries
EZ Air Interior Limited, our subsidiary for the production of interior parts for our Commercial Aviation segment in Mexican factories, began production and shipping of parts to Brazil in 2013. It achieved full production capacity in January 2015.
In 2015, we completed the acquisition of a new subsidiary, Embraer Aero Seating Technologies. We progressively increased our ownership stake in the company, headquartered in Irwindale, California, which provides luxury seating solutions for the aviation industry and for Embraer product lines. In 2016, we opened a new state-of-the-art manufacturing facility in Titusville, Florida, which had its production capabilities moved to our site in Melbourne, Florida, in 2021.
In 2023, our subsidiary Eve Holding, responsible for the development of eVTOL announced that the first eVTOL production facility will be located in Taubaté, state of São Paulo, and is scheduled to begin operations in 2027.
In July 2024, our subsidiary Eve Holding announced a significant advancement in the assembly of its first full-scale eVTOL prototype. During the 45th Farnborough Airshow, EVE unveiled the aircraft being built in the Embraer test facility of Gavião Peixoto, state of São Paulo.
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Environmental Matters
We have the material environmental permits required to operate our business in our sites around the world. The terms of these operating permits are subject to periodic review and, as of the date of this annual report, we are in compliance with all of them. In addition, our Environmental and Occupational Health and Safety Management System was established in 2001, allowing us to maintain ISO 14001 certification since 2002. Certified environmental, occupational health and safety management systems have been progressively implemented across our manufacturing sites, with more than 80% of our employees operating under an ISO 14001 and ISO 45001 in 2025.
Since 2009, we have carried out our GHG emissions inventory in accordance with ISO 14064 Part I. As of 2020, we have increased the coverage of GHG emissions data, and in 2025 our GHG emissions inventory included 20 facilities around the world, representing approximately 98% of coverage.
Work procedures and instructions, practices and programs are set up in order to ensure that the activities that cause environmental impacts are carried out in order to minimize or mitigate any environmental damage. We perform studies of environmental aspects and impacts and we implement actions to eliminate, reduce or control them, including infrastructure works.
We established a corporate procedure for performing environmental diagnoses and detailed investigations for finding the presence of contaminants in soil and water due to past activities. This procedure is applied to the relevant areas where Embraer has production and/or maintenance facilities, as well as to new relevant areas being acquired. The diagnosis results are periodically reported and monitored by the internal Risk Department, the CCRA (Committee for Environmental Risk and Control), our board and shareholders.
Agreements with third parties incorporate environmental, health and safety requirements applicable to the nature of the activities performed. Embraer seeks to engage suppliers, service providers and contractors that demonstrate practices and processes consistent with applicable environmental, health and safety standards. We maintain structured procedures for the periodic evaluation and monitoring of these third parties, with the objective of promoting compliance, mitigating operational risks and supporting adherence to Embraer’s environmental and occupational health and safety requirements.
We encourage not only the environmental certification but also the development of a full life cycle orientation for products and services, as this remains the most cost-efficient and practical way to effectively reduce environmental impacts. The environmental management system attempts to create economic value by reducing environmental costs and exposure at each stage of the product life, from design to operations and to end of life.
The implementation of further innovative and eco-efficient technologies and processes is a key factor in ensuring our sustainability, increasing the attractiveness of our products and our overall competitiveness. We continuously pursue eco-efficiency, seeking responsible business opportunities by developing breakthrough technologies, products and services, as well as by reducing the environmental impact of our activities and products throughout their life cycle, and, more generally, by integrating environmental concerns into our daily business. We recognize that environmental requirements, such as reduction of greenhouse gas emissions, are becoming one of the main drivers of airline fleet decisions and are already influencing aircraft developments.
EnvIPD – Environmentally Sustainable Integrated Product Development – is an engineering team grounded in the environmental aspects of product sustainability, including the reduction of internationally regulated chemicals, Design for Environment (DfE), life cycle assessment (LCA), and extended product life cycle thinking.
We are committed to Brazilian and international legislations as well as our customers’ requirements. Our suppliers must also ensure that the environmental requirements will be met through their upstream supply chain. Accordingly, our suppliers and their supply chain must comply with applicable environmental legislations, such as European REACH (Registration, Evaluation, Authorization and Restriction of Chemicals) regulation (EC) No 1907/2006, TSCA (Toxic Substances Control Act), SCIP (Substances of Concern In articles as such or in complex objects (Products), established under the Waste Framework Directive (WFD) and any other relevant rules that may affect our products.
As a direct consequence of these regulatory obligations and the need to ensure full compliance across the supply chain, the chemicals work front aims to ensure compliance with the international regulations that restrict the use of certain chemical substances in our products, as well as to mitigate the risk associated with their use at Embraer. This is accomplished through the mapping of high concern chemical substances used in our products, a key activity performed by
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EnvIPD. To support this effort, contractual requirements are established for suppliers to inform us about the presence of monitored substances in their components.
To ensure compliance with REACH and SCIP requirements, since 2015 our engineering team has used an internal system to register substances present in raw materials and articles. Given the complexity of the product and the need to obtain data for all of its articles, Embraer invested in a service that automates the collection of information from suppliers, stores that data on a digital platform, and generates reports on the substances present in purchased items. This close relationship with the supply chain contributes to greater awareness across multiple parties regarding chemical regulations. Our substances enriched database allows us to continuously evaluate the impact of and respond to REACH and SCIP regulatory changes, as well as upcoming regulations. As of December 31, 2025, we had not suffered any penalties in connection with REACH.
In some cases, substances that have been mapped will eventually need to be removed from products. For items we purchase, EnvIPD works alongside our engineering organization across its various technical domains (materials, interiors, and systems), coordinating actions with manufacturers and paving the way for the development of alternative solutions. For items processed at our facilities, the work is carried out through a multidisciplinary forum. Examples include the development of alternative chemicals free of hexavalent chromium (Cr6+) for chemical conversion, anodizing, and acid deoxidation processes, as well as the implementation of cadmium‑free (Cd‑free) processes and bromine‑free (Br‑free) flame retardants.
Within the Design for Environment (DfE), life cycle assessment (LCA), and extended product life cycle responsibility, EnvIPD guides and trains development teams to create technologies with lower environmental impacts—an ongoing implementation effort. To support this, we have developed a “Design for the Environment” guide, available to engineers from the earliest stages of product development.
Our commitment to environmental sustainability and compliance with regulations are further reflected in our adherence to the Globally Harmonized System of Classification and Labelling of Chemicals, or GHS. This internationally recognized system establishes harmonized criteria for the classification and labeling of substances and compounds with respect to physical, health, and environmental hazards. By complying with the GHS, we ensure that our products are manufactured, handled, and transported in a safe and environmentally responsible manner.
Our dedication to developing advanced, innovative environmental solutions for our products is reflected in our membership in the International Aerospace Environmental Group (IAEG), as one of the twelve founding members, formed to address the complexity of the regulations on health and environment, impacting the Aerospace Industry and our supply chain and customers, and also as an associate company at the Aircraft Fleet Recycling Association (AFRA), the leading global organization for developing and promoting the safe and sustainable management of circularity of components and aircraft end-of-life.
Our commitment to responsible manufacturing practices and our goal to minimize the environmental impact of our products are reflected in our continuous efforts to innovate responsibly and lower our products’ environmental footprint. Building on this commitment, we strengthen our ESG performance by identifying, developing, and qualifying more sustainable manufacturing processes that comply with both Brazilian and international regulations. We understand these practices not only serve as an important step towards reducing the environmental impact of our products but also set a high bar for other companies to follow.
Insurance
We maintain insurance at levels deemed to meet risks associated with our operations and legislation. The insurance covers potential damages to our property, inventories, working process, cargo and aircraft hulls for our own fleet. In addition, we maintain a comprehensive aviation products liability policy, for claims arising out of our legal liability as manufacturers, repairers, suppliers or servicers. We also possess natural disaster and business interruption insurance.
4A. Unresolved Staff Comments
We have no unresolved staff comments.