Embraer has achieved another milestone by receiving an Investment Grade rating from Moody’s, which upgraded the company’s credit rating from Ba1 to Baa3 with a positive outlook. This marks the third Investment Grade rating for the Brazilian aerospace leader in 2024, following similar acknowledgments from S&P Global Ratings in February and Fitch Ratings in September.
In its report, Moody’s highlights the continued improvement in credit metrics, financial policy and liquidity as reasons for the company’s achievement of Investment Grade status. These factors are related to the gradual recovery in deliveries, an increased backlog and operational performance. Additionally, the reduction in debt, driven by the strong generation of free cash flow, strengthened the company’s position.
“Our focus on efficiency and financial discipline are important differentiators, alongside our modern and competitive portfolio. These attributes ensure the success of our strategy and sustainable business growth, in addition to the strong engagement of our employees,” says Embraer CFO, Antonio Carlos Garcia.
A leader in the manufacture of commercial jets with up to 150 seats and the largest exporter of high technology in Brazil, the company is well positioned in all its segments – Commercial Aviation, Executive Aviation, Defence & Security and Services & Support. With a backlog at its highest level in nine years, totaling US$ 22.7 billion in the third quarter, the company is projected to end 2024 with revenue between US$ 6.0 billion and US$ 6.4 billion and an adjusted EBIT margin between 9.0% and 10.0%.
