Brazilian planemaker Embraer updates guidance as profit soars in Q3

Brazilian planemaker Embraer's raised its projected adjusted earnings before interest and taxes (EBIT) margin for 2024 to between 9% and 10%, from 6.5%-7.5% before, it said on Friday in a securities filing, while it also saw a jump in third-quarter results. In its updated guidance, world's third-largest planemaker behind Airbus and Boeing also bumped up its free cash flow guidance for this year to $300m or higher, from at least $220m previously expected. The company lowered its guidance for this year's commercial aircraft deliveries to between 70 to 73, from 72 to 80 previously estimated."We expect a positive reaction to the new guidance due to the increase in profitability and FCF," JPMorgan analysts said in a report to clients. Embraer said in a separate securities filing on Friday that its third-quarter adjusted net profit in dollars jumped to $221m, up from $32.9m a year earlier. The result was also much higher than the $74.8m net profit expected by analysts polled by LSEG. Embraer said the much higher than expected adjusted net profit excluded extraordinary effects such as $50.8m spent in deferred taxes and a $8.6m loss in its unit Eve's results.<br/>