Embraer (EMBR3) will debut its new aircraft and informed about the reservation by the Apollo Fund, according to two documents forwarded to the market this Thursday (15).
According to the Brazilian manufacturer, it is the C-390 Millennium multi-purpose aircraft, which will make its debut at the NATO Days event, taking place on September 17-18 in Ostrava, Czech Republic.
On that occasion, the company also intends to disclose its complete portfolio for the defense and security markets, with innovative products and solutions that are present in more than 60 countries.
Recently, Embraer successfully completed the flight tests for the certification campaign for the Modular Airborne Firefighting System II (MAFFS II), which provides the C-390 Millennium with the necessary functionality to perform the Forest Firefighting mission.
The Embraer C-390 Millennium (EMBR3)
Also according to the document, the C-390 Millennium and its aerial refueling configuration, the KC-390, are the next generation multi-mission military transport offering unmatched mobility and cargo capacity, rapid reconfiguration, high availability, enhanced comfort and safety, as well as optimized management of reduced operating costs throughout its life cycle, all on a single platform.
“Since its first delivery to the Brazilian Air Force (FAB), the KC-390 Millennium has proven its capability, reliability and performance,” he said, adding that the FAB’s current KC-390 fleet consists of five units and has already exceeded 6,800 flight hours in operation, with a mission accomplishment rate of more than 99 percent, with more than 80 percent operational availability, demonstrating excellent availability and productivity in its category.
Holland
According to the company, in June 2022 the Dutch Ministry of Defense announced the selection of the C-390 Millenium to replace the current fleet of C-130 Hercules. The country, which will have a fleet of five C-390s, highlighted in the choice the aircraft’s performance and operational production.
It also said that the Armed Forces of Portugal and the Hungarian Defense Forces will begin operations with the KC-390 in 2023 and 2024, respectively, and the two countries’ fleets will be configured to perform aerial refueling and be fully compatible with NATO operations, not only in terms of hardware, but also in avionics and communications. The Hungarian Defense Forces fleet will be the first in the world to feature an Intensive Care Unit configuration, an essential feature for carrying out humanitarian missions.
Apollo Funds
Embraer (EMBR3) has signed a memorandum of understanding with an affiliate of Apollo Funds for investments of up to $1.5 billion in the company’s regional jet customer financing program.
Together with Embraer, Apollo will offer a range of tailored solutions across the spectrum of customer and delivery financing, the aircraft manufacturer said. According to a statement, the program also includes options to explore financing for customer projects focused on ESG and green technology development. The first major transaction under the new initiative is a definitive sale and leaseback agreement for six E195-E2s for Porter Airlines, with deliveries scheduled for 2023.
Corporate Balance Sheet
In August 2022, Embraer released its corporate balance sheet for the second quarter of 2022. The company obtained adjusted net income of R$ 199.8 million in the period, a 6.1% decrease compared to the second quarter of 2021.
Adjusted earnings before interest, taxes, depreciation, and amortization (Ebitda) totaled R$ 622.8 million in 2Q22, down 25.6% compared to 2Q21, and the adjusted Ebitda margin (Ebitda over net revenue) reached 12.3% in the period, a decrease of 1.8 percentage points (p.p.) compared to the same period in 2021.
Net revenue, in turn, totaled R$ 5.044 billion in the period, a reduction of 14.8% compared to the same period in 2021, and the average projection of analysts consulted by Refinitiv, in reais, was a loss of R$ 43.32 million, Ebitda of R$ 490.93 million and revenue of R$ 6.137 billion in the quarter.