2. 22
COMPREHENSIVE PRODUCT PORTFOLIO
HEALTHY BUSINESS GROWTH
CAGR 20% (2002-14)
Deliveries share evolution from 2.7% to 16.5%
Company revenue contribution from 7% to 26%
GLOBAL FOOTPRINT
74 Services Centers worldwide
More than 900 jets in service in 60 countries
TOP RATED IN WORLDWIDE CUSTOMER SUPPORT AND SERVICES
Prepared for a solid future…
6. 6
Source: GAMA report and Embraer analysis.
*Bombardier, Cessna , Dassault, Gulfstream and Hawker-Beechcraft
AMONG THE TOP 5 EXECUTIVE AVIATION PLAYERS
2.7%
Others*
Embraer
Total market:
749 units
2005
16.5%
2014
Total market:
705 units
7. 7
Source: GAMA report and Embraer analysis.
*Bombardier, Cessna , Dassault, Gulfstream and Hawker-Beechcraft
AMONG THE TOP 5 EXECUTIVE AVIATION PLAYERS
2.2%
Total market:
US$ 12 Bi
2005
7.0%
2014
Total market:
US$ 22 Bi
Others*
Embraer
15. 15
MARKET RECOGNITION: OVERALL SATISFACTION
“Please rate your business aircraft model on the factor: Overall satisfaction”
Note: % of Excellent mentions. Respondents were asked to rate aircraft models they /their company owned in the past three years. In production jets only.
50%
0% 10% 20% 30% 40% 50% 60%
Bombardier
Cessna
Dassault
Embraer
Gulfstream
2014
54.8%
Bombardier
Cessna
Dassault
Gulfstream
Embraer
2015
Source:
AIN Busines Jet Traveler
Readers’ Choice Surveys
16. 16
MARKET RECOGNITION: ASSET VALUE
“Please rate your business aircraft model on the factor: Aircraft value for price paid”
Note: % of Excellent mentions. Respondents were asked to rate aircraft models they /their company owned in the past three years. In production jets only.
64.5%
Dassault
Bombardier
Cessna
Gulfstream
Embraer
2015
56.7%
0% 10% 20% 30% 40% 50% 60% 70%
Bombardier
Cessna
Gulfstream
Dassault
Embraer
2014
Source:
AIN Busines Jet Traveler
Readers’ Choice Surveys
28. 2828
Source: GAMA and Embraer analysis, 2015.
2015 DELIVERIES EXPECTED TO BE SIMILAR TO 2014 (units)
0
200
400
600
800
1,000
1,200
1,400
2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14
Av: 785 jets/year
369 375
3Q14 3Q15
YoY comparison
29. 29
52% 45% 51% 53% 55% 58% 66%
48% 55% 49% 47% 45% 42% 34%
09 10 11 12 13 14 3Q15
US Other regions of the world
Source: JetNet ; Embraer analysis. Oct 2015.
US REPRESENTING TWO-THIRDS OF CURRENT DELIVERIES (units)
30. 30
IMPROVED SALES PERFORMANCE THROUGH 9M15
15%
29%
18%
38%
3%
18%
6%
73%
North America Latin AmericaEurope and Africa Asia-Pacific and China
(Deliveries: 64 jets) (Deliveries: 75 jets)
0.50
1.30
Up to 3Q14 Up to 3Q15
Net book-to-bill
31. 31
Traffic recovery on track in US but slower than expected in Europe
New and pre-owned pricing pressure
US 2015 GDP growth expected at 2.5%
US Corporate profits and HNWI at record levels
New products entering into service
Softening emerging markets demand
IMPROVED ECONOMIC ENVIROMENT IN US DRIVING DEMAND
32. 32
2015-2024 MARKET FORECAST BY REGION
North America
4,620 jets (50%)
US$ 120 Bi (45%)
Asia Pacific
570 jets (6%)
US$ 19 Bi (7%)
Latin America
850 jets (9%)
US$ 16 Bi (6%)
China
835 jets (9%)
US$ 33 Bi (12%)
Global
9,250 units
US$ 265 Bi
EMEA
2,360 jets (26%)
US$ 77 Bi (29%)
Note: Sum of regional numbers might differ from total numbers due to rounding
Total deliveries forecast in 2015 = 730 units
Embraer guidance:
115/730 = 15.7%
130/730 = 17.8%
Total deliveries forecast in 2015 = 730 units
Embraer guidance:
115/730 = 15.7%
130/730 = 17.8%
Slide Speech
Deliveries of new business jets depends on multiple factors like Pre-Owned Market, Corporate Profits, Stock Markets, Regulatory Environment, and many more.
But this mechanism is malfunctioning since the crisis.
As we will see in the next slides, there are some rusted cogs that needs to be repaired.
Pre-Owned Market Willingness to invest: companies made a lot of money after the crisis but are not willing to invest yet due to lack of confidence in the future of the economy.
2. Finance availability: lack of finance is hindering sales in the lower end of the market.
Net book-to-bill: Includes fleet orders and cancelations.
