Cash conversion remains a primary concern, highlighted by a negative OCF/NI ratio of -11.81 in 2026Q1, driven largely by significant working capital outflows of $421.0 million.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 |
|---|
| Cash from Operations | 648.3M | 870M | 871.2M | 617M | 751.3M | 515.3M | -1.29B | 893.8M | 0 | 2.5B | -309.02M | 3.63B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating CF Growth % | -195.33% | -0.14% | 41.2% | -17.88% | 45.8% | 139.94% | -244.35% | - | -100% | 908.09% | -108.51% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Net Income | 311.79M | 359M | 354.6M | 164.3M | -203.5M | -43.5M | -728.3M | -316.5M | -171.2M | 850.7M | 585.43M | 241.6M | 869.63M | 737.41M | 651.06M | 220.25M | 576.82M | 834.36M | 780.94M | 1.02B | 843.66M | 1.04B | 1.01B | 429.72M | 568.54M | 638.16M | 617.4M | 423.93M |
| Depreciation & Amortization | 263.37M | 259.5M | 243.6M | 242.04M | 210.3M | 208.6M | 292.1M | 209.7M | 0 | 1.1B | 1.28B | 1.07B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -54.32M | -91.4M | 202.4M | -43.6M | -87.5M | 38.4M | 78.41M | 33.2M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -32.97M | 61.05M |
| Other Non-Cash Items | -59.16M | -55.6M | -24M | -184.9M | 237.3M | -157.5M | 173.9M | 105M | 171.2M | -500.9M | -1.44B | 2.08B | -869.63M | -737.41M | -651.06M | -220.25M | -576.82M | -834.36M | -780.94M | -1.02B | -843.66M | -1.04B | -1.01B | -429.72M | -568.54M | -638.16M | -584.44M | -484.98M |
| Working Capital Changes | 188.12M | 398.5M | 94.6M | 439.5M | 591.8M | 469.3M | -1.13B | 862.4M | 0 | 1.04B | -734.51M | 225.17M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -633.92M | -611.7M | -599.7M | -447.6M | -109.5M | -131.6M | -105.3M | 407.7M | 0 | -3.46B | -3.38B | -5.16B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | -331.99M | -423.6M | -238M | -58.8M | -17.49M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -6.5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Sale/Maturity of Investments | 286.42M | 384.5M | 49.5M | 101.4M | 158.2M | 135.9M | 113.1M | 977.8M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Investment Activity | -45.57M | -39.1M | -188.5M | 42.6M | 140.71M | 135.9M | 113.1M | 977.8M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -6.5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Acquisitions | 4.47M | -12.3M | -18.3M | -24M | -400K | -1.12M | -5.9M | -2.5M | -2.4M | -1.98M | -9.18M | -4.72M | -1.25M | -31.54M | -39.41M | -99.51M | 0 | 0 | 0 | 0 | -1.75M | 0 | -41.14M | 0 | 0 | 0 | 0 | 0 |
| Other Investing | -171.45M | -373.1M | -192.5M | -227.5M | -113.5M | -161.2M | -110.2M | -283.1M | 156.7M | -2.7B | -2.02B | -4.01B | 710.81M | 964.17M | 651.99M | 711.04M | 249.83M | 321.79M | 469.71M | 436.39M | 198.01M | 120.78M | 174.77M | 204.57M | 326.29M | 279.46M | 219.89M | 108.58M |
| Cash from Financing | 497.04M | 146.1M | -335.7M | -348.7M | -669.2M | -441.04M | 1.01B | -257M | -503.4M | 1.1B | 14.65M | 3.89B | 833.62M | 410.26M | 788.71M | 176.34M | -1.34B | -41.64M | -619.91M | 286.12M | -854.39M | 58.14M | 280.79M | 1.28B | -1.02B | 248.62M | -169.11M | -10.18M |
| Dividends Paid | -36.42M | -23.6M | 0 | -13.4M | 0 | 0 | 0 | -2M | 0 | -173.04M | -99.8M | -182.36M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -341.17M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -354.67M | -186.8M | 0 | 0 | 0 | -2.5M | 0 | 0 | 0 | -48.4M | -60M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 201.57M | 0 | 0 | 9.5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 11.06M | 28.24M | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Stock Activity | -153.1M | -186.8M | 0 | 9.5M | 0 | -2.5M | 0 | 0 | 0 | -48.4M | -60M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 11.06M | 28.24M | 0 | 0 | 0 | 0 | 0 | 0 |
| Debt Issuance (Net) | 4M | 1000K | -1000K | -1000K | -1000K | -1000K | 1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | -1000K | 1000K | 1000K | -1000K | 1000K | 1000K | 1000K | -1000K | 1000K | -1000K | 1000K |
| Other Financing | 27.72M | 237.5M | -19.05M | -27.01M | 159.1M | -10.39M | 400K | 2.2M | -31.1M | 19.06M | 6.49M | 23.48M | -198.09M | -102.51M | -84.04M | -335.49M | -269.87M | 0 | -487.45M | -341.42M | 0 | -464.19M | -495.13M | -213.16M | -395.83M | -351.89M | -248.12M | -92.43M |
| Net Change in Cash | 474.55M | 386.8M | -63.3M | -189.3M | -23M | -44.5M | -424.6M | 1.03B | 0 | 157.53M | -4.41B | 3.91B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Exchange Rate Effect | -36.97M | -17.7M | 900K | -10M | 4.4M | 2.4M | -37.8M | -17.7M | 0 | 19.98M | -733.03M | 1.54B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 125.26M | 126.02M | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 1.96B | 1.56B | 1.63B | 1.82B | 1.84B | 1.88B | 2.31B | 1.28B | 0 | 4.05B | 8.46B | 4.55B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at End | 1.32B | 1.95B | 1.56B | 1.63B | 1.82B | 1.84B | 1.88B | 2.31B | 0 | 4.2B | 4.05B | 8.46B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 616.6M | 570.34M | 600.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Income Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Free Cash Flow | 380.22M | 386.1M | 405M | 186.2M | 495.3M | 247.1M | -1.51B | 326M | 0 | 1.73B | -1.66B | 2.49B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| FCF Growth % | -23.82% | -4.67% | 117.51% | -62.41% | 100.45% | 116.32% | -564.39% | - | -100% | 204.4% | -166.68% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Working capital volatility
According to reported quarterly data, Embraer's operating cash flow frequently decouples from net income, evidenced by a negative OCF/NI ratio of -11.81 in 2026Q1, which suggests that accounting profits are not translating into realized cash inflows due to significant timing differences in project-based revenue recognition.
The extreme variance between net income and operating cash flow indicates that reported earnings are highly sensitive to non-cash adjustments and the timing of milestone payments. Investors should monitor whether this divergence is a structural feature of long-term defense contracts or a sign of deteriorating collection efficiency.
As reported in financial statements, Embraer's free cash flow trajectory is highly inconsistent, swinging from a peak of $942.2 million in 2024Q4 to a burn of $468.6 million in 2026Q1, reflecting the inherent lumpiness of aircraft delivery cycles and the associated capital intensity of the business.
The volatility in FCF margins suggests that the company's ability to generate self-sustaining cash is heavily dependent on the timing of final aircraft handovers. This pattern warrants caution, as it implies that short-term liquidity may be vulnerable to even minor delays in the production or delivery schedule.
Based on Embraer's reported figures, working capital changes are the primary driver of cash flow volatility, with a massive $421.0 million outflow in 2026Q1 contrasting sharply with the $726.0 million inflow seen in 2025Q4, highlighting the company's reliance on large, periodic customer advances and inventory management.
These dramatic swings suggest that the company's cash position is highly sensitive to the timing of inventory buildup and the subsequent liquidation of work-in-progress. The reliance on these fluctuations implies that liquidity management is a critical, yet unpredictable, component of the firm's operational success.
Data from recent filings indicates that Embraer's capital expenditure remains significant, with CapEx/Revenue ratios reaching 10.8% in 2026Q1, suggesting that the company is prioritizing ongoing investment in new platforms and production capacity despite the cyclical nature of its commercial aviation and defense business segments.
The elevated capital intensity appears to be a strategic choice to maintain competitiveness in the regional jet and defense markets. However, this level of spending may continue to pressure free cash flow, particularly if delivery volumes fail to scale in line with the company's current investment trajectory.
Quick answers to the most common questions about buying EMBJ stock.
Embraer S.A. (EMBJ) generated $870.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Embraer S.A. (EMBJ) generated $386.1M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Embraer S.A. (EMBJ) spent $187.2M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Embraer S.A. (EMBJ) returned $23.6M to shareholders via cash dividends and spent $186.8M on share repurchases. This shows the company's commitment to returning capital to its equity investors.