This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Embraer SA's CEO Discusses Q1 2012 Results - Earnings Call Transcript

Shifting gears to defense and security, we – this business is growing as predicted, it’s showing the robustness in its growth. So in this quarter, it went 20% of the revenues of the company and our outlook for the year is 16%. So it’s probably going to stay between 15% and 20% throughout the year, this is our expectation. We have the first flights of the second AEW 145 for Indian aircraft of the three so the performances keep moving.

We also announced during the Dubai Air Show, three new customers for the Super Tucano all of them in Africa. And also I think important to emphasize, we acquired participation of EADS has in OGMA. So by taking OGMA in Portugal now with 65% remaining 35 in the hands of the Portuguese Government.

So a bigger bounce here about financials, we have slight deflection in our backlog and our revenues, we reached $1.16 million two-thirds of that coming from the area of commercial aircraft business, 20% to France and 13% business to US. Our gross margin is more or less where we thought, it should be, now at 23% showing a consistent behavior as for as last two quarters.

With that, we also really achieve in operating margin of 7.4% which is $86 million result is 1.15 revenues. Our SG&A is going back to life, our SG&A, we broke that the trends which are throughout last year in our growth, in our increasing of cost in SG&A. So we are able to reduce both in riyals and US dollars and this is clearly a focus for us not to allow you to keep growing but rather stable or in more and more efficient as we go.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,159.18 +79.04 0.44%
S&P 500 2,124.48 +6.79 0.32%
NASDAQ 5,115.8840 +23.7990 0.47%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs