OGMA Site Visit: A 100-Year Transformation Creates a High-Quality Growth Engine for Embraer

研报英文原文证据摘录

OGMA Site Visit: A 100-Year Transformation Creates a High-Quality Growth Engine for Embraer

IdeaMrepositioning of the company toward higher-growth commercial markets.

Management repeatedly emphasized that profitability—not revenue growth—has

become the primary operating objective. This philosophy now drives customer

selection, contract negotiations, manufacturing efficiency, and capital allocation.

The Turnaround is Being Driven by Operational Execution

The most compelling takeaway from our visit was that OGMA's improving financial

performance is the result of management execution rather than favorable industry

conditions. Following a leadership reorganization in 2023, the company shifted its

focus from maximizing revenue to maximizing profitability, implementing Embraer's

operational excellence framework across the organization. Since then, every

business unit has generated positive EBIT, while revenue and earnings have inflected

materially.

Exhibit 1: 2023 Leadership Reset Drives Operational Excellence

Year Revenue (€mn) EBIT (€mn)

2021 207 (6.2)

2022 205 (27.6)

2023 231 7.0

2024 290 10.8

2025E 343 22.4

2026E 430 ~17

Source: Company Data, Morgan Stanley Research

Management attributed the turnaround to a series of deliberate operational

initiatives rather than cyclical demand. These include exiting or repricing low-return

aerostructures contracts, reducing the customer base from 22 to 15 higher-value

accounts, reorganizing the company around dedicated business units, implementing

Embraer's P3E production system, and embedding continuous improvement through

recurring Kaizen events focused on productivity, logistics, and waste reduction. At

the same time, the organization has undergone a significant cultural shift—from a