Embraer (NYSE: ERJ) reported earnings on July 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Embraer beat expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue shrank. Non-GAAP earnings per share dropped significantly. GAAP earnings per share dropped to a loss.

Margins dropped across the board.

Revenue details
Embraer recorded revenue of $1.56 billion. The 11 analysts polled by S&P Capital IQ expected revenue of $1.50 billion on the same basis. GAAP reported sales were 6.7% lower than the prior-year quarter's $1.67 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.50. The 10 earnings estimates compiled by S&P Capital IQ forecast $0.53 per share. Non-GAAP EPS of $0.50 for Q2 were 51% lower than the prior-year quarter's $1.03 per share. GAAP EPS were -$0.03 for Q2 against $0.54 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 23.1%, 50 basis points worse than the prior-year quarter. Operating margin was 8.7%, 340 basis points worse than the prior-year quarter. Net margin was -0.3%, 620 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $1.51 billion. On the bottom line, the average EPS estimate is $0.66.

Next year's average estimate for revenue is $6.14 billion. The average EPS estimate is $2.43.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 605 members out of 630 rating the stock outperform, and 25 members rating it underperform. Among 184 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 180 give Embraer a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Embraer is outperform, with an average price target of $38.20.

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