A significant new production agreement for Embraer’s latest Praetor business jets has strengthened the strategic partnership for aerospace component manufacturer FACC. This deal provides substantial backing for the company’s growth plans following a record-breaking fiscal 2025, which featured notable margin expansion. The central question for investors is whether the stock can maintain its longer-term upward trajectory despite recent profit-taking activity.
Financial Performance Sets a High Bar
FACC’s operational results for the 2025 financial year were exceptionally strong. The company posted record revenue of approximately 984 million euros, marking an increase of 11.3 percent. The leap in operating profit (EBIT) was even more pronounced, surging by nearly 50 percent to reach 42.3 million euros. Driven by its internal “CORE” efficiency program and positive contributions from its Croatian operations, FACC’s EBIT margin improved to 4.3 percent.
This robust operational performance fueled a substantial rally in the company’s share price, which gained over 80 percent across a twelve-month period. After hitting a 52-week high of 15.42 euros in late February, the equity has since undergone a correction, closing at 13.04 euros in the latest session. Despite this pullback, the shares continue to trade well above the 200-day moving average of 9.31 euros, indicating the primary bullish trend remains intact.
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Deepened Collaboration Through Praetor Jet Contract
The latest contract cements FACC’s role as a key supplier to Embraer. The Austrian lightweight construction specialist is tasked with the development and manufacturing of the complete cabin interior linings for the new Praetor 600E and 500E business jet models. This comprehensive order covers essential components from the cockpit and passenger cabin through to the cargo compartments. FACC will leverage advanced composite fiber technology alongside premium materials, including wood veneers and leather, to fulfill the order.
This expanded collaboration is the product of a long-standing relationship, with Embraer having recognized FACC as its “Supplier of the Year” on multiple occasions. Beyond traditional aircraft components, the two companies also cooperate in the emerging Urban Air Mobility sector through Embraer’s subsidiary, EVE Air Mobility. This strategic diversification helps secure production capacity and broadens FACC’s technological portfolio beyond its core business.
Looking ahead, the secured order book from the Praetor program, combined with its expansion into the electric vertical take-off and landing (eVTOL) market, forms a solid foundation for FACC’s near-term outlook. Market participants will now watch to see if the stock can find support around its 50-day moving average at 11.74 euros, which could set the stage for another attempt to challenge the annual high.
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