SAO PAULO, Feb 27 (Reuters) - Embraer ( ERJ ) expects

to increase aircraft deliveries by up to 18% this year, it said

on Thursday, reaching as many as 240 commercial and executive

jets as it continues to lift output to meet strong demand.

Despite supply chain disruptions, the world's third-largest

planemaker - which delivered 203 jets last year - has been

raising annual deliveries since 2021, marking a recovery from

the pandemic-related downturn.

The Brazilian company's outlook for this year places

commercial aviation deliveries at between 77 and 85 aircraft, up

from 73 in 2024. Business jet deliveries are estimated to hit

between 145 and 155, up from last year's 130.

"We could have had even better guidance, to be honest. Our

guidance is within the limits of supply chain bottlenecks,"

Chief Executive Francisco Gomes Neto told Reuters after

quarterly results.

Planemakers overall, including larger rivals Airbus

and Boeing, have struggled in recent years with supply

chain snags, such as a shortage of engines, that affected output

plans and delayed deliveries.

Gomes Neto said the scenario has been improving, noting that

although some constraints remain, Embraer ( ERJ ) should be able to

better spread out production in 2025, taking some pressure off

the seasonally busier fourth quarter.

The higher annual deliveries should also lead to an

expansion in revenues, which were projected at between $7.0

billion and $7.5 billion in 2025, after reaching $6.39 billion

last year.

Embraer ( ERJ ), whose focus is on up to 150-seat single-aisle

aircraft, has been experiencing solid demand for its jets and

solidified itself as a market darling, with shares near all-time

highs after more than doubling in value last year.

Earlier this week it received a firm order for 15 E190-E2

planes from Japan's ANA, after also inking a record $7

billion deal to supply Flexjet with up to 212 business jets.

The outlook remains positive this year as several sales

campaigns are ongoing, Gomes Neto noted, including for the C-390

military cargo aircraft that attracted clients such as the

Netherlands, Austria, Sweden and Slovakia last year.

"We see 2025 as even better than 2024 in all aspects," he

said. "Maybe we won't hit the same sales levels because of that

huge Flexjet contract, which is not something we see every year,

but we expect a very good year in terms of sales."

Embraer ( ERJ ) reported a 29% jump in fourth-quarter core profit to

$328 million on net revenue that rose 17% to $2.31 billion.

Both metrics exceeded market forecasts, as analysts polled

by LSEG expected them to hit $263.5 million and $2.2 billion,

respectively.