A lower ERA means fewer earned runs per standardized game over the measured sample. It is a rate, not a forecast and not a count of actual runs in a particular start. A reliever may never pitch nine innings at once and can still have a nine-inning ERA.
ERA reflects outcomes influenced by defense, ballpark, opponents, official scoring and sample size as well as pitching. It excludes runs classified as unearned, yet the earned-run decision itself can involve scoring judgment. Compare pitchers in suitable contexts and pair ERA with workload and other measures.
Small samples produce volatile values. One earned run after one out in a nine-inning scale gives 27.00, while several scoreless outings can change that quickly. Over a longer period the rate becomes less sensitive to a single event, though it still does not isolate pitcher skill completely.
When combining appearances, add the earned runs and outs first and then calculate one rate. Averaging the ERA from each appearance gives each appearance equal weight regardless of innings pitched and can produce the wrong season value. For example, a scoreless six-inning start and a three-run one-inning appearance combine to 3 earned runs in 7 innings, or 3.86 over nine innings; the arithmetic average of 0.00 and 27.00 would be 13.50.