EHang Holdings Limited (NASDAQ:EH) shares are trading higher after it reported second-quarter results.
Revenue escalated 919.6% Y/Y to RMB102.0 million. In USD terms, revenue of $14.04 million beat the consensus of $12.58 million. Revenue benefitted from strong demand for the advanced EH216-S pilotless eVTOL vehicles.
Gross profit surged 957.3% Y/Y to RMB63.7 million ($8.7 million), with a gross margin of 62.4%, up 2.2 percentage points Y/Y.
Adjusted operating loss came in at RMB4.7 million ($0.6 million), an improvement of 90.9% Y/Y. Adjusted earnings per ADS came in at $0.002 vs. the consensus loss of $0.12.
The company disclosed sales and deliveries of 49 units of EH216 series products in the second quarter, marking the highest quarterly delivery volume in the company’s history, which rose significantly compared with five units in the second quarter of 2023.
As of June 30, cash and cash equivalents, short-term deposits, and short-term investment balances stood at RMB988.2 million ($136.0 million).
The company’s cash position has strengthened with RMB554.1 million ($76.2 million) raised through an at-the-market equity offering. EH stated that they will not conduct further ADS sales under this program for the remainder of 2024.
Read: EHang Expands Presence In China’s eVTOL Market With Fresh Deliveries And New Orders For Pilotless Aircraft – Details Here
Huazhi Hu, EHang’s Founder, Chairman and Chief Executive Officer, said, “Moreover, our global expansion was also gaining momentum with the extension of our partnership network in the Middle East and the successful debut flights of our pilotless eVTOLs in the UAE and Saudi Arabia in the second quarter.”
“We are committed to launching commercial operations of EH216-S in the near future, which will usher in a new phase of growth focused on intra-city mobility. At the same time, we will meet diversified UAM demand through ongoing research, development and testing of advanced technologies, upgraded components and new models, such as our lift-and-cruise eVTOL designed for inter-city mobility. “
Outlook: For the third quarter of 2024, the company projects revenues to be around RMB123M, an increase of around 329.8% Y/Y.
Price Action: EH shares are up 5.13% at $13.11 premarket at the last check Thursday.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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