EHang Holdings Limited (NASDAQ:EH) shares are trading higher after it reported first-quarter FY24 results.
Revenue increased 178.0% Y/Y to RMB61.7 million. In USD terms, revenue of $8.5 million beat the consensus of $6.9 million. Revenue benefitted from demand for the proprietary EH216 pilotless eVTOL vehicles.
Adjusted operating loss came in at RMB(12.6) million ($(1.7) million), an improvement of 63.4% Y/Y in the quarter. The company achieved positive operating cash flow in the quarter.
The company disclosed sales and deliveries of 26 units of EH216 series products in the first quarter of FY24, which more than doubled to 11 units in the first quarter of 2023.
As of March-end, cash and cash equivalents, short-term deposits and short-term investments balances stood at RMB323.8 million ($44.9 million).
Adjusted net loss per ADS was $0.02, beating the consensus of $(0.09).
Huazhi Hu, EHang's Founder, Chairman and Chief Executive Officer, said, "Looking ahead, we will remain focused on moving forward commercial EH216-S operations for a new phase of growth, catering to intra-city mobility needs while addressing other needs in global UAM by research and development, testing, and airworthiness certification efforts for VT-30, our pilotless passenger-carrying lift-and-cruise eVTOL model tailored for inter-city travel."
Outlook: For the second quarter of 2024, the company projects revenues to be around RMB90 million, an increase of around 804% Y/Y.
In March, the company established Japan's first Urban Air Mobility Center, facilitating pilotless eVTOL flights in Tsukuba City, Ibaraki Prefecture.
Also, EHang started selling its EH216-S vehicle on Chinese online shopping platform Taobao for 2.39 million yuan ($332,000).
Last month, EHang attained the Production Certificate (PC) for its EH216-S passenger-carrying pilotless electric vertical takeoff and landing (eVTOL) aircraft from the Civil Aviation Administration of China (CAAC).
Investors can gain exposure to the stock via SPDR S&P Kensho New Economies Composite ETF (NYSE:KOMP).
Price Action: EH shares are up 7.62% at $20.60 premarket at the last check Monday.