Eve Holding (EVEX) Q2 2024 earnings summary

Executive summary

• Rolled out the first full-scale eVTOL prototype in July 2024, with ground and flight tests planned at Embraer's Gavião Peixoto facility.

• Completed selection of all primary flight-critical component suppliers, securing contracts with major industry partners.

• Pre-order backlog stands at 2,900 aircraft valued at $14.5 billion, with non-binding LOIs from 30 customers in 13 countries.

• Secured $95.6 million in new equity financing in June and July 2024, raising pro forma liquidity to approximately $340 million.

• Focused on developing a holistic urban air mobility ecosystem, including eVTOL aircraft, services, and UTM software.

Financial highlights

• Net loss for Q2 2024 was $36.4 million, up from $31.4 million in Q2 2023, mainly due to higher R&D expenses.

• R&D expenses rose to $36.3 million in Q2 2024, driven by intensified development and increased headcount.

• SG&A expenses decreased to $5.4 million in Q2 2024, mainly due to lower payroll and insurance costs.

• Cash used in operations and capital expenditures was $31.4 million in Q2 2024.

• Cash and equivalents at June 30, 2024, totaled $206.5 million, with pro forma liquidity of $340 million after equity raise.

Outlook and guidance

• 2024 cash consumption expected between $130 million and $170 million, with increased spend in 2025 for further prototypes and manufacturing.

• No meaningful revenues expected during the development phase; net losses and negative cash flows will continue until commercialization.

• Commercialization of eVTOL services anticipated to begin in 2025, with initial sales expected in the latter half of 2026.

• Liquidity is expected to be sufficient to fund operations for at least the next twelve months, supported by recent equity and available credit.

• Targeting 2026 for entry into service, with certification and manufacturing milestones on track.