Eve Holding (EVEX) Q3 2024 earnings summary

Executive summary

• Achieved key milestones in eVTOL development, including unveiling the first full-scale prototype, assembly, and start of testing expected in late 2024 or early 2025.

• Certification environment advanced with ANAC publishing eVTOL certification basis and FAA issuing SFAR in the U.S., enabling product advancement and flight testing.

• Launched Eve TechCare, an integrated services portfolio, expanded training partnerships, and completed successful Vector air traffic software simulation.

• Maintained a strong pre-order backlog of 2,900 aircraft valued at $14.4 billion and $1.6 billion in services LOIs, with global customer base.

• Urban air traffic management solution (Vector) trialed in São Paulo with local operator Revo.

Financial highlights

• Net loss for Q3 2024 was $35.8 million, a 15% increase year-over-year; nine-month net loss was $97.5 million.

• R&D expenses for Q3 2024 were $32.4 million, up 13% year-over-year; SG&A expenses were $8.4 million.

• Raised $236 million since July 2024 through a mix of debt and equity, boosting pro forma liquidity to $445 million.

• Ended Q3 with $280 million in cash, $73 million higher than the previous quarter due to new equity raised.

• Net cash used in operating activities was $30.7 million in Q3 2024 and $97.3 million for the first nine months.

Outlook and guidance

• First engineering prototype flight expected in early 2025, with conforming prototypes and certification flight campaign in 2026.

• Certification targeted for 2027, reflecting regulatory and technical challenges.

• Cash burn expected to rise slightly in 2025, with peak CapEx for the Brazilian facility in 2026.

• No immediate plans for new capital raises; current liquidity provides nearly three years of runway.

• Management expects continued net losses and negative operating cash flows until commercial operations begin, with first eVTOL sales anticipated in 2027 and services in 2026.