EHang Sees Revenue Surge 41.6% in Q1

EHang, the Chinese eVTOL manufacturer, saw its revenue skyrocket 41.6% to RMB22.2 million (USD$3.2 million) in the first quarter of 2023 due to an increasing number of orders received. 

The firm’s total revenue growth rose from RMB15.7 million (USD$2.2 million) in the fourth quarter of 2022 and was attributed to an increase in the EH216 series aircraft sold. From a year-over-year perspective, the company saw a massive 283% uptick, according to EHang’s unaudited financial results. 

EHang saw its net loss improve by 21% from RMB110.1 million (USD$15.4 million) in the fourth quarter to RMB87.0 million (US$12.7 million) in the first quarter of 2023. The company’s overall operating loss stood at RMB75.7 million (US$11.0 million) in Q1 2023, marking a 17.8% decrease from RMB92.2 million (USD$12.9 million) in Q4 2022. 

Regarding cash, cash equivalents, restricted cash, restricted short-term deposits, and short-term investment balances, EHang had RMB217.6 million (USD$31.7 million) as of March 31, 2023. 

The Guangzhou-based eVTOL developer’s type certification for its EH216-S autonomous aerial vehicle (AAV) is more than 90% complete. It will now complete the remaining steps in the final phase per the requirements of the Civil Aviation Administration of China (CAAC). 

With the guidance of the CAAC and the company’s 100 Air Mobility Route Initiative, EHang has worked alongside its partners and customers to establish 19 trial operation locations in 17 cities across China over the past two years. Since then, the EH216-S aircraft used for the initiative have completed roughly 8,800 trial flights for aerial sightseeing purposes, laying the groundwork for future commercial operations once certification is granted.

EHang has also received orders from Fengshan Tourism Investment Development, Xiyu Tourism Development, and Xi’an Aerospace Investment Technology Innovation Development Holding Group for six, 120, and 20 EH216-S eVTOLs respectively.

Huazhi Hu, EHang’s founder, Chairman and Chief Executive Officer, acknowledged that the company is heading in the right direction and insisted that the main priority going forward will be getting the EH216-S certificated as soon as possible. 

“As anticipated, we witnessed increasing demands for our AAVs upon the post pandemic recovery of the tourism industry in China,” Hu said. “Moreover, the US$10 million strategic investment from the Qingdao West Coast New Area was closed in the first quarter, which enhanced our cash position to support our operations and growth.

“Currently our top priority is to obtain the EH216-S type certificate as soon as possible in the near term. With continued tailwinds from tourism recovery and favorable domestic policies, as well as our leading position in advanced AAVs and related systems, we feel very confident in our vast potential to thrive in the UAM sector and are very optimistic for what’s ahead,” Hu added.

In May 2023, EHang unveiled plans to develop Urban Air Mobility (UAM) in Latin America, hold demonstrations for its EH216-S eVTOL in Israel, and develop the first electric aircraft manufacturing facility in the Middle East and North Africa (MENA).

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