UPDATE: EHang Holdings Ltd. (EH) Tops Q2 EPS by 1c, Revenues Beat
EHang Holdings Ltd. (NASDAQ: EH) reported Q2 EPS of ($0.02), $0.01 better than the analyst estimate of ($0.03). Revenue for the quarter came in at $5.1 million versus the consensus estimate of $4.88 million.
Financial and Operational Highlights
- Total revenues were RMB35.7 million (US$5.1 million), up 62.7% year over year, driven by significant growth across all revenue streams. Air mobility solutions contributed 63.5% of the total revenues in the second quarter of 2020.
- Gross margin was 57.6%, a slight decrease of 0.9 percentage point year over year due to change in revenue mix. Gross profit was RMB20.6 million (US$2.9 million), an increase of 60.0% year over year.
- Operating loss was RMB19.2 million (US$2.7 million), compared with operating loss of RMB16.7 million in the second quarter of 2019.
- Adjusted operating loss1 (non-GAAP) was RMB11.1 million (US$1.6 million), compared with adjusted operating loss of RMB11.8 million in the second quarter of 2019.
- Net loss was RMB19.7 million (US$2.8 million), compared with net loss of RMB16.3 million in the second quarter of 2019.
- Adjusted net loss2 (non-GAAP) was RMB11.7 million (US$1.7 million), compared with adjusted net loss of RMB11.4 million in the second quarter of 2019.
- Sales of the EHang 216, the Company’s flagship passenger-grade AAV, reached 16 units in the second quarter of 2020, versus 14 units in the second quarter of 2019.
Mr. Huazhi Hu, EHang’s Founder, Chairman and Chief Executive Officer, commented: “During the second quarter of 2020, we significantly grew revenues and strengthened our core business of air mobility solutions, despite the ongoing COVID-19 pandemic challenges in China and overseas. We set a significant regulatory milestone for the industry by achieving the world’s first commercial operation approval of passenger-grade AAVs for air logistics from the CAAC. We are well-prepared and confident that we can accelerate growth by deploying our AAV solutions for more practical uses and expect to roll out more new products including the ones with the flight range exceeding 100 kilometers. We are proud of our continued progress in global markets.”
Business Outlook
The Company maintains its forecast of at least 200% growth in annual revenues in 2020 based on the current momentums in economic recovery and the expectations of no further major interruptions impacted by COVID-19. The Company is confident in its long-term growth outlook given the growing number of practical uses for AAVs in the global UAM market, especially in China.
The above outlook is based on information available as of the date of this press release and reflects the Company’s current and preliminary expectations, which are subject to change in light of uncertainties and situations related to how COVID-19 develops.
For earnings history and earnings-related data on (EH) click here.