Pony AI Inc. (NASDAQ:PONY) Q4 2024 Results Conference Call March 25, 2025 8:00 AM ET Company Participants George Shao - Head of Capital Markets & Investor Relations James Peng - Chairman of the Board, Co-founder & Chief Executive Officer Tiancheng Lou - Director, Co-founder & Chief Technology Officer Leo Wang - Founding Member & Chief Financial Officer Conference Call Participants Verena Jeng - Goldman Sachs Ming-Hsun Lee - Bank of America Bin Wang - Deutsche Bank Purdy Ho - Huatai Securities Operator Ladie ...

GUANGZHOU, China, March 25, 2025 /PRNewswire/ -- On March 25th, Pony.ai (Nasdaq: PONY) announces unaudited Q4 and FY2024 financial results. FY total revenue rose to US$75.0 million, up 4.3% from FY2023, largest L4 autonomous mobility company in China by revenue. FY robotaxi service revenue was US$7.3 million, driven by service expansion in tier-1 Chinese cities. Co. expects growth to continue, supported by Gen-7 models deployment. Non-GAAP R&D expenses rose 14% vs 2023 to support Gen-7 robotaxi R&D. Cash an ...

Core Insights - Pony.ai has achieved significant milestones in 2024, transitioning to a public company and positioning itself as a leader in the commercialization of autonomous mobility [2][37] - The company aims to accelerate its growth in 2025, focusing on scaling production and enhancing the safety and efficiency of its autonomous mobility solutions [2][37] Financial Performance - Total revenues for the fourth quarter of 2024 were US$35.5 million, a decrease of 29.8% from US$50.6 million in the fourth quarter of 2023 [18] - The net loss for the fourth quarter of 2024 was US$181.1 million, compared to US$20.7 million in the fourth quarter of 2023 [17] - For the full year 2024, total revenues were US$75.0 million, representing an increase of 4.3% from US$71.9 million in 2023 [22] Cost Structure - Total cost of revenues in the fourth quarter of 2024 was US$28.1 million, down 16.1% from US$33.4 million in the fourth quarter of 2023 [14] - Operating expenses surged to US$180.6 million in the fourth quarter of 2024, an increase of 313.9% from US$43.6 million in the fourth quarter of 2023 [19] - Research and development expenses reached US$147.8 million in the fourth quarter of 2024, a 375.7% increase from US$31.1 million in the fourth quarter of 2023 [19] Operational Developments - Pony.ai launched its first paid robotaxi service in Beijing on March 13, 2025, connecting major transport hubs [3] - A partnership with ComfortDelGro was established to launch a robotaxi pilot program in Guangzhou, enhancing service quality through collaboration [4] - The company became the first in China approved for autonomous truck platooning tests, indicating advancements in logistics efficiency [6][7] Strategic Partnerships - A strategic cooperation agreement was signed with GAC Aion to develop a fully driverless, mass-produced robotaxi, with initial deliveries expected in 2025 [9] - A partnership with BAIC BJEV aims to develop L4 robotaxis, targeting the Chinese market with the ARCFOX αT5 model [10] - Collaboration with Amap allows integration of Pony.ai's robotaxis into Amap's ride-hailing services, expanding user access [8] Global Expansion - Pony.ai secured an autonomous driving test permit in Seoul, marking a significant step in its global expansion efforts [11] - The establishment of a European hub in Luxembourg aims to advance the development of autonomous mobility solutions in the region [12]

Summary of the Conference Call on Autonomous Driving Technology Testing Industry and Companies Involved - The conference call focuses on the autonomous driving technology testing conducted by **Xiaopeng Motors** and **Pony.ai** in the Yizhuang area, Beijing [2][3][4]. Core Insights and Arguments - **Testing Background**: The test aimed to objectively compare the autonomous driving performance of Xiaopeng Motors and Pony.ai, conducted over a one-hour journey divided into three segments, each approximately 7 kilometers long [2]. - **Pony.ai Performance**: Demonstrated stable performance with mature technology, equipped with LiDAR, and a responsive navigation system capable of continuous navigation to multiple destinations [3][4]. - **Xiaopeng Motors Performance**: The pure vision system performed well in initial tests, with smooth lane changes and overtaking, but faced challenges in recognizing complex traffic signals [3][4][8]. - **Speed Control Strategies**: Xiaopeng Motors limited its Navigation Guided Pilot (NGP) speed to 55 mph at night, while Pony.ai typically maintained speeds below 60 mph unless obstacles were detected, highlighting different safety strategies [11]. - **Driving Strategies**: Xiaopeng Motors focused on efficiency with frequent lane changes, while Pony.ai emphasized safety and stability by maintaining a larger following distance [12]. - **Potential of Autonomous Driving**: The technology has significant potential in first-tier cities to enhance traffic efficiency and travel experience, although consumer acceptance will take time [13][23]. - **Future of RoboTaxi**: The era of RoboTaxi is expected to arrive sooner than anticipated, with both companies likely converging towards L4 level autonomous driving as technology advances [6]. Other Important Insights - **Challenges Encountered**: The test faced challenges such as handling unprotected left turns and increased traffic at night, which required quick responses from both systems [5][8]. - **Testing Environment**: The route chosen was relatively simple, lacking complex scenarios, which may have limited the testing's excitement but provided a stable environment for evaluation [16][20]. - **Regulatory Environment**: The test was conducted without regulatory issues, achieving zero manual takeover throughout the process [22]. - **Future Research Plans**: The team plans to continue in-depth research and comparisons of different brands and models, aiming to produce comprehensive reports and conduct more extensive testing [25]. This summary encapsulates the key points discussed during the conference call, providing insights into the performance and strategies of Xiaopeng Motors and Pony.ai in the autonomous driving sector.

NEW YORK, March 05, 2025 (GLOBE NEWSWIRE) -- Pony AI Inc. ("Pony.ai" or the "Company") (NASDAQ:PONY), a global leader in achieving large-scale commercialization of autonomous mobility, today announced that it will report its unaudited financial results for the fourth quarter and full year 2024 before the U.S. market opens on Tuesday, March 25, 2025. The Company's management will hold an earnings conference call on Tuesday, March 25, 2025, at 8:00 A.M. U.S. Eastern Time or 8:00 P.M. Beijing/Hong Kong Time on ...

Michael Wiggins De Oliveira is an inflection investor. This means buying into cheap companies at the moment when their narrative is changing and the business is on a path toward becoming significantly more profitable over the next year.With a focus on tech and “the Great Energy Transition (including uranium)”, Michael runs a concentrated portfolio with approximately 15 to 20 stocks and an average holding period of 18 months. Through his 10+ years analyzing countless companies, Michael has accumulated outsta ...

Pony AI (PONY 32.05%) stock posted explosive gains this week. The share price of the Chinese autonomous vehicle technologies company ended the stretch up 42.7% compared to its level at the previous week's close, according to data from S&P Global Market Intelligence.Pony AI's valuation rocketed higher this week after it was announced that the company had launched its robotaxi services in Guangzhou, China. The company's share price is now up 64.5% from market close on the day of its November initial public of ...

Core Viewpoint - Pony.ai has launched paid robotaxi services in Guangzhou, becoming the first company approved for such services on high-demand routes to key transit hubs [1][2][3]. Group 1: Service Launch - The new robotaxi services connect multiple locations in Guangzhou's city center to Guangzhou Baiyun International Airport and Guangzhou South Railway Station [1]. - The services are designed to benefit both residents and tourists, providing a convenient and efficient travel option [2]. Group 2: Technological Integration - The launch represents a significant step in integrating autonomous driving technology within the urban environment of Guangzhou, highlighting the company's capabilities in complex city settings [2][3]. - Pony.ai's Virtual Driver technology is a full-stack autonomous driving solution that supports the mass production and deployment of vehicles across various transportation use cases [5]. Group 3: Market Position - The company has previously introduced paid robotaxi rides in Beijing, indicating a broader strategy for commercialization of autonomous mobility [4]. - Guangzhou Baiyun International Airport has been the leading airport in China for passenger volume for four consecutive years, while Guangzhou South Railway Station recorded over 170 million passengers in 2024, underscoring the high demand for such services [3].

Core Viewpoint - Pony.ai has launched paid robotaxi services in Guangzhou, becoming the first company approved for such services on high-demand routes to key transit hubs [1][2][3] Group 1: Service Launch - The robotaxi services connect multiple locations in Guangzhou's city center to Guangzhou Baiyun International Airport and Guangzhou South Railway Station [1] - Riders can book vehicles via the PonyPilot App, with fares comparable to standard taxi rates in Guangzhou [2] Group 2: Market Impact - The launch is expected to benefit both residents and tourists by providing a convenient and efficient travel option [2] - Guangzhou Baiyun International Airport has been the leading airport in China for passenger volume since 2020, while Guangzhou South Railway Station recorded over 170 million passengers in 2024, highlighting the significance of these routes [3][4] Group 3: Company Positioning - The expansion in Guangzhou is a significant milestone in Pony.ai's efforts to commercialize autonomous mobility, reinforcing its status as a global leader in the sector [3][4] - Pony.ai has previously introduced similar services in Beijing, indicating a strategic approach to expanding its footprint in major Chinese cities [4] Group 4: Technology and Business Model - Pony.ai utilizes its vehicle-agnostic Virtual Driver technology, which integrates proprietary software, hardware, and services to develop a sustainable business model for mass production and deployment of autonomous vehicles [5] - Founded in 2016, the company has expanded its presence across various regions, ensuring accessibility to its advanced technology [5]

Summary of the Conference Call for Pony.ai Company Overview - Pony.ai was founded in December 2016 in Silicon Valley by Peng Jun and Lou Tiancheng, both of whom have extensive experience in autonomous driving projects at Baidu and Waymo [3][4] Industry Focus - The company has shifted its strategic focus to the robotaxi business, planning to allocate over 90% of its resources to achieve operational breakeven for its fleet [3][4] Key Points and Arguments Business Model and Strategy - Pony.ai aims to achieve operational breakeven for its robotaxi business within a year, with a target of increasing daily orders per vehicle from 15 to 18-20 by the end of 2024, although this remains below the human-driven ride-hailing average of 30 orders per day [5][7] - The company operates in major cities including Guangzhou, Beijing, Shanghai, and Shenzhen, with 80% of orders coming from its own platform and 20% from third-party platforms [5] - The business model is based on a light-asset approach, where vehicles are financed through low-interest debt and leased, minimizing upfront capital expenditure and providing stable returns to investors [9][10] Cost Management - Through partnerships with BAIC, GAC, and Toyota, Pony.ai has reduced the cost of L4 autonomous vehicles to below 300,000 RMB, with annual depreciation costs dropping to 50,000-60,000 RMB, leading to total operational costs around 100,000 RMB [6][30] - The company expects to further reduce vehicle costs to below 200,000 RMB by increasing production scale and efficiency [11] Technological Investment - Significant resources have been invested in technology, utilizing four NVIDIA Orin X chips and up to nine LiDAR sensors, with hardware costs maintained under 300,000 RMB [11][24] - The company employs reinforcement learning for autonomous driving technology development, which allows for breakthroughs beyond human data limitations [11][12] Competitive Landscape - Pony.ai differentiates itself from competitors like Tesla and NIO by focusing on a smaller, more efficient R&D team and a long-term commitment to technology accumulation, rather than short-term results [12][19] - The company emphasizes the importance of high-quality data over quantity, enabling it to achieve L4 level autonomy while competitors struggle with lower-quality data [27][28] Future Goals - The company plans to scale its fleet from approximately 270 vehicles to over 600 by the end of 2025, with aspirations to expand to thousands of vehicles [18][7] - Achieving profitability in the robotaxi business is expected to enhance the company's valuation, reduce financing costs, and attract more commercial partners [8] Operational Efficiency - The current vehicle operational cost is approximately 100,000 RMB, with plans to reduce this further while increasing order density and efficiency [30][31] - The company aims to improve the driver-to-vehicle ratio from 1:12 to between 1:20 and 1:30, which would lower per-vehicle labor costs significantly [33][34] Market Position - Pony.ai is one of the few companies capable of actual autonomous driving operations, focusing on practical results rather than mere technological demonstrations [14][19] Additional Important Insights - The company is cautious about expanding into new cities, preferring to optimize existing operations in major urban areas [13] - Future developments may include providing technical support to other companies for autonomous ride-hailing operations, rather than solely operating its own fleet [15][16] This summary encapsulates the key points discussed during the conference call, highlighting Pony.ai's strategic focus, operational goals, technological advancements, and competitive positioning within the autonomous driving industry.