Eve (EVEX)2025-03-11 10:07Financial Performance - Eve Air Mobility reported a net loss of $40.7 million in Q4 2024, compared to a net loss of $39.3 million in Q4 2023, with R&D expenses at $33.7 million, relatively flat year-over-year [13]. - For the full year 2024, the net loss was $138.2 million, an increase from $127.7 million in 2023, with R&D expenses rising to $129.8 million from $105.6 million [16]. - The full-scale prototype will undergo test flights starting in mid-2025, but these will not count towards certification [36]. - Free cash flow for the year was reported as net cash used by operating activities of $(136.0) million, compared to $(94.5) million in the previous year [104]. - The net loss for 2024 was $138.168 million, compared to a net loss of $127.658 million in 2023 [95]. Cash Position and Liquidity - The total cash consumption for Q4 2024 was $39.9 million, up from $24.5 million in Q4 2023, driven by R&D costs and SG&A expenses [15]. - Eve's cash position at the end of 2024 was $303.4 million, up from $241.1 million at the end of 2023, reflecting new loans and a private placement [19]. - Total liquidity increased to $428.6 million as of December 31, 2024, up from $316.3 million in 2023, representing a 35.4% growth [103]. - The company reported net cash provided by financing activities of $203.0 million in 2024, a significant increase from $24.9 million in 2023 [104]. - Cash and cash equivalents at the end of 2024 were $56.366 million, up from $46.882 million in 2023 [98]. Research and Development - Research and development expenses for 2024 reached $129.844 million, an increase of 23% from $105.581 million in 2023 [95]. - Eve plans to initiate flight tests for its full-scale prototype by mid-2025, following extensive ground tests currently underway [25]. - The company aims to invest between $80 million and $90 million for the customization of its production facility in Taubaté, Brazil, to accommodate initial production efforts [40]. - Eve's aircraft design aims for a range of 60 miles (approximately 100 kilometers) and is focused on reducing sound levels compared to conventional helicopters [92]. - The company is engaged in developing advanced air mobility (AAM) market dynamics to enhance services offered at vertiports [81]. Customer and Market Engagement - Eve has a backlog of approximately 2,800 non-binding Letters of Intent (LOIs) from 28 customers across 9 countries, providing strong long-term revenue visibility [8]. - The company has secured 21 customers for its Urban Air Traffic Management software, Vector, enhancing its service offerings [8]. - The current client base consists of 28 customers, with no single client representing more than 14% of the total order book, and fixed wing operators account for 40% of the orders [86]. - Non-binding service contracts are expected to generate potential revenues of $1.6 billion during the initial years of vehicle operation [90]. - Eve has signed a letter of intent with Helicopters Inc. for up to 50 eVTOLs, including service support and urban air traffic management software [67]. Strategic Partnerships and Collaborations - The company is collaborating with Signature Aviation to research ecosystem requirements for Advanced Air Mobility ground operations [71]. - Eve's Urban ATM software solution is being explored for implementation in India through a partnership with JetSetGo [74]. - The company continues to engage with regulatory authorities, including ANAC and FAA, to strengthen relationships and advance the certification process [53]. - Eve has secured funding of $35 million from BNDES for eVTOL development in 2025, following a $92.5 million line of credit in 2022 and a $50 million investment from Citibank [63]. - Management emphasizes the importance of non-GAAP measures, such as total liquidity and free cash flow, to provide better insights into the company's financial health [102]. Future Outlook - Eve plans to initiate the production of the first certification compliant prototype in 2025, with five prototypes for its certification campaign [33]. - The company expects total cash consumption between $200 million and $250 million in 2025, compared to $141.2 million in 2024 and $94.7 million in 2023 [42]. - Future outlook includes potential growth driven by new product developments and market expansion strategies [106]. - Management acknowledges risks and uncertainties that may impact future performance, as outlined in their risk factors [106]. - The company plans to participate in multiple investor events, including the 2025 Cantor Fitzgerald Global Technology Conference and the J.P. Morgan 2025 Industrials Conference, indicating ongoing engagement with investors [100].