Core Viewpoint - The eVTOL (electric vertical takeoff and landing) industry is poised for growth in low-altitude tourism, with plans to implement eVTOL projects in 100 scenic spots over the next three years, driven by companies like EHang Intelligent [1][4]. Group 1: Industry Trends - eVTOL technology is advancing, with a focus on low-altitude tourism as a key commercial application, while emergency rescue operations may achieve commercialization sooner than urban transportation [1][4]. - The choice of "unmanned" technology by EHang Intelligent provides a competitive edge, allowing for safer and more efficient operations compared to traditional manned aircraft [2][3]. Group 2: Operational Challenges - Despite technological advancements, large-scale commercial operations of eVTOLs face challenges such as the need for low-altitude infrastructure, regulatory frameworks, and public acceptance [1][6]. - The establishment of comprehensive airworthiness standards for eVTOLs is still in progress, with significant variations across countries affecting international certification [2][4]. Group 3: Market Position and Strategy - EHang Intelligent has accumulated a significant number of orders, with over a thousand new purchase and pre-order agreements since obtaining airworthiness certification [4]. - The company aims to leverage low-altitude sightseeing as an entry point to gather operational data and experience, which will support future applications in urban air mobility [5][6]. Group 4: Infrastructure and Public Awareness - Development of low-altitude infrastructure is critical, including ground facilities and digital management networks to ensure safe operations [6]. - There is a call for enhanced training and public education regarding low-altitude economic applications to foster acceptance and understanding of eVTOL technology [6].

Core Viewpoint - The eVTOL (electric vertical takeoff and landing) industry is advancing in China, with plans to implement low-altitude tourism projects in 100 scenic areas over the next three years, driven by companies like EHang [1][7]. Group 1: Industry Trends - Low-altitude tourism is emerging as a key commercial application for eVTOL, with a focus on government and scenic area operators as primary clients [1][7]. - The emergency rescue sector is expected to achieve commercial viability sooner than urban transportation [1]. - EHang's COO emphasizes the importance of developing low-altitude infrastructure and regulatory frameworks to support large-scale commercial operations [1][8]. Group 2: Technological Differentiation - EHang has chosen an "unmanned" technology route, which is believed to provide a competitive edge over "manned" systems [2][5]. - The unmanned approach reduces the risk of human error and allows for safer and more efficient management of flight operations [3][5]. - EHang's EH216 series represents a significant technological advancement, requiring the establishment of new safety standards and operational frameworks [3][5]. Group 3: Market Position and Orders - Since obtaining airworthiness certification, EHang has received over 1,000 domestic orders and pre-orders, primarily from the ToB and ToG sectors [7]. - The cost advantages of unmanned aerial vehicles over traditional helicopters make them suitable for low-altitude tourism [7]. - EHang plans to leverage tourism as an entry point to gather operational data and experience for future urban air mobility applications [7]. Group 4: Infrastructure and Regulatory Needs - The development of low-altitude infrastructure, including takeoff and landing sites, charging stations, and digital management networks, is crucial for the industry's growth [8]. - Regulatory frameworks for airspace management and low-altitude economic legislation need to be refined to facilitate industry expansion [8]. - There is a call for enhanced talent development and public awareness regarding low-altitude economic applications [8]. Group 5: Future Outlook - EVTOLs are expected to become an integral part of daily transportation, akin to subways and buses, although widespread adoption will take time [9]. - The synergy of technology, infrastructure, and policy advancements is accelerating the transition of low-altitude economic concepts into reality [9].

Core Viewpoint - In Q2 2025, EHang Intelligent achieved revenue of 147 million yuan, representing a year-on-year increase of 44% [2][3][10]. Financial Performance - In Q2 2025, the total revenue was 147 million yuan, up 44.2% year-on-year and 464.0% quarter-on-quarter. The net profit attributable to shareholders was -80.79 million yuan, compared to -71.54 million yuan in the same period last year [3][11]. - The adjusted net profit (excluding stock incentive expenses) for Q2 2025 was 9.65 million yuan, compared to 1.25 million yuan in the same period last year [3][11]. - The gross margin for Q2 2025 was 62.6%, with a year-on-year increase of 0.2 percentage points and a quarter-on-quarter increase of 0.1 percentage points [5][21]. Operational Milestones - EHang received the first batch of operational certificates (OC) for manned civil unmanned aerial vehicles from the Civil Aviation Administration of China (CAAC) on March 28, 2025, marking the official start of commercial operations in the low-altitude economy [6][34]. - The company has over 1,300 new purchase orders and pre-orders from Q3 2023 to June 2025, with more than 150 new orders for the EH216 series received in Q2 2025 [7][26]. Product Development and Market Expansion - EHang's EH216 series aircraft delivered 68 units in Q2 2025, representing a year-on-year increase of 38.8% and a quarter-on-quarter increase of 518.2% [3][11]. - The company has expanded its global flight operations to 21 countries, with successful test flights in Mexico, Indonesia, the Dominican Republic, and Africa [31][32]. Strategic Partnerships - EHang announced a strategic partnership with Guoxuan High-Tech in June 2025 to enhance the power system of the EH216 series [45]. - In July 2025, EHang entered into a strategic cooperation with Minth Group to develop high-safety fuselage systems for eVTOL aircraft [46]. Future Product Development - The next-generation VT35 eVTOL is undergoing internal testing and is expected to be officially launched in September 2025. The project will be supported by a total investment of approximately 1 billion yuan [49][50].

Financial Data and Key Metrics Changes - Total revenues for Q2 2025 were RMB 147.2 million, representing a 44% year-over-year increase and a significant sequential increase of 4.6 times compared to Q1 2025, primarily driven by increased sales volume of EH216 series products [34][6][33] - Gross profit for Q2 was RMB 92 million, showing both year-over-year and sequential growth [34] - Gross margin in Q2 was 62.6%, stable compared to 62.4% in both Q2 2024 and Q1 2025, indicating sustained market competitiveness [35] - Adjusted net income was RMB 9.4 million, a 19.9% increase from RMB 1.2 million in 2024, marking a turnaround from an adjusted net loss of RMB 31.1 million in Q1 2025 [36] Business Line Data and Key Metrics Changes - The company successfully delivered 68 units of the EH216 series, generating total revenues of RMB 147 million, reflecting strong market demand [6] - New orders for over 150 units of the EH216 series were received in Q2, indicating robust market interest and confidence in the products [6][18] - The EH216 S completed over 10,000 safe flights without incidents, underscoring its safety and reliability [6] Market Data and Key Metrics Changes - The company delivered aircraft to 13 enterprise clients across various regions in China and one international client in Japan, expanding its customer base [17] - 90% of the new orders were from domestic clients, while 10% were from overseas customers, indicating a growing demand for pilotless vehicles in international markets [52] Company Strategy and Development Direction - The company is focusing on establishing a proven scalable business model for pilotless eVTOL operations, emphasizing safety, regulatory compliance, and innovation as cornerstones for leadership in the market [16] - A strategic partnership with the Hefei municipal government was signed to establish a VT35 series product hub, integrating R&D, manufacturing, and operations [12] - The company is committed to collaborating with leading academic institutions to advance critical technologies in the low altitude economy [13] Management's Comments on Operating Environment and Future Outlook - Management emphasized that the adjustment in revenue guidance is not due to weak demand but a commitment to safety and sustainable operations [45][24] - The company is confident in achieving the full-year revenue target of RMB 500 million based on the current order backlog [46] - Management highlighted the importance of supporting existing customers to ensure safe and orderly commercial operations [15] Other Important Information - The company raised over USD 23 million through an at-the-market offering, which will be used for R&D, team expansion, and commercial operations [37] - The company is pursuing type certification in Brazil and a special flight permit in Chile, indicating ongoing international expansion efforts [31] Q&A Session Summary Question: Reasons behind the revenue guidance cuts - Management clarified that the adjustment is due to a strategic focus on providing support services to existing clients and maintaining safety as a core principle, not due to insufficient market demand [45] Question: Update on operating certificates (OC) for clients - Management provided an update on the phased operational approach of the two operators who obtained OCs, emphasizing the strong interest from existing and potential customers [47][48] Question: Breakdown of order backlog - Management indicated that 90% of the new orders are from domestic clients and 10% from overseas customers, with significant demand noted from international markets [52][53] Question: Plans for the VT20 model and airworthiness certification - Management confirmed that the VT20 series logistic aircraft does not require airworthiness certification, while larger models are in the process of certification [56] Question: Production capacity and CapEx plans - Management stated that the annual production capacity of 1,000 units will continue as planned, with CapEx for 2025 remaining unchanged at USD 14 million [69] Question: Business model as a UAV service provider - Management explained that the company will act as both an eVTOL producer and an operation service provider, focusing on sustainable long-term commercial operations [72] Question: Support from Hefei government for VT35 - Management detailed that the support from the Hefei government includes orders, investments, and supply chain support, which will aid in the development of the VT35 model [76]

Financial Performance - In Q1 2025, the company reported total revenue of RMB 26.1 million, a 58% decrease compared to RMB 61.7 million in Q1 2024 [2] - Operating loss was RMB 89.9 million, compared to an operating loss of RMB 65.8 million in Q1 2024 [2] - Net loss amounted to RMB 78.4 million, compared to a net loss of RMB 63.4 million in Q1 2024 [2] - Gross margin improved to 62.4%, up 0.5 percentage points year-over-year and 1.7 percentage points from Q4 2024 [2] - The company sold and delivered 11 units of the EH216 series unmanned aerial vehicles [2] Regulatory Milestones - The company received the first operational qualification certificates (OC) for the EH216-S from the Civil Aviation Administration of China (CAAC), allowing commercial operations [3] - The EH216-S operators can conduct commercial passenger flights in designated bases within China [3] Product Development - The new long-range composite wing unmanned aerial vehicle, VT35, has entered the type certification application process with CAAC [3] - The first VT35 prototype has been produced for airworthiness verification and is undergoing flight tests [3] - The VT35 is expected to be launched in Q3 2025, expanding the company's product offerings [5] Production Capacity Expansion - The company has initiated the expansion of its Yunfu production base, increasing the factory area to 48,000 square meters and plans to boost annual production capacity to 1,000 units by the end of the year [4] - A strategic partnership has been established to build an advanced eVTOL production base in Hefei, integrating automation and standardization to meet market demand [4] International Market Expansion - The EH216-S successfully completed flight demonstrations in Spain and Mexico, expanding the company's global footprint to 19 countries [4]

Group 1: Event Overview - The fifth China International Consumer Products Expo (CICPE) took place in Haikou, Hainan from April 13 to 18, with the theme "Sharing Open Opportunities, Creating a Better Life" [2] - The expo showcased a variety of consumer hotspots, including green consumption, smart consumption, low-altitude economy, and service consumption, with a significant focus on automotive products [2] Group 2: Smart New Energy Vehicles - Numerous domestic and international car manufacturers presented their smart new energy vehicles, highlighting advancements in technology and electrification [3] - Tesla showcased its updated Model Y and Cybertruck, along with the Tesla Bot, a humanoid robot with enhanced capabilities [4] - Huawei displayed its HarmonyOS ecosystem, featuring models like the AITO M9 and M8, demonstrating the integration of smart home and automotive technologies [4] - Haima Automobile introduced the Haima 7X-H hydrogen fuel cell vehicle, emphasizing Hainan's commitment to a hydrogen economy, with a range of 800 kilometers on a full tank [4] - Volkswagen Group (China) presented 11 models across its brands, showcasing its commitment to electric transformation and sustainable innovation [4] Group 3: Low-altitude Economy - The expo included a dedicated area for low-altitude economy, featuring companies like EHang and XPeng, focusing on drone manufacturing and low-altitude transportation systems [5] - XPeng's flying car, "Land Carrier," is designed for both ground and aerial travel, with over 4,000 pre-orders and a planned launch in 2026 [5][6] - EHang's EH216 series of autonomous aerial vehicles aims to provide safe and eco-friendly low-altitude travel solutions, with commercial operations expected to begin later this year [6] Group 4: Consumer Engagement and Activities - The expo featured various automotive activities to stimulate consumer interest and showcase smart transportation technologies [8] - Hainan is a pilot province for intelligent connected vehicles, with extensive testing areas for autonomous vehicles [8] - The "China Hainan 2025 New Energy Vehicle Test Drive Tour" showcased 46 vehicles from 25 brands, highlighting Hainan's advancements in smart transportation infrastructure [9] Group 5: Economic Impact and Future Outlook - The expo attracted over 4,100 brands from 71 countries, reflecting China's strong consumer potential and economic vitality [10] - New energy vehicles are expected to play a crucial role in driving consumption and promoting high-quality economic growth in China [10]

Financial Data and Key Metrics Changes - In Q4 2024, the company delivered 78 units of the EH216 series, generating revenues of RMB 164 million, representing a year-over-year increase of 239.1% [6] - For the full year 2024, total deliveries reached 216 units, with total revenue of RMB 456 million, marking a year-over-year increase of 288.5% [6][27] - The company achieved positive adjusted net income for the first time, with an annual adjusted net income of RMB 43.1 million, a significant improvement from an adjusted net loss of RMB 139 million in 2023 [30] - The gross margin for Q4 was 60.7%, slightly down from 64.7% in Q4 2023, while the annual gross margin for 2024 was 61.4%, down from 64.1% in 2023 [27][28] Business Line Data and Key Metrics Changes - The EH216S autonomous eVito received significant orders, including 30 units from Shandong province and 30 units from Zhejiang province, contributing to the record deliveries in Q4 [16] - The company is focusing on enhancing production efficiency and scaling production capabilities to meet growing order demands [16][17] Market Data and Key Metrics Changes - The low altitude economy was highlighted as a strategic emerging industry in China's government work report, with local governments in over 50 cities introducing development plans for the sector [7][8] - The company has established over 20 operational demonstration sites across 16 cities in China, indicating strong market penetration [9] Company Strategy and Development Direction - The company aims to launch operational demonstration projects in key cities to allow the public to experience eVito flights firsthand [10] - The focus for 2025 includes expanding urban air mobility (UAM) operations and developing a comprehensive low altitude economy flight service system [21][22] - The company is committed to advancing technological innovation and operational demonstration of pilotless vehicles, aiming to lead the transformation of urban air mobility [15] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the strong demand for eVito products and operational services, projecting total revenue for 2025 to reach RMB 900 million, representing a 97% year-over-year increase [24][32] - The company is actively pursuing international market expansion, with flight demonstrations conducted in multiple countries, including Thailand, Japan, and Spain [23][55] Other Important Information - The company has achieved its first-ever annual positive operating cash flow of approximately RMB 160 million in 2024, demonstrating sustainable cash generation capabilities [31] - The company plans to invest in scaling production capacity and developing new models for emergency response and logistics [42][47] Q&A Session Summary Question: What is the added production capacity for the Hefei production facility by the end of 2025 and 2026? - The company plans to complete the capacity expansion for Yunfu Phase II this year, reaching a total annual capacity of 1,000 units [34][35] Question: What is the timeline for the IOC application and milestones expected? - The CAAC has completed inspections for two applicants, and the company is awaiting final regulatory approval, which will enable commercial operations [39][40] Question: When will the company achieve GAAP profitability? - The company expects to achieve quarterly GAAP profitability in the second half of 2024, with full-year GAAP profitability anticipated in 2026 [42] Question: What is the outlook for gross margin and financing plans in 2025? - The targeted gross margin is around 60%, with plans to diversify product offerings to support this goal [45][46] Question: What is the progress on the next generation lithium batteries and the VT35 product? - The company is pursuing fast charging and solid-state battery developments, aiming for mass production by the end of the year [67]