EHang Holdings Limited Q3 FY2025 earnings call

• Product Portfolio: Expanded product line in 2025, launching the VT35 next-generation long-range lifting cruise pilotless human-carrying eVTOL in October. Also developing next-generation models like firefighting variants, logistics aircraft, and two-seater configurations. Joint venture with Chang'an Automobile Yeon Zhihang for co-design and development of next-generation product line.
• Industrial Development: Deepened cooperation with Menthe group for lightweight structural components and intelligent cabin systems. Joint venture with Empower Yunfoo Yihon in trial production at Yunfu base. Facilities in Hefei, Weihai, and Beijing progressing as planned, forming full value chain layout.
• International Expansion: Made progress in Asia, Middle East, and Africa. Achieved trial operations under Thailand's regulatory sandbox program, completed Mideast's first intracity pilotless human-carrying eVTOL flight in Qatar, and ongoing flights and regulatory engagements in Africa and Japan.
• Policy Support: Benefiting from China's fifteenth five-year plan and local government support, such as Hefei government's RMB 500 million support for VT35 product hub.
• Non-Passenger Business: Actively expanding non-passenger business like emergency firefighting, logistics, urban inspection, and drone light shows. GD4.0 drone has secured firm orders for 3,000 units and customer purchase intentions exceeding 10,000 units.

In Q3 2025, EHang Holdings Limited generated RMB 92.5 million in total revenue and delivered 42 units. The EH216S focuses on intracity transportation, while the VT35 addresses intercity and regional transportation, covering major metropolitan clusters. The EH216S contributed to intracity revenue, and the VT35, with its RMB 6.5 million standard version presale price in China, is expanding into intercity and regional application scenarios, with revenue contribution from both segments expected to grow as they complement each other in the low altitude economy.

• Maintained full-year revenue guidance of approximately RMB 500 million.
• Plan to expand the Thailand sandbox project to Pattaya, Colon, Phuket, and Koh Samui.
• Steadily preparing for official commercial operations of the 216S in China, with certified operators conducting trial operations and preparing for point A to B route trials.

• Forward-looking statements involve inherent risks and uncertainties, actual results may differ materially from expectations.
• Regulatory uncertainties in overseas markets and potential delays in certification and commercial operation approvals.

Q: Joey from Morgan Stanley asked about the sandbox initiative timeline, transition from trial operations to official commercial operations, and expansion to other Southeast Asian countries.

A: In October, Thailand approved the Bangkok sandbox initiative. Goal is to officially commence eVTOL commercial operations in the next three months. Planning to expand the sandbox to four regions and engaging with SE Asian countries like Cambodia, Malaysia, and Singapore.

Q: James Zu inquired about the expansion into unmanned product portfolios and their contribution to revenue and profit.

A: The low altitude economy includes both manned and unmanned business. Unmanned products like firefighting drones, drone light shows, etc., are part of diversification strategy to increase revenue and build a comprehensive product portfolio.

Q: Chen Yu asked about VT35 airworthiness application and the decline in gross profit margin.

A: VT35 type certificate application was formally accepted by CAAC in March, with airworthiness review progressing steadily. Gross profit margin decline was due to repeat purchases with discounts from existing customers and distributors.