EHang Holdings Limited Q4 FY2025 earnings call

2025 was a pivotal year for EHang with strengthened business foundation and progress towards commercialization. Q4 saw strong results with first quarterly GAAP profitability. Flagship product EH216 - S commercial operation is entering final countdown. 2 OC certified operators plan to start offering EH216 - S flight services to public this month. 2026 core strategies include disciplined execution, strengthening foundation, advancing commercialization, operational ecosystem development and global expansion. R&D for core products had major breakthroughs, manufacturing capacity expanded, quality control maintained strict standards, and supply chain was strengthened.

In Q4 2025, quarterly eVTOL sales volume reached 100 units for the first time. Revenues grew significantly both year - over - year and sequentially. For the full year, delivered 221 units of eVTOL aircraft, generating RMB 509 million in revenues. Q4 2025 revenues were RMB 240 million. Gross margin in Q4 was 62.1%, and full - year gross margin was 62%.

2026 full - year total revenues are expected to reach RMB 600 million, representing a year - over - year increase of approximately 18%. Continue to advance commercial operations and sales of EH216 - S, expand nonpassenger business and further penetrate international markets.

No specific detailed risk discussion in the provided transcript

Q: [Peggy from Morgan Stanley] About ground operating crew license progress and Thailand project revenue contribution and volume ramp up.

A: Wang Zhao said operator training materials submitted to CAAC, first class expected in first half; Conor said expected to obtain first overseas commercial operation license following final approval from Thai CA, expecting revenue contribution to start in Q2 with possible dozens of units in 2026.

Q: [Wei Shen from UBS] About domestic low - altitude industry policy changes and overseas market sales guidance.

A: Wang Zhao said 15th 5 - year plan has elevated low - altitude economy to strategic pillar industry, policy support enhanced; Conor said overseas revenue expected to increase significantly in 2026, possibly moving into double digits.

Q: [Laura Li from Deutsche Bank] About RMB 600 million revenue guidance assumptions.

A: Wang Zhao said will proactively develop nonpassenger segment like emergency firefighting, logistics, etc.

Q: [Fuyin Liang from Bank of America] About China commercial operation fleet size, unit economy model and cost control.

A: Initially around 6 - 10 aircraft, early bird ticket RMB 299 covers flight costs; Conor said 2026 OpEx year - over - year growth rate expected lower than revenue growth rate.

Q: [Alan Lau from Jefferies] About fourth quarter strong delivery major clients and March commercial operation specifics.

A: Wang Zhao said growth due to year - long marketing efforts, key clients from Hefei, etc., expect repeat orders; Alan asked about app launch date and flight details, response was commercial operations in March, booking platform still being fine - tuned, flight for tourism, carrying 1 passenger.

Q: [Chen Yu from GUANGFA Securities] About OC application for existing clients and VT35 airworthiness application.

A: Wang Zhao said 2 clients with OC will be demos, ground crew training to begin in first half, client from Guizhou submitted OC materials; Feng Shuai said VT35 completed key tests, held first TCT meeting, aiming to obtain type certification in China within 2 years