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Mar 31, 2023
Eve Q1 2023 Earnings Report
Reported increased net losses driven by R&D and SG&A expenses, partially offset by financial investment income and FX gains.
Key Takeaways
Eve Air Mobility reported a net loss of $25.8 million in Q1 2023, compared to a $10.0 million loss in Q1 2022. The increased loss was primarily due to higher Research & Development (R&D) and Selling, General & Administrative (SG&A) expenses, which was partially offset by financial investment income and FX gains. Total cash consumption for the quarter was $19.9 million, and the company's liquidity position at the end of Q1 2023 was $294.6 million. The company is progressing with the development of its eVTOL program, with plans to start assembling the first full-scale prototype in the second half of 2023.
Net loss increased to $25.8 million in Q1 2023 from $10.0 million in Q1 2022, driven by higher R&D and SG&A expenses.
R&D expenses rose to $21.5 million, mainly due to the Master Service Agreement (MSA) with Embraer.
SG&A expenses increased to $6.2 million, primarily due to the growth in the number of direct employees.
Liquidity position at the end of Q1 2023 was $294.6 million, with total liquidity, including undrawn credit lines, at approximately $390 million.
Eve
Eve
Forward Guidance
Eve's program development milestones and financial estimates for 2023 remain unchanged, with expectations to conclude the selection of main equipment suppliers in the first half of 2023 and start the assembly of the first full-scale eVTOL prototype during the second half of 2023, followed by the test campaign in 2024. Total cash consumption expected for 2023 remains in a range of $130 million to $150 million.
Positive Outlook
- Concluding the selection of main equipment suppliers in the first half of 2023.
- Starting the assembly of the first full-scale eVTOL prototype during the second half of 2023.
- Initiating the test campaign in 2024.
- eVTOL Development Program continues to advance including detailed negotiations with potential suppliers.
- Wind-tunnel tests to validate aerodynamic characteristics at RUAG in Switzerland was conducted.
Challenges Ahead
- Higher net losses were driven by higher Research & Development (R&D) expenses.
- Higher net losses were driven by an increase in Selling, General & Administrative (SG&A) expenses.
- Eve’s total cash consumption expected for 2023 remains in a range of $130 million to $150 million.
- Initial order pipeline is based on non-binding letters of intent (LOI) and therefore subject to change.
- Eve is not yet producing revenues; we do not expect meaningful revenues during the development phase of our aircraft.