NYSE$EVEX
Eve Holding Inc · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Eve reported a net loss, driven by increased R&D and SG&A expenses, which were partially offset by financial investment income and FX gains.
Eve Air Mobility reported a net loss of $31.2 million in Q3 2023, compared to a net loss of $36.7 million in Q3 2022. The increased losses were primarily due to higher Research & Development (R&D) and Selling, General & Administrative (SG&A) expenses, partially offset by financial investment income and FX gains. Total liquidity, including undrawn BNDES credit lines, stood at $342.5 million.
- Net loss was $31.2 million in Q3 2023, compared to $36.7 million in Q3 2022.
- R&D expenses doubled to $28.6 million, driven by the Master Service Agreement (MSA) with Embraer.
- Total cash consumption was $22.4 million in Q3 2023, compared to $17.3 million in Q3 2022.
- Cash, cash equivalents, financial investments, and related-party loan with Embraer totaled $256.4 million at the end of Q3 2023.
Headline financials
Revenue & EPS history
Eve · Revenue · Quarterly
$44.7M
Forward guidance
Eve anticipates total cash consumption between $130 and $150 million for 2023, primarily in the eVTOL development program and SG&A expenses. They expect to continue drawing from BNDES credit lines through the end of 2024 and are confident that their current liquidity is sufficient to fund operations well into 2025.
Tailwinds
- Expects to continue drawing from BNDES credit lines through the end of 2024.
- Confident that current liquidity is sufficient to fund operations well into 2025.
- Eve anticipates 2023 total cash consumption to be closer to the low end of the expected range of $130 to $150 million.
- Initiated the Joint-Definition Phase (JDP) of development program.
- Eve received initial funds from Brazil’s National Development Bank to support eVTOL development
Headwinds
- Expects sequentially higher investments and expenses in the quarters ahead due to intensifying engineering engagement as well as potential supplier payments.
- Additional program activities will require an increase in the number of engineering hours and the acquisition of raw materials and parts/components to continue building full-scale prototype.
- Potential supplier payments will now occur in 2024 given Eve’s continuous effort to preserve cash, shifting cash outflow and payments to the right from 4Q23 to 1Q24 onwards.
- Will continue to select suppliers and receive equipment during the remainder of 2023 and first half of 2024 that will trigger additional cash consumption in the coming months.
- Cash-consumption estimates are calculated using an expected exchange rate of R$5.20/US$1 for the full year of 2023
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 13 quarterly earnings reports · overlaid with Q3 2023
-1.2%
Avg return
Earnings day
+2.7%
Avg return
5 days after
+9.6%
Avg return
30 days after
26%
5 / 19 earnings
Positive
+5.1%
Q4 2022
Best reaction
-6.0%
Q3 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2026 | -2.0% | +13.7% | +10.6% | |
| Q3 2025 | -3.9% | +0.0% | +22.0% | |
| Q1 2025 | -2.6% | +19.8% | +42.5% | |
| Q4 2024 | -1.6% | +13.7% | +15.2% | |
| Q3 2024 | -6.0% | +4.6% | +43.5% | |
| Q1 2024 | -2.9% | -5.1% | -11.3% | |
| Q4 2023 | +0.8% | +1.0% | +4.4% | |
| Q3 2023 | -0.9% | -6.0% | -8.5% | |
| Q2 2023 | -4.6% | -7.6% | -3.6% | |
| Q1 2023 | +2.8% | +3.2% | +2.8% | |
| Q4 2022 | +5.1% | +7.1% | +26.3% | |
| Q3 2022 | -3.6% | -3.0% | -1.1% | |
| Q2 2022 | -0.8% | -6.3% | -17.6% | |
| Q1 2022 | -2.2% | — | — | |
| Q2 2021 | -0.1% | — | — | |
| Q4 2021 | -0.1% | — | — | |
| Q3 2021 | +0.0% | — | — | |
| Q1 2021 | -0.2% | — | — | |
| Q4 2020 | +0.1% | — | — |
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