GUANGZHOU, China - EHang Holdings Limited (NASDAQ:EH), a leader in urban air mobility technology, has publicly denied unfounded rumors that have been circulating among retail investors. The company clarified that there is no truth to the allegations connecting EHang to an investigation involving Chris Hu by the U.S. government.
The company's founder, Chairman, and CEO, Huazhi Hu, along with the management team, have no personal ties to the incident in question. EHang emphasized its commitment to maintaining transparency and compliance with regulatory standards in all its operations, both in China and the United States.
Despite these rumors, EHang continues to concentrate on its mission to advance and market autonomous aerial vehicle technology. The company is dedicated to delivering innovative solutions and creating long-term value for its shareholders.
EHang has always adhered to the highest standards of legal and ethical conduct, and it plans to take legal action against those who disseminate false information that could harm the company's reputation or the interests of its stakeholders.
The company has achieved significant milestones in the urban air mobility industry, including obtaining the world's first type certificate, production certificate, and standard airworthiness certificate for a passenger-carrying pilotless eVTOL aircraft from the Civil Aviation Administration of China. EHang's commitment to safe, autonomous, and eco-friendly air mobility remains strong as it continues to provide UAV systems and solutions across various sectors.
EHang urges investors and the public to look to official company communications for accurate and current information. The information for this article is based on a press release statement from EHang Holdings Limited.
In other recent news, EHang Holdings Limited has reported a remarkable nine-fold increase in both delivery volume and revenue year-over-year. The company, a leader in the autonomous aerial vehicle industry, has also attained a unique position by becoming the only eVTOL designer, developer, and manufacturer globally to hold three certifications for pilotless passenger-carrying eVTOL aircraft. The company's record-high delivery of 49 units of the EHang 216-S and revenue reaching RMB 102 million indicate a strong market demand, as evidenced by a significant surge in pre-orders.
EHang has been actively expanding its production capacity and investing in research and development for new eVTOL models and next-generation battery solutions. The company's debut flight of the EH216-S and the subsequent delivery of the first batch to Xishan Tourism for low-altitude tourism services mark significant milestones. Moreover, a Sales and Operations Corporation agreement was signed with KC Smart Mobility to purchase 30 EH216-S units.
EHang anticipates a third-quarter revenue of RMB 123 million and aims for a positive cash flow in 2024 and adjusted net income in 2025. The company is also pursuing regulatory approvals and certifications for commercial operations in overseas markets and plans to improve automation at its Yunfu factory and build a new assembly plant in Hefei. As per the company's projections, these enhancements aim to add 1,000 units to annual production next year.
InvestingPro Insights
In light of EHang Holdings Limited's (NASDAQ:EH) recent efforts to dispel rumors and maintain investor confidence, a look at the company’s financial health and market performance offers additional insights. According to InvestingPro data, EHang holds a market capitalization of $770.19 million and has demonstrated a substantial revenue growth of 343.66% over the last twelve months as of Q2 2024. This growth is further underscored by an impressive quarterly revenue surge of 919.58% in Q2 2024, reflecting the company's dynamic expansion in the urban air mobility sector.
The financial data also reveals that EHang has a strong gross profit margin of 63.04% for the same period, suggesting that the company is effectively managing its cost of goods sold and maintaining a healthy profit rate on its sales. Despite these positive indicators, the company is currently trading at a high Price / Book multiple of 9.61, which may suggest a premium valuation compared to its tangible assets.
InvestingPro Tips highlight that analysts are optimistic about EHang's sales growth in the current year, indicating potential for continued expansion in the market. However, it's also noted that analysts do not anticipate the company will turn a profit this year. EHang's balance sheet strength is evident as it holds more cash than debt, and its liquid assets exceed short-term obligations, providing financial flexibility and stability.
For investors seeking a deeper analysis of EHang's performance and potential, InvestingPro offers additional tips and metrics. In total, there are 11 InvestingPro Tips available, which can be accessed by visiting https://www.investing.com/pro/EH. These tips and data points can serve as valuable resources for making informed investment decisions regarding EHang Holdings Limited.
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