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    EVEX
    Earnings call· Jun 2026(Q2 FY26)

    Eve Holding Q2 FY26 earnings call EVEX

    Aug 4, 2026 Source

    Executive summary

    Eve Holding, Inc. Q2 FY26 — Transition Flight Progress & Embraer Synergies Drive Confidence

    Eve Holding made significant progress in Q2 FY26, advancing its full-scale prototype to partial transition flight and validating 150 test points. The company secured new LOIs, expanding its pre-order backlog, and is actively realizing substantial synergies with Embraer, reinforcing its financial runway through 2028. The focus remains on achieving full transition flight by year-end and preparing for conforming prototype assembly in 2027.

    Highlights

    5

    • The full-scale prototype flew 66 times, logged 2 hours 46 minutes of airtime, and entered the partial transition flight phase at 30 knots.

    • Secured two new LOIs for 46 aircraft, increasing the total pre-order backlog to 2,700 aircraft valued at $13.5 billion.

    • Identified $100M-$150M in potential synergies with Embraer over the next three years, with part already captured in FY26.

    • Ended Q2 FY26 with $403M in cash and $531M in total liquidity, which is believed to be sufficient to support operations through 2028.

    • Q2 FY26 R&D expenses were lower at $29M, reflecting better-than-expected agreements and development updates.

    Concerns

    2

    • R&D levels are expected to return to around $50M per quarter after Q2's lower $29M.

    • Full transition flight timing has shifted slightly to 'by the end of this year' (Q4 FY26) from previous indications of Q3.

    Guidance & targets

    10
    CategoryTargetConfidence
    Full transition flight completion
    By the end of this year
    high materiality
    High
    Conforming prototype first flight
    Second half of 2027
    high materiality
    High
    Certification and entry into service
    2028
    high materiality
    High
    Full-year 2026 cash burn
    Close to the midpoint of our guidance between $225 and $275 million
    high materiality
    High
    Potential synergies with Embraer
    $100 to $150 million
    high materiality
    High
    R&D expenses
    Around 50 million per quarter
    medium materiality
    High
    Capex investments
    Around 20 million dollars
    medium materiality
    High
    Capex investments
    Around 50 million
    medium materiality
    High
    Capex investments
    Around 30, 40 million
    medium materiality
    High
    EASA certification validation
    12 to 15 months after ENAC and FAA
    low materiality
    Medium

    Operational metrics

    17
    Cash balance
    $403 million
    Q2 FY26

    Cash on hand at the end of the second quarter.

    Total liquidity
    $531 million
    Q2 FY26

    Total liquidity at the end of the second quarter, including credit facilities.

    Cash burn
    $118 million
    H1 FY26

    Total cash consumption for the first half of 2026.

    Cash consumption
    $49 million
    Q2 FY26

    Cash consumption during the second quarter of 2026.

    Research and development (R&D) expenses
    $29 millionLower than around $55 million in previous quarters
    Q2 FY26

    R&D expenses for the second quarter, reflecting better agreements and development updates.

    Selling, General & Administrative (SG&A) expenses
    $8 millionMostly stable
    Q2 FY26

    SG&A expenses for the second quarter, reflecting synergy capture and cost control.

    Net loss
    $34 million
    Q2 FY26

    Net loss for the second quarter, including R&D and SG&A.

    Synergies with Embraer
    $100 million to $150 millionLess than one-third captured in FY26
    Next three years

    Identified potential synergies to reduce cash burn until certification.

    Capital expenditure (Capex) for modular production
    ~$100 million
    FY26-FY28

    Total planned investment for manufacturing facilities.

    Prototype flights
    66
    YTD

    Number of flights completed by the full-scale prototype.

    Prototype airtime
    2 hours 46 minutes
    YTD

    Accumulated airtime logged by the prototype.

    Test points validated
    150
    YTD

    Specific aircraft components or flight metrics validated during the flight campaign.

    Current transition speed
    30 knots
    Q2 FY26

    Speed achieved during the partial transition flight phase.

    Flights remaining to full transition
    30 to 40
    Future

    Estimated number of flights needed to complete the full transition phase.

    Ironbird testing hours
    15,000
    Accumulated

    Accumulated testing hours on physical infrastructure, including the second Ironbird dedicated to flight control system integration.

    Employees (EVERs)
    176
    Q2 FY26

    Number of direct employees at EVE.

    Embraer MSA personnel
    800
    Q2 FY26

    Number of Embraer personnel involved through the Master Service Agreement.

    Industry KPIs

    4
    MetricValueDetails
    Total company backlog$13.5 billionUSD
    Aftermarket services split$1.4 billionUSD
    Unit deliveries by program66flights
    Production capacity expansion~$100 millionUSD

    Orderbook & backlog

    1
    Total pre-order backlog2,700 aircraftQ2 FY26

    Valued at approximately $13.5 billion at list price. Includes 100 firm orders and new LOIs for 46 aircraft.

    Product announcements

    2
    ProductTypeDetails
    Full-scale prototype (eVTOL)milestone
    Conforming prototype (EVE-100)roadmap

    Deals & partnerships

    6
    MOVELetter of Intent for eVTOL operations

    LOI for 46 aircraft for operations in Cabo Verde, focusing on ecotourism.

    Shearwaters (Bayport Capital Company)Letter of Intent with a new lessor

    LOI for aircraft, adding to the leasing community segment of the backlog. Shearwaters was recently purchased by Bayport Capital Company.

    HitachiNon-exclusive partnership for VertiPort infrastructure

    Partnership to ensure VertiPorts are reliably connected to power grids, equipped for high-demand, high-frequency operations, including fast charging and integration into existing energy systems.

    Florida Department of TransportationPartnership for UAM infrastructure and operations

    Focuses on delivering insights into infrastructure, operational procedures, and airspace navigation needed to integrate UAM into Florida's transportation network.

    EmbraerStrategic synergies and Master Service Agreement$100 million to $150 million (synergies)Next three years

    Collaboration across EVE's structure, engineering activities via MSA, and industrialization by leveraging Embraer's existing assets and facilities to reduce costs and avoid duplication.

    CAEJoint venture for training services (ECTS)

    ECTS is a joint venture between CAE and Embraer, providing training for pilots and mechanics, part of Eve's TechCare solution.

    Capital programs

    1
    Modular Production Capacityunderway~$100 million
    Period spend: $20 million (FY26); $50 million (FY27); $30-40 million (FY28)
    Funding: Leveraging existing Embraer facilities
    Start: FY26

    Benefit: Modular production capacity, scalable with demand

    Investment plan to establish manufacturing facilities, utilizing Embraer's existing infrastructure to optimize costs and efficiency.

    Risks & headwinds

    2
    Increased R&D expensesGoing forward (post Q2 FY26)

    Expected to return to around $50 million per quarter

    Mitigation: Synergies with Embraer are expected to help manage overall cash burn.

    Potential delay in full transition flight completionQ4 FY26

    Shifted to 'by the end of this year' (Q4 FY26) from previous Q3 indications

    Mitigation: The company is progressing with 30-40 flights remaining and is confident in achieving the milestone by year-end.

    What to watch in Q3 FY26

    4

    Full transition flight completion

    By end of FY26
    CurrentPartial transition at 30 knots, 30-40 flights remaining
    TargetFull transition (60-90 knots, lifters off)

    Why it matters

    This is a key technical milestone for aircraft development and a critical step towards certification.

    In the coming weeks, speed will progressively increase to 60 knots and then to 80-90 knots to complete the full transition. At that moment, lifters will be powered off and all lift will come from air passing through the wing, flying like an airplane. This is the aircraft's ultimate mission.

    Q&A highlights

    5

    Could you provide CapEx guidance for the second half of the year and clarify how much of the $100M-$150M Embraer synergies have been realized?

    Eduardo Couto detailed CapEx plans: $20M for FY26, $50M for FY27, and $30M-$40M for FY28, totaling around $100M for modular production, leveraging Embraer facilities. He stated that less than one-third of the $100M-$150M synergies are being captured in FY26, with the remainder in FY27-FY28, supporting the cash burn guidance.

    “I believe one little. less than one-third of those synergies come this year and the rest comes in 2027 and 2028. Regarding CAPEX, for the manufacturing, that's another area that we have been doing a lot of studies how to be more efficient. We... we are going to be able or we are studying to use the existing Embraer facilities as much as possible so that we can only invest in manufacturing facilities as later as possible. probably this year we're talking about 20 million dollars in capex investments next year this number should go higher something around 50 million and probably another 30, 40 million in 2028.”

    asked by Savanthi Syth · answered by Eduardo Couto

    2 min read6 chapters

    Detailed Narrative

    01

    Flight Test Campaign Progress

    The full-scale prototype completed 66 flights and 2 hours 46 minutes of airtime, successfully entering the partial transition phase at 30 knots (35 mph). This milestone followed a three-month ground test period for software upgrades and integration of critical systems. The campaign has validated 150 test points, demonstrating the effectiveness of the building block concept and providing confidence for further envelope expansion towards full transition by year-end.

    02

    Certification Pathway Advancements

    Eve is making steady progress on certification with Brazilian authority ANAC, with means of compliance almost completed. ANAC has opened a new consultation on updated airworthiness certification bases, aligning requirements with the FAA, and published proposed noise certification criteria for the EVE-100. EASA certification validation is expected 12 to 15 months after ANAC and FAA approvals, paving the way for European market entry.

    03

    Infrastructure Development and Partnerships

    To support future operations, Eve has partnered with Hitachi, a global technology leader, to ensure VertiPorts are reliably connected to power grids, equipped for high-demand operations, and capable of fast charging. Additionally, a partnership with the Florida Department of Transportation focuses on infrastructure, operational procedures, and airspace navigation for safe UAM integration into Florida's transportation network.

    04

    Conforming Prototype Development and Timeline

    The Critical Design Review (CDR) with 21 suppliers for the conforming prototype is underway, aiming to freeze the aircraft's design by the end of FY26. Six conforming prototypes will be built in FY27, with the first crewed flight planned for the second half of 2027. These prototypes will serve distinct testing purposes, from envelope expansion to systems and cabin integration, leading to certification and entry into service in 2028.

    05

    Embraer Synergies and Financial Runway

    Eve is actively capturing $100M-$150M in potential synergies with Embraer over the next three years, with less than one-third expected to be realized in FY26. These synergies span EVE's organizational structure, master service agreements, and industrialization efforts, including leveraging existing Embraer facilities to reduce capital expenditures. This strategy reinforces the company's confidence in funding operations through 2028 with current liquidity.

    06

    Backlog Expansion and Market Strategy

    The company announced two new Letters of Intent (LOIs) for 46 aircraft at the Farnborough Airshow, bringing the total pre-order backlog to approximately 2,700 aircraft valued at $13.5 billion. These LOIs include operations in Cabo Verde with MOVE for ecotourism and a new lessor, Shearwaters (Bayport Capital Company), highlighting a strategy to serve both direct operators and leasing companies, mirroring established aeronautical business models.

    AI-generated summary of the company’s earnings call. Not investment advice.