EHang Holdings Limited (NASDAQ:EH) Q1 2020 Earnings Conference Call - Final Transcript
May 29, 2020 • 08:00 am ET
Richard Jian Liu
COVID-19 pandemic, our adjusted operating loss in Q1 increased by 18.8% to RMB19.2 million, while adjusted operating margin improved by 52.7 percentage points from negative 154.7% to 102%. And adjusted net loss in Q1 was RMB18.5 million, increased by 13.4% year-over-year. Owing to the significant year-over-year revenue growth, the adjusted net margin improved by 57.8 percentage points from negative 156% to 98.2%.
Turning to our balance sheet and cash flow. We ended the quarter with RMB257 million in cash, cash equivalent and short-term investments.
In summary, we generated solid financial results in Q1, despite unprecedented coronavirus impact. The lock-downs and restrictions implemented in China and elsewhere has some adverse impacts on customer demand and supply chain. Nonetheless, we are pleased to have achieved 80.3% revenue growth. As a young company, however, we will continue to invest heavily in technology and talent to accelerate the commercialization of our products and solutions.
We think we can sustain our momentum, if the COVID-19 situation would be under control. We have seen solid recovery since mid-March. We are optimistic about our potential in 2020 and the long-term promise of the UAM industry. We're confident in our ability to lead this industry.
As a newly public company, EHang has been actively interacting and communicating with our investors. We believe that transparency is key to earning the trust of our shareholder community. In March, we successfully conducted two virtual conference calls with our investors and analysts. We were pleased to see many interested investors, analysts join our calls and to discuss business developments. And going forward, we intend to increase our interactions with investors and further improve our transparency.
Now, let's turn to the business outlook. We're not changing our annual guidance at this time. We're confident that we can achieve accelerated annual revenue growth of at least 200%. We also believe we can achieve adjusted operating profit for the full-year 2020.
With that we conclude our prepared remarks for today. Let's now open the call for questions. Operator, please go ahead.