EHang Holdings Limited (NASDAQ:EH) Q2 2020 Earnings Conference Call - Final Transcript
Aug 25, 2020 • 08:00 am ET
[Operator Instructions] Our first question comes from the line of Tim Hsiao from MS. Please go ahead.
Hi, Mr. Hu, Richard and Edward, thanks for -- thanks for the call and also taking my question. So just three quick question. The first one, I think Mr. Hu just mentioned we start seeing some recovery across the board. So could you probably quantify or provide some updates how is the recovery pace of the domestic market and also the overseas?
And my second question is the -- more like the supply chain hiccup because I think June -- our past few calls, you mentioned during the COVID-19 pandemic, there is more like a supply chain bottleneck or disruption. So just wondering if that has all been back to normal and do we need to pay additional, like probably the additional upfront payments to secure component supply.
And my last question is about new project because I think Edward just mentioned about the new collaboration project on firefighting. And on top of the project Edward just shared, when can we expect more significant progress or when can we start monetizing those projects? Those are all my questions. Thank you.
Edward Huaxiang Xu
Okay. Thank you, Tim. So let me answer your first question. The first question is about the recovery pace of overseas operation, right, so -- and the impact on the -- on both domestic, right. So basically, you know that this COVID-19 pandemic is -- is quite a big surprise. And at the beginning, I think we see more impact on the domestic side. But now, it's switched to the overseas market. So our focus is more on the European side -- the European market. And -- but we also have some clients in North America such as the ones in Canada and also the ones in Japan and Korea.
So I will start with Europe first. Right now, we still see -- we are monitoring the situation. And we see still lockdowns or travel restrictions in some of the European countries. That means that there are some negative impact on the operation of the 216 in Europe -- European market. But we also made some breakthroughs in the -- in the light show performance business, for example, because for this year, we are trying to penetrate the European market with our drone light show performance business. So right now, we are happy to see some breakthroughs with the progress going now.
And also, as you -- as you are aware of, the recent permit we have obtained in Canada and also in Norway. So we believe that if the COVID-19 pandemic gradually disappear, we are going to see the big progress in those market because, so far we have obtained the operation permit -- flight permit from those authorities. So I think that's very important because with that permit, we are able to do more demo flights in those markets. For example, we are actually planning a number of flights in Europe in