Eve Holding, Inc. (EVEX) Q3 2026 Earnings Call Transcript

Good morning, and welcome to the EVE Holding, Inc. 3rd Quarter 2026 Earnings Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then 1, on a touch-tone phone. To withdraw your question, please press star, then 2. Please note this event is being recorded. I would now like to turn the call over to Lucio Aldworth, Head of IR. Please go ahead.

Welcome to EVE's third quarter 2026 earnings conference call. Earlier today, we released our financial results for the quarter, which are available on our investor relations website. Joining me on today's call are Johan Bourdais, Chief Executive Officer, and Eduardo Couto, Chief Financial Officer. During the call, Johan will provide an overview of our quarterly performance, strategic initiatives, and progress in our development process. Edu will then... Review our financial results in greater detail and discuss our outlook. Following our prepared remarks, we will open the call for questions, at which point Marcelo Basili, our Chief Flight Prototype Engineer, will join us to address more technical questions. Before we begin, please note that today's discussion may include forward-looking statements regarding future events, operating performance, and financial results. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Additional information regarding these risks can be found in today's earnings release and our filings with the SEC. We will also discuss certain non-GAAP financial measures. Reconciliations of these measures to the most directly comparable GAAP measures are included in our earnings materials and are available on our Investor Relations website. Now, I'll turn it over to our CEO, Johan.

Thank you, Lucio. Good morning, everyone, and welcome to our third quarter 2026 conference call. We had a good quarter with several milestones that clearly demonstrate consistent progress in the development of our eVTOL and the surrounding ecosystem. After the inaugural flight of our engineering prototype last December, we went through a series of hover flights. After we concluded the planned ground test period with software update, we resumed our flight campaign with partial transition flight, where we started to engage the pusher with the lifter still powered on, and we gradually faster speed. That phase is now complete, and we plan on performing our first full transition flight by powering the lifter down before the end of the year. In parallel, we continue to test individual components in dedicated rigs as part of our building block approach. This multi-phase testing approach validates not only our design philosophy by extensively testing every part individually, but also the integration of critical systems such as fly-by-wire and fixed-pitched lifter rotors. We have also started to receive the first parts and components of the first of six prototypes we will assemble for our certification campaign. We have some additional pictures further in the presentation. Lastly, we signed a new binding agreement with Brazilian operator Flight East, who will serve the southern part of Brazil with our aircraft. Flight 3 and 4 show the progress of our flight campaign. With successful completion of our ground test, we cleared the prototype to get back in the air and start a transition flight back in July. The prototype flew 73 times and logged a total of 3 hours and 6 minutes of airtime. The pusher was engaged at first with low RPMs and then powered up to around 1,200 RPMs, allowing the aircraft to fly forward at 45 knots, which is about 52 miles per hour. The next phase involves accelerating further towards the transition speed of around 100 knots. This is the speed at which air flowing through the wings is enough to provide it with the necessary lift and maintain airborne, with the lifter's motors off. We are now 8 to 10 flights away from the full transition phase. Flight 4 shows the progress we have made in the last few months in terms of speed and, perhaps more importantly, the engineering test points we have validated so far. Our aircraft never flies for the sake of flying. Our engineering team diligently plans the individual points that need to be successfully validated for the aircraft to move to the next phase. These points may involve aircraft performance metrics, such as the aerodynamic drags, or the loads or the performance of individual components, such as the rotor vibration, battery temperature, motor RPMs versus thrust, etc. It is precisely these validations that allow us to move ahead with confidence. As of today, we have successfully validated 170 of 185 planned test points for the Engineering Prototype Flight Test Campaign, achieving a 91% completion. On slide 5, we wanted to show you some additional details of our rigs we have put in place to test individually components separately. We can see here the one of the lifter motors running the last set of tests before shipping, and all lifters are on track for delivery and assembly of our certification prototypes. These tests confirm that each motor produced the necessary thrust for takeoff and landing procedures for the flight schedule. The rigs are used to corroborate the energy requirement and expect a drain on the entire system, and that's the inverter also successfully managed the flow of energy during the peak demand and the takeoff and landing phases of the flight. On top of that, we run successful containment of thermal runaway event on the battery pack. There are multiple ways to prevent thermal events. Yeah, cells isolation. Control of charging-discharging on a sail-by-sail basis, all of which are part of our aircraft design, but it must also be able to successfully contain a thermal event to assure the flight safety. On slides 6 and 7, we show some of the additional components and parts that have already been produced for our first conforming prototype. As you can see here, large fuselage sections as well as tooling for wings and pylon structure are ready. We will start receiving these and other parts in the next few months to start the assembly of our first prototype early next year. The assembly of the subsequent five other prototypes will start right after delivering each of them 30 days after another to the Gavion-Peixoto test facility. The next piloted prototype flight will take place by the second half of next year. Now, moving to slide 8 and 9. As mentioned before, we just signed a new firm agreement with Operator Flybees for a total of 12 aircraft, two firm orders, and an option for an additional 10, for a potential contract size of $60 million. Flybees is a regional operator in the south of Brazil with routes in region with a high touristic demand. Brazil represents the premier market for urban air mobility, driven by government and certification authority support, a rapidly maturing ecosystem, and strong passenger demand in cities where infrastructure has not kept the pace of growth. This makes Brazil one of the most important markets and position it as among the first scale commercially following the certification, with two operators already committed and several more showing strong interest. This is a good entry point into the next slide, which shows our total pre-order backlog of approximately 2,500 aircraft valued at about $12.6 billion at least price. Additionally, approximately 1,100 of those aircraft have a service contract attached to them, bringing a total potential take care revenues to about half a billion dollars in the first year of operations. The next slide shows some of the SunTracks Ecosystem Summit in Florida, gathering 150 representatives of all of our future UAM operations stakeholders. The event, in partnership with the Florida Department of Transportation, provided insight into the infrastructure, operational procedures, and airspace navigation procedures needed to enable the safe and efficient integration of UAM into Florida's transportation network. SunTrack's advanced air mobility facilities include an aerial test track, vertiports, hangars, and charging infrastructure for simulated EV tolls, takeoff, and landing, plus the low-altitude corridor for drones, air taxis, and autonomous logistic tests in a controlled, regulated environment. And now, I hand it over to our CFO, Edu, for the third quarter of 2026 financial review.

Thanks, Johan. On slide 11, EVEN ended the third quarter, 2026, with $356 million in cash and total liquidity of $471 million, which includes $114 million in undrawn standby credit loans. We believe the current level of liquidity is enough to support operations through 2028 without new funding. One important highlight during the quarter is that EVE has already started to show synergies and cost avoidance gains that were identified in the first half of this year. We have been working extensively with Embraer to find ways to reduce our cash burn until certification with identified savings of 100 to 150 million. Only in 2026, we already captured approximately $50 million of those savings, despite higher development activities and stronger engineering engagement. EVS SG&A is going down year over year, and our total cash burn in the first nine months of 2026 was $174 million. With that, EVE's total cash consumption is now pointing towards the low end of our guidance of $225 million to $275 million in 2026, which is a reduction versus our initial forecast. The capture synergies are reducing our cash burn and extending EVE's cash runway without any impact in our vehicle development and certification timeline. Now, moving to slide 12, we have a summary of our financial results. EVE invested $48 million in R&D during the third quarter, 2026, mainly for the eVTOL development. Meanwhile, SG&A totaled $6 million for the quarter, down from $7 million a year ago. Including R&D and SG&A, EVE's net loss for the third quarter, 2026, was $58 million. And $161 million in the first nine months of 2026. As mentioned previously, we ended the quarter with $356 million in cash and $471 million in total liquidity. Finally, cash consumption in the third quarter was $55 million and $174 million in the first nine months of 2026. With that, we conclude our remarks, and I would like to open the call for questions. Operator, please proceed.

Thank you. We will now begin the question and answer session. To ask a question, you may press star, then 1 on your telephone keypad. If you are using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star, then 2. At this time, we will pause momentarily to assemble our roster. The first question comes from Andres Shepard with Cancer Fitzgerald. Please go ahead.

This meeting is being recorded. This meeting is being transcribed.

Hey, everyone. Good morning. Congratulations on the quarter and all the great progress, and thanks for taking our question. Johan, I wanted to maybe start with the quality of the flight campaign. You know, I think very exciting to see the progress here, 91 of the planned progress for the year already complete. So I guess maybe just help us understand, you know, what is left to get to that first transition flight by year end, what gives you confidence in getting there, and then what comes after that. Thank you.

Oh, great. Thank you, Andres, for the question. I will start and then Marcelo can complete also here with us. This is, you know, the company has been going very well. It's based in three phases. The first one that we did when we had the first flight in the 19th of December last year, hover phase, what we called, and then we flew. And hover phase doesn't mean that you don't make some movements, but it means that you don't have the pusher on. And then we did – so we completed this by April this year. Then we stopped the aircraft to do some upgrades and software upgrades, some reinforcement, as I mentioned before, just for the next phase, which is the transition, where you have the loads, right, on the aircraft. And that's something that we wanted to make sure it matches our engineering model. So this is what we've done. And right before the Fumble Rotar Show, we actually announced the resuming of the flight, and then this time with the pusher on. And it's not really so much about the number of flights, it's the quality of flight and exactly what the engineering wants to test. That's what we call the engineering test. And the 91% is exactly what we wanted to do by the end of this year. We're 8 to 10 flight away from the full transition, because then once you have the full transition, you have a typical full flight of what we're going to be operating for the E-100. So together with the prototype flying to the full transition, along with all the CDR that we have, we're doing with our suppliers and finalizing the configuration of the aircraft, then we can move on and start producing the conforming prototype. Marcelo, do you want to add anything on the test? It's perfect.

So we're at the very end of the flight campaign, our uncrewed prototype, and that you provided the final definitions for our conformed prototype that we start building the next year. So, perfect, Johan. Your speech was great. Thank you.

Well, thank you both. Very helpful. I appreciate all that color. And maybe just a quick follow-up. I was wondering if you could maybe – I know you mentioned it a little bit on the call, but maybe can we get an update on the six ANEC conforming prototypes that you're planning to build? I think you briefly mentioned where the second one stands. Just how should we think about these? What's the timeline for these being built and then ultimately used for test flights? Thank you.

Yeah, no, great question.

Well, Basil, you go ahead. Okay, so those six prototypes were dimension to allow us to reach the final of 2008 with the… EV100 certified. So we start with the first prototype. It's responsible for opening the envelope. Opening the envelope means we're progressing both in speed and altitude. We know their craft. You provide the pilot feelings, and we finish after four to five months the definition of the systems under the integration of their plan. After that, We have the airplane 2 flying at least one month after the prototype 1, which is responsible for part of handling quality and performance flights, followed by the third prototype, which is responsible for the systems, some of the systems of the airplane. The fourth prototype, with mainly propulsion tests and other systems. The fifth prototype, with interior testing and some remaining. Electrical system testing and the integration of HERF. And the final prototype is the sixth one. So that will be designed for operational flight. We call function and reliability flight. So that's our plan for 2008, starting from the end of 2007.

Excellent. Very helpful, and congrats again on all the great progress. Very exciting. We'll pass it on. Thank you.

Thank you, André. Thank you. The next question comes from Savi Saith with Raymond James. Please go ahead.

Hey, good morning. Just on the annex certification, can you discuss, you know, how that's progressing and then just kind of the discussions around the means of compliance and associated test plans? Are there any kind of regulatory requirements or, you know, physical testing that you still need to kind of scope out? Are you still on target to maybe finalize that before year end?

Okay.

So, in this year, we are closing all our certification plans. Our detailed design standards is 99%. Closed, which is a demand from both ANAC and SAA, and our certification plans are defined. We just defined also our noise certification base this year, which was accepted by ANAC, and that's under, and finished, just finished the public consultation with success. For the next year, we're writing the specific test proposals, ground and test proposals for flying, right, which will ensure our readiness for the beginning of 2008 and the beginning and the end of 2020. So we're in the route of the readiness to starting since the beginning of 2008, our flights for both development and credit for certification. So you are good on this.

Got it. That's very clear. Thank you. And if I might just, you know, congrats on moving forward in getting some of these orders firmed. I was curious if you could remind me again, is that the PDPs, do they come closer to certification, or will you see anything in 2027?

Yeah, I can start with the PDPs, and Johan can talk about the orders. But yes, those firm orders are an important goal for us, right? Because we are converting the letters of intention into firm orders, and with that, we start to receive the down payments. We have some aircraft that we're going to receive. You know, almost 40% of the value of the aircraft before the delivery, and then we receive the balance at delivery. So, yes, this is very important. We are progressing with good customers in very good use cases, especially in Brazil. But in terms of cash, we're going to start to see more and more PDPs flowing through our cash balance.

Yeah, remembering that we do have the bigger pre-order book back plug with 2,500 aircraft. I've been saying, you know, since the beginning that I joined the company that more than a number is really the leap of faith that, you know, customers are seeing in the solution that we are providing if, and that's always what they can tell us, you know, we want to go for the UAM solution. We want to go with EVE because EVE is not only the vehicle, but it's a whole solution. It's all about customer support. It's all about creating the ecosystem. And now we're seeing this happening. It started with Revo. In 2025, now we, you know, we had it early this year, another customer with AirX in Japan, and then this is the natural third one. Quite natural as we're moving forward and showing steady progress on the program development, so customers are eager to also get the slots, right, of the first production line, and this is what's happening with like this, right, this is the LOI in 2022. Thank you. We've been discussing with them. We've been showing the progress as of the other customers, and they're very eager to develop the UAM in southern Brazil. Highly touristical. I don't know if you had a chance to go there, but it's a beautiful area where the growing city with many cities, Rio Grande do Sul, Balneário, Cambario. It's a bit hard to say, but it's a beautiful place, by the way. A lot of tourism growing exponentially. So it fits perfectly, you know, the ETH solution and what they need for the urban and mobility and be the first one in the world, right, in that region.

Yeah, no, that's great to see that progress. So just to clarify, is this, do you have to start flying the for certification before you start getting some of those funds, or could you get it sooner?

We get sooner. We get the signature, we have no payment, then we have 18 months, 12 and 6 months prior to deliver, we receive additional payments and the balance at delivery.

Got it. Perfect. All right. Thank you so much.

Thanks, Abby. Thank you. The next question comes from Adam Samuelson with Jeffries. Please go ahead.

Yes, thank you. Good morning, everyone. I guess for me, just maybe on expenses and cash and cash usage, the R&D kind of realized up around $48 or so million after kind of being low in the second quarter. Should we look at that $50 million or so quarterly run rate as kind of the new peak intensity, or is there going to be a step up at some point in 27 with six conforming aircraft kind of entering kind

No, I think the level should stay around this $50 million level that you mentioned, R&D, per quarter, right, around $200 million per year. Of course, next year, we're going to assemble the six prototypes, as Basil mentioned, but we have been able to get synergies, right, additional synergies with Embraer. We're also controlling non-R&D related expenses, right, SG&A expenses. So we have been doing a lot of cost savings and synergies with Embraer that allows us for next year to have. The six prototypes being assembled and keep cash burn and total expenses kind of the same level of this year, which is a big win and a big achievement for us. So we're excited because we're going to be showing much more next year and moving towards certification in 28, at the same time, keeping our cash burn around current levels.

Okay, that's very helpful. And I guess just as you move past 27 and through the – into the certification program and then to production, can you just update us on how you're thinking about the modular kind of manufacturing ramp and how that can scale as you get 28, 29 and beyond?

Yeah, we have a modular facility, right? We can produce up to 500 eVTOLs per year in the Brazilian facility, but it's modular. It starts with 120, and then it can go to 240 and 480, around 500. So that's the beauty, right? We did something that we just invest as we have additional demand, right? So initially, we're starting with this 120. It's an investment that we already have a low and right of facility to pay for this investment committed. This is part of our standby facility that we already have. So, it doesn't bring an additional cash burn for us. So, we're going to start to invest on that. Prototypes are still assembling at the Embraer facility. So, the vehicles being delivered, we're going to produce in another facility. We're going to have more investments on that towards the end of next year, in early 2028.

Okay, that's very helpful. I'll pass it on. Thank you.

Thank you. The next question comes from Amit Dayal with H.C. Wainwright. Please go ahead.

Thank you. Good morning, everyone. Just one question from you, guys. Just any clarity on what Embraer is helping you guys with today and what kind of assistance and support you might get from them, you know, down the line? Wow.

Thank you, Amit, for the question. Every day they're helping us. Absolutely. It's the way that EVE was created and spinoff. I mean, we're a separate company, but obviously we do have an MSA with Embraer. For the obvious program right now, it's the program development. So it's more than 1,000, around 1,000 engineers dedicated to the EVE program. So the Embraer engineers focused on EVE, but it's a program development. So you have to also talk about the and prepare the industrialization, which is exactly what Edu just talked about. And then we're taking the best of what Embraer does today based on the lean philosophy and then obviously putting in the factory that we'll have that will trigger at the right time, right? It's a brownfield. It's another advantage that we have of being a part of Embraer Group. And also the quality system. We're talking about the customer support and services, where we've been working together to prepare the aftermarket and how we're going to be supporting the customers. It's what we call, you know, the make or buy, whether it's going to be, it will be the face of the customer, but then, and also in the background, it could be also Embraer supporting us, right, with all the logistical network and MRO and that they have. So, it embraces at all levels, right? Thank you, Amit.

Thank you. The next question comes from Andre Madrid with U.S. Bancorp BTIG. Please go ahead.

Yes, good morning. Thank you for taking my question. I wanted to dive into the backlog real quick in the order book. It looks like maybe a bit of a sequential decline. I know this has happened before, but I was hoping you can maybe elaborate on what might have been the driving causes.

Sorry, Andre, of what? It happened before? What? Sorry, come again.

A sequential decline in the order book and backlog.

Oh. Well, it's natural, right? Like I said, you know, we've been for the last six years since we created EVE. We've been... We're designing the solution for the customer and with the customers. So ever since we had the first design, but also talking about the customer support and how we're going to be developing the ecosystem, it's done with the customers. And they're early adopters, they're pioneers, they're visionary. And then we have really the profile of our customers, it's from helicopter operators, it's from airlines, it's from also the leading company, you know, with different missions. So it's touristical, ecotourism, as we mentioned, but it's the primary business that we're going for. And what the customer wants is the urban air mobility. It's really under 150 kilometers. They want to have a solution that is fully electrical, one pilot, four packs, and it goes to a 30 to 40 typical route, which is what we call the shuttle route, downtown of the city to the international airport and back and forth, but it could be any point of the city. And that's exactly the market that we're aiming for, right? And the customers, you know, when they decided, it's from the world, right? And it's 29 customers from nine different countries. And wherever there's a strong support and ecosystem readiness, which comes from authorities, the local government, also the different partners like infrastructure, the power company, we've been leading those discussions. And then customers see that, okay, the E100 plus the ecosystem readiness and the customer support, they place those LOI. And that's what we got to the 2600. As you mentioned, it's natural. I mean, it's early. And there's a lot of those companies that can be just going bankrupt or they change their strategy on the UAM, but also bringing new customers and new lead, right? And that's, you know, like Flight B, Airex that we recently signed. And I think, you know, as we progress in the very quickly now in 27 and 28, they will be able to see the actual aircraft, right? Especially in Brazil, Gama Peixoto will have the first prototype. And I can tell you there's no better catalyzer than having a full prototype ready to be certified in the next, you know, 60 months or 24 months, right? So, you know, in 2028. So it will happen. It's natural what's happening right now. And we're thrilled about it. Now it's about not additional LOI. It's about the quality LOI, if we go for it, for new market, for new customers, and also the conversion rate. And that's what we're doing right now.

Yeah, if I may add, Johan, it's exactly... The focus now, guys, is to firm the orders. We have this very big backlog, 2,600, 2,700. It doesn't really matter if it's 2,600 or 2,700. What matters is our ability to move those LOIs into firm orders, firm contracts, start to receive the payments, start to plan the entry into service and the use cases. That's what matters. So what analysts should be looking is really this firm order backlog needs to keep growing, growing, so that we have the initial use cases, the launch markers, and the initial delivers. So that should be the focus.

Got it. That's helpful, Collar. And then maybe, Edu, one for you. You know, I know you talked a lot about the synergies with Embraer, but I'm also looking at it seems like on a CapEx level, you guys are running pretty light for the year, and it requires a significant step in the fourth quarter to hit what you guys have outlined. I mean, could you maybe just put... Can you drive us through the puts and takes of what's really contributing to the lower end of cash burn that you guys have outlined? Is it more of the synergies? Is it less of the CapEx? I mean, is it a combination of the two or the two intertwined? I'm trying to just understand that a little bit better.

Yeah. No, the majority of the cash burn goes on the development, right? We have around 800 engineers at Embraer today working on the development of our eVTOL. On top of that, we have, you know, production guys that are starting to, you know, they're going to be starting to assemble the final prototypes. So that's the bulk of our cash burn and our, you know, spending. Anything outside that is not a priority, and we're trying to bring synergies with Embraer and reduce as much as possible. In terms of CapEx, all these, you know, the expenses of the engineers, all the expenses on the prototypes, it all goes through these payments we do to Embraer, so it doesn't show in the CapEx line. CapEx line only shows some toolings and some machines that we're starting to buy. As the prototypes are assembled inside the Embraer facility, I believe we're going to see more capex probably towards the end of next year when we start to prepare our final facility, which will be used for the initial delivers in late 2028. So, you know, probably throughout next year, we're still going to see light capex investment, but that doesn't mean that we're not, you know, buying parts, assembling the prototypes. It just means that all of that goes as operating cash flow on those payments we do to Embraer.

I don't know if it's clear. Yeah, no, that's perfect.

Thank you so much.

Thank you. The next question comes from Austin Moeller with Canaccord. Please go ahead.

Hi, good morning. So just to walk through the timeline here on development, if we get the full transition by end of year, does that set you up for closing out critical design review in early 2027? And then when should we be thinking about ANAC or other FAA officials stepping into the final prototype to do their own tests?

Yeah, that is correct. Yeah. Yeah, it's really, you know, the final transition. Also, you know, in parallel with the CDR by the end of this year, right, we're down to probably 10 to 11, you know, CDR that we need to close yet. And we're on track, and then we'll be able to start the assembly of all the parts that we showed you and all the other parts that we showed you in this presentation. Also, they're at the suppliers that they're starting to send to us, and then we can start the production of the first prototype. And that's when, you know, then the authorities, which they have been engaged, by the way, right? They've all been engaged, even in the engineering prototype. We have ANAC representative and, you know, following the development and all the flight campaign. But go ahead, Marcelo, on the ANAC.

Yes, I was about to say that they are already engaged, both ANAC, SA, and EASA with our program, but being more direct to your question, they'll be getting into their plan after the half of the next year, after opening the envelope, and locally in the beginning with some system certification. Because we are already designing and getting ready for the test campaign to be a certification campaign. So, since the beginning, we will have the ANAC representatives going to Gavião Peixoto, witnessing the tests. And by the half of the 2008, with the final envelope opening, we closed the final aircraft systems and the aerodynamic integration. We expected to receive our TIA, right? And we have ANAC on board. By the end of the year, 2028, we have the FAA getting there for the validation of the certification.

Okay, and can you talk about what countries or municipalities might be launching the Vector Air Traffic Management System first? Would this be in some of the launch cities where you'll have aircraft with customers like Sao Paulo?

Oh, yeah, definitely. The launch of Vector, it's happening. It already happened last year. As a matter of fact, at the Brazilian Grand Prix, Revo, our launch customer for the eVTOL, didn't want to wait for the eVTOL, but already want to use it because it's the first module of Vector of the UATM, right? Traffic management also does the ground, and that's the first module, the ground management of the Elipad. And they're doing it again this weekend as we speak. So they're using the Vector first module. Then it will go, you know, they will be using the fleet module. And then it will go up to eventually with the UATM air traffic management module. So it's three phases, which will be developed along for the next five years, right? Okay. Vector, it's also part of the solution that we're offering to our customers, part of the tech care solution, the customer support and services. It's the aircraft, customer support and services, and the ATM, ecosystem readiness. And basically, all the customers who will be operating eVTOL will be very interested to get also the Vector. They're so interested. They're part of the LOI that we signed with them.

Just to highlight, Johan, as you said, right, this weekend, guys, there is the Formula One race in Sao Paulo, right? We will be operating a lot of flights. Now we're talking about 300 flights during the weekend, and they're going to be using the vector solution this weekend in the Sao Paulo F1 race, okay?

And thanks to Vector, they'll have a very efficient landing and taking off of the activities of helicopters. So turnaround time, the most efficient one. There's a lot of people you want to get in and out of the Grand Prix of Brazil.

Very exciting. Congrats on the operational progress.

Appreciate it. Thank you.

Thank you. The next question comes from Pat McCann with the Burrell Capital. Please go ahead.

Hey, good morning. Thanks for taking my questions, and thanks for the thoughtful answers to all the questions already. I'll just add one more. I believe you mentioned in your prepared remarks a little bit about the opportunity in Brazil being a favorable one. And I was wondering if you could talk a little bit more about that, if you could give any more details as to kind of what makes that a strong opportunity for building additional customers in the pipeline. And maybe on top of that, if you could speak a little bit about if you kind of. Broadly look, you know, globally where you think your strongest opportunities are as you move towards commercialization.

Oh, very nice, Pat. Thank you for this important question. Absolutely. In the remarks, we did mention that Brazil is, you know, and will be the leader of the UAE. I mean, and that's a good reason for this because it takes, you know, different aspects. The first one you need, you know, to have a wish from the government. It's a new segment we're talking about. So it's not a regular aircraft that you'll put in service, right? Of course, at the beginning, we'll be using everything that it is existing, whether it's in the area, whether it's in infrastructure, using the Alipad, remembering that Sao Paulo has. The biggest fleet in the world of helicopter has got the biggest number of helipad. It's more than 2,000 in and out of helicopter taken off and landing in Sao Paulo. The city has been growing. We've done and we came up with the outlook, the market outlook in 2025, last year, and we did mention that the planet Earth will have 2 billion more people in the next 20 years, right? And 70% of those 10 billion people will be living in cities. So if you think that spending 200 hours in traffic, whether it's in Sao Paulo or any other big cities in the world, it's bad. I mean, it's going to get worse. And I think it's just Brazil is the perfect ecosystem, the perfect market to make it happen. We have the history and the DNA of aerospace development. We do have Embraer. Now with the eVTOLs, we do make a vehicle that would be very safe at the highest level to be operating. We do have a big city. People ask me, what about urban air mobility? When is it going to start? It already started, and Revo is the proof of it. Revo didn't want to wait for the eVTOL. They wanted to go and really start to have, because they see the market, they see the need of having, you know, the need of having an urban air mobility alternative in the big city. And that's where they started. They started with a dual turbine, dual pilot helicopter. It's not, you know, the most efficient in terms of operating costs, but that's what it takes, you know, to get the customers and grow their market base. And that's what they've been doing. They started in Sao Paulo, but now they're also going to other cities. And this is exactly what urban and mobility is about. And you can see with Flybase, it's happening in the south of Brazil. I can tell you there's other operators that are talking to us now to also cover other regions. And I know that you're probably thinking about, oh, what about Rio? Absolutely, Rio is another place that with the UAM and EVTOL will be perfect for the environment and for that type of business. So Brazil, I can tell you, will be, thanks to Yves, thanks to the... Aeronautical DNA that Brazil has, all the big governmental wish and incentives that they were pushing for this, the vision of the future for the Brazilian cities and the Brazilian. Yeah, Brazilian will be one of the first ones in the world to be flying on the VTOLs. And of course, the market is the big one also for us is the U.S., right? Very well prepared, great infrastructure, a lot of initiative also from the government. We've been in talks with many states, one of the latest ones, and you saw it in the presentation with SunTracks in Florida. They've been supportive, you know, of what's going to be for the next few years, the urban and mobility, and we're part of it, right? But not only, we've applied for Yaza, right? Marcelo mentioned it early this year. It's also another important market. We believe that we may come a little bit later, right? But another one, very important for us, which represents almost 20% of what we see as a growth for all the EBITOL, is Asia Pacific. And this is not by chance that we announced this new customer. Airx in Japan, having the same business model that Revo is having, or Flybase, or even Australia. We were the only one having such a big base of LOI also in Australia for ecotourism and also shuttle operation.

Excellent. Really appreciate the commentary, and congrats again on the continued development.

Thank you, Pat.

Thank you. Again, if you have a question, please press star, then one. This concludes our question-and-answer session. I would like to turn the conference back over to Lucio Aldworth for any closing remarks.

Thank you, Drew, and thank you, everyone, who joined the call today. This was an important quarter for Eve. It was marked by significant milestones and continued progress across.

This meeting is no longer being transcribed.

This meeting is no longer being recorded in front of us and confident in our ability to continue executing on a development plan. The next one will be very important for Eve, and we look forward to keeping the investment community informed as we achieve additional milestones and advance our objectives. Thank you for your continued support and engagement, and we look forward to seeing you in the many of the upcoming conferences and investor events we're going to be attending. Have a great day, everyone. Take care.

Thank you. The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.