Joby Aviation, Inc.

Greetings and welcome to Joby's Aviation's third quarter 2023 conference call and webcast. At this time, all participants are in a listen-only mode. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce you to our host, Teresa Tarulli. Please proceed.

Thank you. Hi, everyone, and welcome to Joby Aviation's third quarter 2023 financial results conference call. I'm Teresa Thurithial, Joby's head of investor relations. On the call today, we have Joe Ben-Bevert, founder and chief executive officer, Paul Sciarra, executive chairman, Didier Papadopoulos, head of aircraft OEM, and Matt Field, chief financial officer. After management's prepared remarks, we will open the call for questions. Please note that our discussion today will include statements regarding future events and financial performance, as well as statements of belief, expectation and intent. These forward-looking statements are based on management's current expectations and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied. For a more detailed discussion of these risks and uncertainties, please refer to our filings with the SEC and the Safe Harbor disclaimer contained in today's shareholder letter. The forward-looking statements included in this call are made only as of the date of this call, and the company does not assume any obligation to update or revise them. Also, during the call, we'll refer both to GAAP and non-GAAP financial measures. A reconciliation of non-GAAP to GAAP measures is included in our Q3 2023 shareholder letter. which you can find on our investor relations website, along with the replay of this call. With all of that said, I'll now turn the call over to Jobin.

Thank you, Teresa, and thank you everyone for joining us today. In Joby's first quarterly results call as a public company two years ago this month, we highlighted three long-term goals required to execute on our business plan. First, certifying our aircraft. scaling our manufacturing, and third, preparing for commercial operations. Since then, we've been absolutely laser focused on these three goals, and we've established a pattern of delivering against them consistently each quarter. And this quarter is no different. On certification, the FAA has now accepted 84% of our Stage 3 certification plans, including the plan that covers our batteries and high voltage power distribution. This is a critically important milestone for us that builds on a long history of battery development and testing and brings us one important step closer to certification. We're now proceeding at pace in our work on stage four, which Didier will speak about in a moment. On our second key goal of scaling manufacturing, we are ramping up production at our pilot manufacturing facility in Marina, California, with one aircraft in final assembly and two more coming along behind it. And building on the learnings from our pilot production plant, we announced this quarter that we have selected Dayton, Ohio as the location for our first scaled manufacturing facility. Dayton was the home of the Wright brothers and America's first aircraft factory. And today it maintains a deep talent pool for both commercial and defense aerospace. It is also home to the Wright-Patterson Air Force Base, which directs more than 40% of Air Force spending. In his speech at our announcement event, Ohio Governor Mike DeWine said, the aircraft that will roll off the Joby production line in Ohio will redefine urban transportation. I absolutely agree with that sentiment and we were pleased to be offered up to $325 million in state and local incentives to support the development of our facility there. Toyota, who have played a vital role in the successful launch of production at Marina earlier this year, have their largest U.S. factory just down the road from Dayton in Georgetown, Kentucky. and we look forward to their continued support as we bring our Ohio facility online. Just a week after making our Ohio announcement, we were at Edwards Air Force Base in California to celebrate a significant milestone on our journey toward our third goal, preparing for commercial service. Several months ahead of schedule, we delivered and flew the first of up to nine aircraft included as part of an expanded AFWERX Agility Prime contract with the US Air Force. Our aircraft became the first electric air taxi to be delivered to the Air Force, and it will be used to demonstrate a range of logistics missions, including cargo and passenger transportation. It will be operated by both Joby and U.S. Air Force personnel, providing invaluable operational and training experience for us as we prepare for the launch of commercial passenger service. NASA also intends to use the aircraft for research purposes that will support the scaling of our industry. NASA Administrator Bill Nelson posted about the delivery, saying that the future of aviation is here. And his excitement is indicative of the support we're seeing from all areas of government. At the state and local level, there is a great deal of enthusiasm and support from the warm welcome and incentives we received in Ohio to Governor Newsom signing legislation in California that brings the entire state government together in a unified way to prepare for commercial operations. That same enthusiasm was present at a community event we hosted in New York City recently, where Delta CEO Ed Bastian and I were joined by Rick Cotton, the Executive Director of the Port Authority of New York and New Jersey, and Andrew Kimball, the President and CEO of the New York City Economic Development Corporation. Both are leaning in to ensure that New York City leads the way on the adoption of this new technology. And at the federal level, we welcome the Senate's unanimous bipartisan confirmation of Mike Whitaker as the next FAA Administrator. The United States leads the world in aviation safety, innovation, and regulation, and we believe this appointment will provide the strong and steady leadership required to ensure that continues. While it has been incredibly rewarding to celebrate the hard work of our team through many landmark achievements this quarter, Nothing gives me greater pleasure than to stand with a guest at our facility in Marina as they witness our eVTOL aircraft fly for the first time. During the quarter, Toyota Group CEO Koji Sato and Toyota CTO Hiroki Nakajima joined us in California to see a test flight and visit our manufacturing facilities. We also welcome members of the SK Telecom team and the governor of Jeju province in Korea. We are grateful for all of the deep partnerships we are building around the world and we look forward to expanding on these in the years ahead. For all of our guests, seeing really is believing and being able to demonstrate the performance of our aircraft and its low acoustic footprint Day in and day out is so important to our work. I was therefore very pleased to see our flight test program expanded this quarter to include flying with a pilot on board. During the tests, four of our pilots assessed the ease of conducting a number of maneuvers that pilots will be required to perform during normal operations, including holding a precise hover, tracking the runway center line, and decelerating to a vertical landing. They also perform more complex maneuvers, such as flying precise circles around a center point, something which is considerably simpler in our aircraft than in a helicopter. These tests provide important data and feedback to advance our program, and I'm incredibly grateful to every member of our team that made it possible. I also want to congratulate our H2Fly team in Germany for their own flight test campaign. During the quarter, they completed the first ever piloted flight of a liquid hydrogen electric aircraft. An incredible milestone on the path to making long range emissions free flight a reality. Just like the team at Joby working on battery electric aviation, they too are focused on delivery and they continue to knock it out of the park. At the beginning of my remarks, I mentioned the three goals that we set ourselves when Jovi first listed two years ago, certifying our aircraft, scaling manufacturing, and preparing for commercial operations. Looking back over this quarter, I'm pleased to see that we've made incredible progress in each of these areas, but I'm also pleased to see that we continue to deliver on two other values we identified during that call, maintaining fiscal discipline, and a strong balance sheet, and being transparent about our progress. We continue to have the strongest balance sheet in the sector, and we continue to publish detailed updates about our certification and manufacturing progress, like clockwork, each quarter. And to talk more about that progress, I'd like to hand it over to Didier.