Joby Aviation, Inc.

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

Thank you. Hi, everyone, and welcome to Joby Aviation's fourth quarter fiscal year 2023 financial results conference call. My name is Teresa Thorothale, and I'm Joby's head of investor relations. On the call today, we have Joe Ben Bedford, founder and chief executive officer, Paul Sciarra, executive chairman, Didier Papadopoulos, president 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 will refer to GAAP and non-GAAP financial measures. The reconciliation of non-GAAP to GAAP measures is included in our Q4 2023 shareholder letter, which you can find on our investor relations website, along with the replay of this call. And with all of that said, I'll now turn the call over to Joe Ben.

Thank you, Teresa. And thank you, everyone, for joining us today for our fourth quarter call. We entered 2023 knowing it would be a pivotal and exciting year for us, and it did not disappoint. Over the first three quarters, we launched production and delivered the first eVTOL aircraft to the US Air Force ahead of schedule. We started testing with a pilot on board and have now completed more than 100 inhabited flights. We expanded our partnership with SK Telecom. We deepened our partnership with Toyota, and we announced a range of new partnerships for infrastructure development. We strengthened our already strong balance sheet. We expanded our contract with the DoD. We selected a site for manufacturing in Ohio and released our first ESG report. Perhaps most importantly, we made critical progress on certification, effectively completing the second stage in February of last year. And as we announced this morning, we have now become the first eVTOL company to complete the third stage. We delivered on all the goals we set ourselves for 2023 and ended the year continuing to lead our industry on the path to commercialization. These accomplishments are tangible proof of what makes Joby special, and they kept us moving steadily towards our goal of launching commercial passenger operations in 2025. During the fourth quarter, the team maintained incredible momentum as we crossed into this calendar year. A real highlight for me was welcoming a team of senior leaders from the FAA to Marina in January. This visit gave us an opportunity to demonstrate firsthand the maturity of our designs and our production processes as we discussed our certification program with them in detail. This level of positive engagement and collaboration is encouraging and will help to ensure continued U.S. leadership in this new sector. In November, we were honored to demonstrate this leadership by completing the first eVTOL flight in New York City. This was a seminal moment for our company. Seeing a Joby aircraft lift off from a Manhattan heliport and complete a flight against the backdrop of the New York City skyline was quite literally a dream come true for me. And it moved the needle. In front of the local community, Mayor Adams, and key stakeholders, we were able to demonstrate the incredibly quiet acoustic footprint of our aircraft and the opportunity presented by our technology to improve city mobility. Seeing really is believing, and I'm so proud of the team that was able to make this happen. It's just another example of the tangible, real-life progress we're able to demonstrate at Joby day in and day out. Our flight was followed by a commitment from the city to electrify the site and bring air taxis to one of the most iconic heliports in the world. A few weeks before that flight, we were pleased to welcome Delta CEO Ed Bastian and representatives from the Economic Development Corporation of New York and the Port Authority of New York and New Jersey to a community event in Brooklyn where we highlighted our shared ambition to deliver air taxi service in New York. We continue to work closely together to realize opportunities at Delta's hubs at JFK, LaGuardia, and LAX. And over the last few weeks, we've announced key partnerships in the New York City region to support the installation of charging infrastructure. We've also announced partnerships with Play Lacey to support the development of our LA network, with Nomura to support our Tokyo network, and most recently with Skyports to build infrastructure in Dubai. Working with these partners, we plan to install our global electric aviation charging system, or GEEX, the first charging system designed specifically for aviation, which supports the safe and efficient operation of all electric aircraft under development today. In November, we released the specification of GEEX to the industry to accelerate the commercialization of emissions-free aviation technology. But the most significant commercial development of the quarter came in December when we signed an agreement with the government of Dubai to launch an air taxi service in the Emirate. Announced last week at the opening of the World Government Summit, this is a landmark agreement that delivers on all three ingredients required for the successful launch of an air taxi service in any market. A definitive path to operations, well-placed infrastructure supported by dedicated partners, and an aircraft with the capacity and range to deliver meaningful customer journeys. The agreement grants Joby exclusive rights to operate air taxis in the Emirate for six years and includes financial support for initial operations. The government of Dubai wants this service to be the first in the world, and their actions certainly reflect that ambition. with support from the very highest levels of government and a regulatory pathway that builds on FAA processes, but allows for operations ahead of achieving type certification in the U.S. This is a remarkable opportunity for any eVTOL operator, and we're proud to have demonstrated to the government of Dubai that Joby is the best position to deliver this service. It's a definitive, tangible partnership that provides another path to delivering on our goal of starting commercial passenger service in 2025. That commitment to delivering real progress and results is exactly what we will continue to do this year. In fact, we've already started. Last month, we received our Part 145 repair station certificate from the FAA. This approval lays the foundation for us to carry out maintenance, repair, and overhaul services for our future fleet, which is a core part of our vertically integrated approach to commercial operations. And just this morning, we announced that we have become the first eVTOL company to complete stage three of the FAA certification process, an incredible milestone that Didier will speak more about in a moment. With the first three stages behind us, this year we expect to make steady progress on stage four as we expand our four credit testing across more and more of the aircraft. In addition to continuing our leadership position on certification, we expect to achieve a number of milestones this year. We expect to reach a production run rate equivalent to one aircraft a month by the end of the year as we continue to ramp production in support of certification and commercialization. We plan to break ground on our expansion in Marina and begin component manufacturing in Dayton. We will commit at least two more aircraft to the Department of Defense as part of our existing contract. And finally, building on the excitement we brought to New York City in November, we plan to extend our flight exhibition series to additional key markets. We believe these are the right milestones to ensure Joby's continued leadership in the sector. While we aren't blind to the challenges ahead of us, we believe that we are best positioned to succeed with the strongest balance sheet, the best team in the industry, and most important, a laser focus on delivery. Thank you for your continued support and over to Didier to discuss our progress in more detail.