Joby Aviation, Inc.

Greetings and welcome to the Joby Aviation fourth quarter and fiscal year 2025 financial results conference call and webcast. At this time, all participants are in listen-only mode. A question and answer session will follow the formal presentation. You will be placed into question queue at any time by pressing star 1 on your telephone keypad. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Teresa Thirithio, Head of Investor Relations. Teresa, please go ahead.

Thank you. Good afternoon and evening, everyone. Thank you for joining us for Joby Aviation's fourth quarter and fiscal year 2025 financial results conference call. I'm Teresa Thirithio, Joby's Head of Investor Relations. We will begin today with prepared comments from Joe Ben-Bebert, Founder and Chief Executive Officer, and Rodrigo Brumana, Chief Financial Officer. For the Q&A portion of today's call, we'll also be joined by our Executive Chairman, Paul Sciarra, and Blade CEO, Rob Wiesenthal. 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 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, The reconciliation of non-gap-to-gap measures is included in our Q4 2025 shareholder letter, which you can find on our investor relations website, along with a replay of this call. With all of that said, it is my pleasure to turn the call over to Joe Ben.

Thank you, Teresa, and thank you, everyone, for joining us today. 2026 will mark a key inflection point for Joby. After a year full of rigorous full transition flight testing and meaningful progress across every part of our business, we've begun to shift our focus from how and when we'll go to market to how many aircraft we can produce and where to deploy them. We are seeing unprecedented demand for what we are building, and we continue to benefit from remarkable support from governments, real estate developers, and infrastructure partners around the world. We plan to carry our first passengers this year in the UAE as part of our six-year exclusive access to the Dubai market. And here in the U.S., we expect the government's EIPP program to provide us with the opportunity to demonstrate our service in several locations also this year. Supporting that ambition, I'm pleased to confirm that the first FAA-conforming aircraft is now ready to fly, and we have all of the aircraft we intend to use for TIA testing in production. Reaching this point is the result of years of for-credit testing at both the equipment and system levels, and is proof that our rigorous approach to design and certification is paying off. On certification more generally, we continue to make excellent progress, posting a record 18 point increase on the FAA side of the stage four of certification. This progress is evidence of both the FAA's commitment to certifying eVTOL aircraft and the maturity of our design. It sets us up to focus on the fifth and final stage of the type certification process as we look ahead to FAA pilots flying our aircraft later this year. And as we build momentum towards market entry, demand for our aircraft and our service has never been higher. Just this quarter, we completed a demo flight alongside Toyota at Mount Fuji and confirmed our participation in a Nomura-led real estate consortium that's working to bring air taxis to Tokyo. We signed an MOU with Red Sea Global and the helicopter company, a PIF backed local operator to establish a test zone for pre-commercial operations in Saudi Arabia. We signed a letter of intent to sell aircraft and services valued up to $250 million to Kazakhstan. And in Dubai, we completed our first point to point flight and announced the first four nodes in our initial network. put two of those vertiports nearing completion at Dubai International Airport and the American University of Dubai. At home in the U.S., we signed an agreement with Metropolis to develop 25 vertiport sites, and we partnered with communities nationwide to support applications for the VTOL Integrated Pilot Program, or EIPP, championed by the White House. This program has the potential to materially accelerate the commercialization of advanced air mobility in the US and has already created tremendous interest across the country, including in key markets like Ohio, Florida, and Texas. Next week, we are expecting the DOT to choose at least five locations where mature aircraft designs like ours will be able to launch operations this year, helping make eVTOL real for the American public. The program is expected to allow commercial cargo and medical services, as well as passenger operations, which could also be delivered commercially in due course. The EIPP program could not be better time for Joby as we fly our conforming aircraft and enter the final stage of certification. It's also one of the key reasons that we've decided to scale manufacturing now so that we're ready to serve the incredible demand ahead. In January, we signed an agreement to purchase a 728,000 square foot production facility in Dayton, Ohio. This facility will complement our recent growth in California and will support our plans to again double production to four aircraft per month in 2027. Dayton was home to the world's first aircraft factory, and we're proud to carry that legacy forward as we build the next generation of aircraft just down the road from Wright-Patterson Air Force Base, famous for its commitment to aerospace innovation. Over the last six months, we've raised nearly $1.8 billion, which combined with our existing cash balance gives us the capital we need to deliver on our plans for scaling production. And I'm pleased to say we enjoyed the support of investors old and new, including continued support from long-term shareholders like Bailey Gifford, as well as funds and accounts managed by CounterPoint Global at Morgan Stanley Investment Management, for which we're deeply grateful. Their conviction in what we're achieving was matched by many of our other key partners during the quarter. With Delta Airlines, we met a key warrant milestone on the road to commercialization, after which they exercised the first tranche of their warrants as part of our deepening partnership. And just this morning in Dubai, we debuted the Joby Uber in-app experience, showcasing how riders will be able to seamlessly book a Joby Air taxi using the Uber app. building on last year's announcement that our blade service will also be integrated into the Uber platform. Meanwhile, we continue to plan for a strategic manufacturing alliance with Toyota as we look ahead to scaling production. With the expansion of our California facilities, we redesigned our assembly footprint and production processes to align with Toyota production system principles. through a nearly 50% reduction in the movement of people and parts. We're streamlining our composite materials production flows, improving efficiency and positioning our system for scalable growth. This quarter, we also flew our turbine electric autonomous VTOL aircraft for the first time, just three months after we announced the concept alongside a new partnership with L3Harris. This demonstrator builds on our fully electric air taxi platform and integrates a hybrid turbine powertrain alongside our super pilot autonomy stack. Getting the aircraft airborne in such a short period of time is testament to the vertical integration that sits at the heart of Joby, and we look forward to taking part in operational demonstrations with government customers planned for this year. With all of this progress, 2026 promises to be a very special year for Joby and for our wider sector. America has been a world leader in aerospace innovation since the Wright Brothers' first flight, And in this, our 250th year, we have the opportunity to once again set the pace and the standard for the world. The U.S. government continues to lean in with bipartisan Aviation Innovation and Global Competitiveness Act, helping ensure the FAA applies the critical certification and integration resources needed to bring advanced air mobility to market. The U.S. has also taken bold steps to modernize and accelerate upgrades to the nation's air traffic control system. While we've designed the Joby aircraft to integrate seamlessly into today's airspace, these improvements will help ensure the system is ready for us to scale our service. A couple of weeks ago, we demonstrated the potential of advanced air mobility in our home market. With an aircraft bearing the logo of America 250, we flew from our base in Marina, across the Monterey Bay, past our headquarters in Santa Cruz, to land back where it all began for Joby in the Santa Cruz Mountains. That's a journey that I personally drive on a regular basis and which takes at least an hour longer and often much more on the ground. That simple demonstration was a powerful reminder of how quickly advanced air mobility can make a meaningful difference in people's everyday lives, and we look forward to completing similar flights in other cities across America this year as part of the EIPP program. Much like the early aviation pioneers who traveled from town to town showcasing the promise of flight, we'll be bringing advanced air mobility directly to communities across the country. by conducting flight demonstrations in early markets, engaging local leaders, and giving residents a firsthand look at our aircraft. We aim to build excitement, deepen understanding, and lay the groundwork for our future service. Before I hand it over to Rodrigo, I'd like to thank the incredible Joby team and our new blade team members for remarkable 2025. And as we look ahead to welcoming FAA pilots to fly our aircraft, carrying our first passengers and scaling our manufacturing, I'm confident that 2026 will be another landmark year for Joby.