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Flight-test progress and certification outlook: The engineering prototype has completed 59 flights (nearly 2.5 hours) and validated ~130 performance points including an autoland feature, and Eve is moving from hover testing to ground integration and transition flights with certification and entry into service now more likely in 2028.
Strong commercial interest and Vector development: Eve reports a pre-order backlog of ~$13.5 billion for ~2,700 aircraft and has two binding orders totaling about $500 million, while its Vector air-traffic-management module has been delivered and tested with customers like Revo.
Healthy liquidity and cost plans: Eve ended Q1 with a record cash balance of $441 million and total liquidity of $578 million, which management says should fund operations through 2028; Q1 cash consumption was $69 million and 2026 burn is guided to $225–$275 million, with planned Embraer synergies of $100–$150 million over three years.
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EVE (NYSE:EVEX) executives on the company’s first-quarter 2026 earnings call highlighted progress in flight testing for its full-scale engineering prototype, ongoing certification work with regulators, and a strengthened liquidity position that management said should fund operations through 2028.
CEO Johann Bordais said the quarter marked an important period following the “inaugural flight” of Eve’s engineering prototype last December. Since that first flight, Bordais said the prototype has completed 59 flights and logged “nearly two and a half hours in the air,” including multiple days with two flights, while completing all planned hover-phase objectives.
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Bordais emphasized that the test program is focused on both pace and depth of validation. He said Eve’s engineers have already validated 130 different performance points, with the aircraft reaching 215 feet above ground and moving forward at 30 knots. He added that the company has begun introducing more complex in-air maneuvers and fully tested an “autoland feature” controlled by the fly-by-wire system.
According to Bordais, the flight campaign has produced “meaningful knowledge gain,” including confirmation that predictive models are “reliable and precise.” He said ground effect behaved somewhat differently than expected, but loads remained within expectations, and the team is using deviations to refine its engineering models. Bordais also said results for motor thrust and battery performance were better than expected, while noise and vibration met expectations.
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Looking ahead, Bordais said the company has completed the hover phase up to 30 knots “successfully on schedule” and expects a period in the remainder of the second quarter focused on software uploads and ground testing ahead of transition flights. He said Eve plans to upload refined flight-computer software and conduct final ground tests on the pusher and actuators, along with mandatory structural ground tests and layup activities needed for the transition phase.
CTO Luiz Valentini, responding to analyst questions, described a shift from frequent flying to a period of ground-based integration and structural testing meant to prepare the aircraft for “the larger envelope of flight” as the program moves from Q2 to Q3. He said the company is “confident” based on how the vehicle has performed relative to expectations, while noting that transition introduces new learning as envelope expansion continues.
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Bordais also outlined a gradual transition approach, beginning with partial transitions and progressively increasing speed, with lifter rotors engaged to provide vertical support. At the end of the transition phase, he said Eve plans to accelerate to a full transition speed above 85 knots, at which point the aircraft becomes wing-borne with lifter motors off. After transition testing, Bordais said the company expects to introduce controlled failures, such as motor shutdowns, to observe system behavior and refine safety procedures and pilot protocols.
On broader timelines, Bordais said the company now has greater visibility into certification planning for conforming vehicles and that “certification and entry to service are more likely in 2028,” citing a need to fly conforming vehicles for 12 months to complete certification tests. He said the added visibility increases confidence and lowers risk in the updated schedule and allows incorporation of engineering-prototype learnings into the conforming prototype, including targets tied to range, noise, reliability, payload, and operating cost.
Management described ongoing engagement with regulators. Bordais said Eve recently hosted a demonstration at Embraer’s Gavião Peixoto facility in Brazil for Brazilian authorities, including the president of Brazil. He added the company met with Brazil’s ANAC and the U.S. FAA at its Melbourne, Florida office to discuss certification timelines, met with Japan’s JCAB and ANAC to strengthen cooperation between agencies, and formally applied for an eVTOL type certificate with EASA.
Valentini provided an update on the “means of compliance” discussions, saying Eve has proposed all means of compliance to ANAC within its certification plans and is discussing them “one by one.” He said the company believes it is “around 90%” agreed on the means of compliance and noted agreement on noise certification requirements, which he said is not part of the certification basis but is important for certification and operation. Valentini added that alignment work is primarily handled with ANAC as the primary certification authority, with engagement continuing with the FAA.
Valentini also described how flight-test data is being fed back to suppliers to optimize systems toward Eve-100 product requirements, citing battery temperature behavior as an example of data used to support supplier development and integration decisions.
Bordais said Eve’s pre-order backlog stands at approximately 2,700 aircraft valued at about $13.5 billion at list price. He added that the company has letters of intent with 14 customers for aftermarket services and support and 21 potential customers for its air traffic management solution, Vector.
On commercial strategy, Bordais said the company is “very comfortable” with the current customer mix and is focused on engaging customers to move from LOIs to firm contracts while also working with customers and local authorities to prepare for entry into service. He said certification is “really the starting line,” with the operational phase and utilization expected to be central to the broader urban air mobility rollout.
Asked about binding orders, Bordais said Eve currently has two: Revo and AirX, each for up to 50 aircraft under firm arrangements, which he described as totaling “$500 million under a binding agreement.” He said the agreements include pre-delivery payments (PDPs) and milestones tied to product development.
CFO Eduardo Couto provided additional detail on PDP cadence, saying initial down payments are received when binding agreements are signed and that further payments are expected 18, 12, and six months prior to delivery. He said Eve anticipates receiving 30% to 40% of an aircraft’s total value before delivery, with the balance paid at delivery, consistent with commercial and executive aviation practices.
On Vector, Bordais said the company’s approach is modular and that urban air mobility operations can begin using existing air traffic management systems, with more robust solutions needed as operations scale. He said Eve delivered the first Vector module to Revo, which was tested successfully at the Grand Prix of São Paulo late last year. He added that Eve plans to move from vertiport management to fleet-level functionality and then to “certifiable software” with ANAC and DECEA, and noted Embraer-owned Atech’s role in developing Brazil’s existing air traffic management software and in developing Vector with Eve.
Couto said Eve ended the first quarter with a “record cash position” of $441 million and total liquidity of $578 million, which includes about $136 million of undrawn credit from the Brazilian Development Bank. He attributed the higher liquidity to a new five-year, $150 million loan raised in January and said the company believes the added liquidity “should support operations through 2028 without new funding.”
Couto said Eve is also working with Embraer to reduce cash burn from 2026 to 2028. He said an initial review suggests $100 million to $150 million in incremental synergies over the next three years and that actions have already begun to be implemented. In response to analyst questions, Couto said the synergy work spans four areas discussed in a workshop involving more than 200 people: Eve’s internal cost structure, services Embraer provides to Eve, third-party suppliers, and industrialization.
He added that the synergies are expected to affect both R&D and SG&A, including efficiencies tied to development, general expenses, third-party consultants, and industrialization for conforming prototypes and production. Bordais linked the effort to Embraer’s “lean philosophy” and Kaizen-style continuous improvement.
For first-quarter results, Couto said Eve spent $59 million on R&D and $7 million on SG&A, resulting in a net loss of $69 million. Cash consumption was $69 million, though Couto said this included about $11 million of payments that were expected in the fourth quarter of 2025; excluding that item, he said cash consumption was $57 million, in line with the low end of guidance. Couto reiterated 2026 expected cash burn of $225 million to $275 million, excluding the potential synergies under implementation.
Addressing a question on accounts payable timing, Couto said Eve ended 2025 with $21 million due in the fourth quarter, paid $11 million, and that invoices totaling $10 million “slipped to the right” into first-quarter invoicing, resulting in the carryover dynamics seen in quarterly cash consumption.
Valentini also said the company continues to use “300 flights as a reference” for the engineering prototype test campaign, while noting the number could change based on testing needs such as vehicle modifications or evaluating different propellers or lifters.
Eve Holding, Inc (NYSE: EVEX) is the publicly traded parent of Eve Air Mobility, a company dedicated to developing sustainable urban air mobility solutions. Through its engineering and design capabilities, Eve focuses on creating electric vertical takeoff and landing (eVTOL) aircraft tailored for short-haul passenger and cargo transport in densely populated areas.
The company’s flagship offering is an eVTOL aircraft designed to deliver clean, quiet and efficient point-to-point service, backed by an integrated digital platform for air traffic management.
The article "EVE Q1 Earnings Call Highlights" was originally published by MarketBeat.