James [Indiscernible]'s questions to EHang Holdings Ltd (EH) leadership • Q3 2024
Question
An analyst from UBS, identified as James, questioned when EHang expects to reach breakeven given increasing scale and lower battery prices. He also asked about the company's supply chain strategy for key components like electric motors and solid-state batteries.
Answer
CEO Huazhi Hu explained that while component costs will decrease with scale, ongoing product iterations may add costs. He emphasized that with positive adjusted net profit already achieved and revenue growing faster than expenses, the company's profitability is strengthening. He also outlined a supply chain strategy focused on collaborative development, strategic investments, and joint ventures in over 10 core technology areas to maintain leadership.