NEW YORK, August 25, 2026, 15:42 (EDT)
- EHang stock declined 9.90% to $4.68, with trading volume at 3.44 times its average.
- Revenue for the second quarter increased 203.5% from the previous quarter, but was down 31.3% compared to the same period last year.
- Management has pulled its RMB600 million 2026 revenue goal and did not announce a new target.
EHang Holdings Limited NASDAQ: EH dropped 9.90% to $4.68 on Tuesday. The autonomous aircraft manufacturer pulled its 2026 revenue outlook following a significant quarterly sales miss.
Second-quarter revenue reached RMB77.9 million, equivalent to $11.5 million, falling 41.4% short of the RMB132.96 million consensus forecast from financial-data providers.
The previous annual goal was RMB600 million. Chief Financial Officer Conor Yang stated EHang would “withdraw our previously issued 2026 revenue guidance.” The company did not issue a new forecast, citing increased uncertainty in Chinese regulatory approval timing. EHang results
China increased oversight following a deadly light-aircraft crash in late June. EHang stated its aircraft were not involved in the event. However, the regulatory measures led to delays in certain passenger-service approvals.
| Metric | Q2 2026 | Q1 2026 | Q2 2025 |
|---|---|---|---|
| Revenue | RMB77.9M | RMB25.7M | RMB113.3M |
| eVTOL deliveries | 36 | 4 | 52 |
| Gross margin | 61.2% | 62.5% | 61.5% |
| Operating loss | RMB131.7M | RMB127.9M | RMB100.1M |
The recovery from the previous quarter was significant. EHang shipped 36 electric vertical take-off and landing aircraft, compared with four in the prior quarter. However, deliveries were still down 31% from 52 in the same period last year.
Strong margins could not balance the operating base. Gross margin remained steady at 61.2%. The operating loss of RMB131.7 million amounted to 169% of the quarter’s revenue.
The drop in EHang shares erased approximately $39 million from its market capitalization, which equals about 3.4 times the revenue generated in the second quarter. This figure is based on EHang’s market value of $355.3 million as of Tuesday and a decline in share price of 9.90%.
The shift in pricing was reflected in trading activity. By 14:48 EDT, volume had climbed to 2.27 million shares, or 3.44 times EHang’s typical average of 660,390 shares.
As of June 30, EHang possessed RMB929.4 million in cash and investments. This amount equaled close to three times the company’s second-quarter revenue on an annualized basis. The sum was sufficient to cover roughly seven quarters’ worth of operating losses at the ongoing rate, prior to changes in working capital.
Analyst opinions are split. Out of five latest ratings, there is one Buy, two Hold, and two Sell recommendations. The consensus price target stands at $7.12, with the lowest estimate at $4.40. Bank of America maintained its Sell rating on Tuesday, setting the price target at $5.10.
EHang is expanding its revenue streams outside of passenger transportation. In the quarter, the company sold 520 GD4.0 formation drones. Additionally, a subsidiary was involved in a record-setting Japanese light show using 4,000 drones, announced on Tuesday.
Risks: Regulatory prudence may postpone the start of paid passenger flights and reduce aircraft deliveries. EHang has not released an updated revenue goal. Its available cash could now support a longer commercialization timeline than investors had anticipated.
The observable reset point serves as a substitute forecast. In the absence of updated guidance from management, advancements in overseas sandbox projects and revenue from drone shows do not fully compensate for the lack of a Chinese passenger-sales schedule.
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