Aeva (AEVA) 8 Nov 232023 Q3 Earnings call transcript

Good day. My name is MJ, and I will be your conference facilitator. I would like to welcome everyone to Aeva Technologies Third Quarter 2023 Earnings Conference Call.

Following the opening remarks, we will conduct a question-and-answer session.

As a reminder, today's conference call is being recorded and simultaneously webcast. to Investor call Relations. like Fung, to now of Director would turn over the Andrew I Andrew, go please ahead.

Thank you, conference earnings third quarter and welcome, everyone, call. to Aeva's XXXX

Salehian, and Joining and Co-Founder we can to our presentation, issued XXXX on Ahead are which call quarter on call, Investor Soroush be third at release the of this found and Sinha, investors.aeva.com. Saurabh Relations today press CEO; our Aeva's we CFO. today refer Aeva's website and will

a we cause not differ and will and our current views be statements call, as expectations. of making variety statements Please forward-looking which relied on actual materially note this of should and from that of our based to be expectations views of are that statements uncertainties results on as date. risks today any to could upon reflect as only representative subsequent subject subject These uncertainties. assumptions, and are to risks These

other material most recent to For our our the including a and refer further SEC, could and filings please the discussion with risks Form our important results, that of XX-K. financial Form affect XX-Q factors

be performance. useful will supplemental In believe The replay substitute Investor Relations a addition, isolation we on GAAP financial measures in be company from available are will in measures link. our non-GAAP of we results. measures, webcast and during of which non-GAAP discuss not as should today's call, website this Aeva's under considered These to as addition for the call or

me let call with to turn over the that, Soroush. And

time and It's at incredibly Andrew, an everyone. exciting afternoon, good you, Thank Aeva. been

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discuss Let's turn the collaboration to our Slide to OEM. a in with X latest top XX

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let Saurabh And discuss to the over with financials. to turn call that, me the

everyone. Soroush, you, Thank and good afternoon,

for to driven turn of other million, by Slide XX, Non-GAAP operating approach to Let's results continued II. a financial R&D $X.X maintained growing QX was we Aeva's strategic summarizes $XX.X which was loss which XXXX. million, and Revenue spend. deliveries operating and deliberate as be for Aeries to QX

Reflecting operating on used, capital million. cash flow we our as less cash gross for the which expenditure, define was quarter, $XX.X cash spend

the of strong equivalents million at remains sheet balance QX. weighted quarter with $XXX.X of And and shares average the in securities XXX.X million. Our marketable end cash outstanding was cash,

progress while commercial up, it is on maintaining momentum. sum significant financial strong our To discipline Aeva making

the on in be additional managing important Aeva support positioning of well for existing stage a continue preparing of as our to will move we we our as start programs. to customers focus As with winning to capital production, thoughtful

more decision about already strong balance like as to sheet of made we what bolster decision. drove would strategic our further I share XX. additional a with part Slide on this summarized As to focus, captive, this

support opportunities. the we number Aeva's from such other have This OEMs, near and as demonstrating stage and for a progress of top on on decision the we advancing XD to LiDAR final to ability manufacturing production interest significant growing continue of the multiple our XX this, to been with year, see Because and program. wins objectives, production our program of are on maturity engagements, making

building by ability We high-volume additional Aeva including capital suppliers looking in programs strategically other multiple automotive programs, with who put can believe programs support position confidence stronger SOP. to support in major few a OEM our additional beyond their select the win OEMs production to to

capital In reached $XXX unique total, conviction with and technology agreements and our in additional and continued we Adage largest of their some Sylebra, potential. Aeva's demonstrating for stockholders, longest strong million of

financing capital, shares facility undrawn that and capital structure Aeva's approach continued million Importantly, The flexibility placement will $XXX the taking discretion $XX the in on prudent focus drawn to through to dilution a additional utilize a with be a total remaining how of is our This the we deployment. production common automotive be currently may stock. can minimizes preferred million private is and when near-term at of new approximately enable win. OEM nonvoting upon a strategic us demonstrating

to I for that, hand with closing remarks. back the Soroush call And will

automation Thank perception we of applications, range out a set Saurabh. solution to driving beyond. to from unique industrial a and started automated to broad Aeva, When you, we bring

been I future say Aeva's convinced environment macro been and outlook. challenging, has the never I've While potential more that can in

with from only Nikon, Our for on and with is to our both applications for broad we track highlighting the this deployments by is wins production May program XD LiDAR the beginning. and gaining phase transition production production phase momentum And being believe latest us Mobility development XXXX.

support executive balance Board number put of a of our large their such sheet near-term as OEM, with to start opportunities, on and beyond of automotive top production. production additional to our advance and in bolstering secure strength strategically experience a a leading to continue with XX Aeva other further wins OEMs expanding position We

XD enabling who like our mission achieve us I stakeholders, and would market. dedicated thank at bring executing team LiDAR talented to to Aeva, continue on Together excited milestones. am are to I with to our and these our

line for will that, With questions. we now open up the

Instructions] first comes Joe [Operator Moore question Morgan Today's from with Stanley.

to guess that you about. I the make and you're if Tier be able the disclose if more is next wonder the quarter I kind could will this Great. the announcement does going with in a that to that is about talk who announcement progress quarter, able mean be timeframe? at X the the I you talked of that win next that you won guess customer formality. of business -- already has the in to

step-by-step can this OEM. have of technology Joe, yes, way few progress call we stronger with the months additional continued they the Look, In to using what happy throughout say with talked past and the in LiDARs question. to past is, have on as I months, vehicles stronger we deployed a quarter, answer the road. our talked our the have on past the few and we make as

intend as It level. the But not now the And that we're commercial is the negotiations, it can And the strong of topics fully awarded what hope are next we we the been in that towards the of OEM we yet. receive that. mentioned, from phase at decision name production in talk discussions, about nomination as goes quarter. that feeling we about And really has award time. the course, to and the OEM also hard

So OEM. XX this is a top -- and obviously,

been as as definitely top this today, wins a advancing OEM, progress that announcements global we some of progressing time. program on the make continue applications. And for think is some automotive OEMs to about talked we towards across heels important these this the we're other working So of very all with that but also and industrial well with we and we've

that long kind would to get create when kind timeframe to you that you're long close that how this the something interest -- to take of to of wanted kind OEM, look X how would announcement road? an other we OEMs, capability technology that about from think extent of mean it I brings, take revenue ask with What could to into move that XX making that. at should start I your to you down I that if expect the enthusiasm. top drive it the Yes, would

Yes.

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this about go we're talking time. some to been We have We for 'XX. production to said in going

that. big are we validation, a are that Now I X showing points and are, these showing think,

similar program, OEM, top this Additionally, type other mid-decade including XX OEM has also SOPs.

yet, about and going it, the We talk as go But that's have things we will. along. can as right not shared time that to we when at we are also start transitioning

of phase, As growth development increasing and going those multiple kind we're from in that actual travel to believe [indiscernible] production customers. now moving shipments revenues these start and phase towards we this with towards of is the also to

a what remain have that's timing I timelines right So before. think But those say from standpoint, now. as can I we discussed

Colin The next Rusch question from is Oppenheimer. with

you're how of allowing objects seeing systems? they're using some in of what navigation about to can and different work types detail, it's differentiating you've talk As bit terms them velocity OEMs well in starting do what in it with to simplicity this terms more between of of as data little as you a gotten of

to Yes, that. answer Colin. Happy

is So in look, in industrial that's of have sensing, also from towards automotive, we general And talking applications over I especially think but perception seeing. not time-of-flight, the in we're sensing more about FMCW. overnight, is standpoint the time other kind over this been from time, in and long-range which but also transition

about and really the those deal Mobility, form the week, with been production some with for that with good seeing we with are May place. the Nikon, in we've think that see, validation actually I example, of app talking we this with

number that design do about do what actually Aeva over a at also switching automotive, reasons cannot is of look their before, enable, actually to more really in don't there It's expand It's go and actually switching. for domains. OEMs about they enabling it. operating right? really We to But able over being really can with associated they which or expanding how want be example, is to

Resolution they of you with highway a you're to to cases So that, of to And keep highway it starts use speeds working seeing a [indiscernible] and especially what's the able actually in exciting as speed, that and challenges starts customers no with And are and is road number lower technology cases speed, sensing that's had deploy long-range started actual of FMCW used for and application. the from I dimension, approach, interference, go that's to the where to to always the to they the to they having it regards use very real-world far, and on type velocity we that -- using number think the have do be our the not is Ultra there to safe higher advantages happen from them risks actually it's fee, it starts as help OEMs the before. using have about when of so features, us specs real-world solve And testing. the Aeva actually met. need when

that's So XX OEM. -- for the with case, the top and example,

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So separately. an that's industrial automotive and

it the all and that applications the technology where ability gained, some phase. momentum of example, now the to size see cost towards for we've validating industrial have that's Nikon improved. expand where we performance, really continuously see we to production opportunity, the to when also be the truly with potential continue highlight of We and moving in And

I they helping solve enabling use about. what we're new all about what before, and It's the customer cannot it's that's, about think, So cases.

your answers question. that hope I So

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what hurdles So are really of you sort up? I to scaling want understand remaining before on feel confident

Yes.

said, just in with as so talking briefly Nikon answer the So your about we question and maybe opportunity that.

XXXXX. announced working And go course, years couple This on been we ago, not Nikon, of set only week, of target we've production we now. with years a to for out are even X by about a track. So that we to

the requirements a Nikon by micron from have which the validation FMCW, completed meeting is understanding. and way, stringent the feature a our for the to We to Versus time-of-flight. with precision, unique also

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our So year, set system the on as manufacturing said we expand out the in earlier to side. we

continuing really our with -- supply now our on the are We product that processing. addition that module, heart bring Nikon and which of to goes the additional the of automation manufacturing we to in LiDAR-on-Chip in core is the

focus is us. So the for that

really that and to I you and over there the think on team the in the throughputs progress and there we continue this focusing have expanding look Fabrinet -- yields But we to. outputs been manufacturing be this. we on working in on we'll line talking automated with the next our on the months, and site prepare closer, have updates as get for about

ROTH Desilva Suji Capital. from with comes question next The

on to the perception just announced award the as top I the XX that. the same question here, you OEM you're win one one the want with that clarify is and to just clear, I about talking be stack? well for A me. want

the Yes, is this same.

one? Okay. It's all same the

about. same that ranged only obviously, is that not we've [ but OEMS it's multiple one there's the And are there. Yes, been ], talking one that

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of here? if kind Just the to you've understand your breadth of clarified opportunity

discussed have not that. we No, Yes.

tell final I will go what we talked middle is from coming decade, and as think, XX opportunity up. is, think obviously, But large in decision with the opportunity volumes that future you in towards of top I right about. the the a the be, with we've the OEM can I production as

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The next is Craig-Hallum. Richard question with from Shannon

Maybe on top here. the we'll hit OEM XX

that they're are I selected looking past Or down were others? language quarter. your in supplier mean was the think there at? you're -- this only that you remaining Does

So end that look look, never day, of the does, that we of the something at in end we know terms the and is at. not customer what necessarily

vehicles I at multiple there think with quarter. look what the in we down the importantly, in But which has about our been up decision for with also started the past, replaces we sensing in we actually of they we're this haven't the that's already selection and their time, is mentioned, talked as worked layers some final technology, time-of-flight really as have happened. At I stage, actually this have right? And next technology OEM on deploying some coming phase. and

and us So we're further additional information right support now. what for. gives that can that I looking That is the say

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information. stop for So I there things happening, think the would a number I of but

the color of OEM within through our of a But don't enough. I is Fair you're magnitude is color. order even something think if that some you ultimate that with any that's relatively this speaking? typical How scale going on May ways that here them Okay. us know question of how related could give with. big of could XXXX? opportunity of Mobility. be, in follow-on automotive exists to terms do My Appreciate them we

to. Happy Sure.

a give you hopefully there. question color let little bit of May your answer and So me about

So sector obviously, year. It's Aeries we're this. the very the deployment deployments one first with us starting mobility in II automotive excited already the for about of this

bit a comparison size about background give context of about some the May mentioned. you give me and let and And kind you the

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talking which long-range a And deal the so about in here for multiyear Aeva production we're is exclusive LiDAR supplier May globally. vehicles

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working for and to excited really the with we're commitments hard our years So in. towards partner delivering them

our Thank presentation. now conference has question-and-answer you and today's This session, concludes for the attending concluded.

disconnect. now may You