EHang Holdings Ltd reported fourth-quarter fiscal 2023 revenues of RMB56.6 million ($7.97 million), an increase of 260.9% year-over-year, beating the consensus of $7.83 million.

Adjusted loss per ADS of $(0.04) or RMB (0.34) beat the consensus loss of $(0.10). The stock price climbed after the results.

The gross margin of the aerial vehicle (AAV) technology platform company declined by 140 bps in the quarter to 64.7%, mainly due to changes in the revenue mix and increased cost per unit of the EH216 series product.

Adjusted operating loss was RMB(24.9) million or $(3.5) million, compared with RMB(61.3) million a year ago.

Adjusted operating expenses were RMB64.2 million ($9.0 million), compared with RMB73.2 million a year back.

EHang held cash and equivalents of RMB334.1 million ($47.1 million) as of December 31, 2023. It generated positive cash flow from operations during the quarter.

Sales and deliveries of EHang 216 AAVs were 23 units compared to a year ago.

Guidance: EHang expects first-quarter revenues of RMB58.0 million, representing an increase of approximately 160% Y/Y versus consensus of $10.43 million.

Investors can gain exposure to the stock via SPDR S&P Kensho New Economies Composite ETF ( KOMP ) and Vanguard FTSE Emerging Markets ETF .

Price Action: EH shares traded higher by 6.39% at $14.48 premarket on the last check Friday.