Joby’s $79.2m Q3 loss ‘reflects continued certification progress’


Joby Aviation’s (NYSE: JOBY) $79.2m net loss in the third quarter (Q3) reflects continued progress in certifying the aircraft and also in launching early manufacturing operations, it said.

In the past quarter Joby has risen its means of compliance acceptance, in terms of certification, from 74% to 84%, the FAA accepted its first equipment-level qualification plan for the flight control computer and it became the first eVTOL firm to apply for validation of an FAA type certificate in Japan. Delta Air Lines also came onboard with an initial $60m investment, which could be expanded to $200m.

Matthew Field, chief financial officer and treasurer, Joby Aviation said: “As of September 30th, we had nearly 1,400 employees globally. Cash used in operating activities and purchases of property and equipment totalled $73.7m for the quarter. Spending increased compared with the prior quarter, reflecting the additional pay period in September and increased staffing partly offset by the non-recurrence of purchasing avionics in May.”

That is largely why adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) in Q3 2022 came in at a loss of $77.7m. As noted, Joby says it primarily reflects costs associated with development, certification and manufacturing of the aircraft. The loss was $21.8m higher than in Q3 2021 and $3.6m higher than the prior quarter. 

The FAA’s acceptance of the flight control computer plan was a significant moment, according to JoeBen Bevirt, Joby, CEO.

“The qualification plan covers the flight control computer and serves as a blueprint for all of the other electronic componentry that will go through this process in due course,” he said during yesterday’s investor call.

It is not all loss. Bevirt also said Joby is in discussions with the US Department of Defense to begin service operations in 2024. [This] has the potential to provide a significant revenue stream in its own right, ahead of FAA type certification,” he said. 

Also, the net loss of $79.2m (or $0.14 per share) was offset by $17.9m of other income partly raised from higher interest rates on investments. At the end of Q3 2022, Joby had $1.1bn – enough for about 3.5 years at the current quarter’s spend of $74m. Net cash used in operating activities totalled $207m in the first nine months of 2022.

Operating expenses also reflect stock-based compensation of $13m. The improved operating expense compared with the Q2 is thanks in part to higher payments from the Agility Prime contract with the US Air Force.

Field added: “We are well capitalised with $1.1bn in cash and short-term marketable securities at the end of the third quarter. This cash balance excludes the upfront investment of $60m from Delta, which was received on October 7th through the issuance of common stock.”


Joby Q3 results – at a glance

  • $79.2m net loss or $0.14 per share
  • Operating expenditure of $73.7m and $207m for first nine months of 2022 
  • EBITDA loss of $77.7m 
  • $1.1bn in cash ad short-term marketable securities 
  • Compliance acceptance rose from 74% to 84%
  • 2025 target for commercial service.