After the eVTOL company’s impressive display of its full-size VX4 Aircraft at the recent Farnborough Airshow, which prompted a share price rise of over 20 percent, the UK-based firm announced first half-year 2022 results this week, reports a press release.
Highlights include:-
: Completed the build of the full-scale VX4 Prototype. The VX4 Prototype, as part of its intensive flight test programme, has conducted a series of ground tests and is expected to begin flying during the late summer with an actual pilot on-board.
: Formed a strategic partnership with Molicel, a leading manufacturer of lithium-Ion cells, for the supply of high-power, low-impedance, cylindrical battery cells for the VX4 battery pack.
: Welcomed Mike Flewitt, former Chief Executive Officer of McLaren Automotive Ltd and VP Manufacturing of Ford Europe, to the Board of Directors as an independent non-executive director.
: Secured 50 new pre-orders for the VX4 from business aviation operator FLYINGGROUP; announced a new partnership with Babcock for emergency medical services and logistics application of the VX4, and received a commitment from American Airlines to make a pre-delivery payment to secure delivery slots for the first 50 VX4s of their conditional pre-order of up to 250 aircraft, with an option to purchase an additional 100 aircraft.
: Secured concurrent validation of the VX4 between European Union Aviation Safety Agency (EASA) and the UK’s Civil Aviation Authority (CAA) on the same SC-VTOL certification basis, which we believe will enable rapid deployment of the VX4 across multiple markets.
VX4 on Display at Farnborough
Financial Highlights
: Due to Vertical investing further in the build of the VX4 Prototype, the development of its test and certification activities and in the people, systems and processes to support the company.
: Reported a net operating loss of UKP39 million for the six months ended June 30, 2022, compared to a net loss of UKP22 million for the six months ended June 30, 2021.
: As of June 30, 2022, Vertical had cash and cash equivalents of UKP158 million. Vertical expects that its existing cash and cash equivalents will enable Vertical to fund its operating expenses and capital expenditure requirements for at least the next 12 months.
: In August 2022, to support ongoing capital requirements, Vertical established an equity subscription line with Nomura, which will allow Vertical to issue up to USD100 million in new ordinary shares. This facility is intended to provide flexibility around the timing of issuing new stock to minimise dilution.
Financial Outlook
: The 2022 capital plan continues to remain on track with net cash outflows to be used in operating activities in the second-half of the year expected to be between UKP40 million and UKP50 million.
Stephen Fitzpatrick, Vertical Founder and CEO, commented, “I am delighted to share that we have reached a critical engineering milestone by completing the build of our full-scale VX4 prototype, and we have now begun putting it through its paces for an intensive, multi-month flight test programme.”
He continued, “In the last quarter, we have expanded our pre-order book to more than 1,400 and announced new VX4 applications in emergency medical services, cargo and business aviation, with Babcock and FLYINGGROUP. We have also secured an industry first with American Airlines’ commitment to place a pre-delivery payment for the delivery slots of their first 50 VX4s, out of a possible 350.” Adding, “The outlook for eVTOLs and Vertical has never looked better, and we look forward to providing our shareholders with more news on our piloted flight.”
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