JOBY
TL;DR Overview
Core Insight: Joby’s differentiator is the combination of regulatory lead and full-stack control—vertically integrated aircraft design and manufacturing, exclusive market access in Dubai, and a ready-made distribution network via Blade and Uber.
Key Opportunity: Early U.S. deployment via the White House eVTOL Integration Pilot Program and Dubai’s six-year exclusivity create near-term launchpads, while Toyota-enabled scaling and joint ventures in Japan and Saudi Arabia expand global optionality.
Primary Risk: Certification and operationalization timing remain the gating factors; prolonged timelines would amplify cash burn, increase financing needs, and defer scale economies.
Urgency: Within the next 6–12 months, Joby expects to fly its first FAA-conforming aircraft, begin TIA flight testing with FAA pilots, select U.S. eIPP markets, and integrate Blade into the Uber app—catalysts that can redefine the commercialization path.
1. Executive Summary
Joby is positioning to convert technical leadership into operating momentum ahead of full FAA certification, leveraging the White House eVTOL Integration Pilot Program to begin early U.S. operations in select markets. The company reports it is in stage 4 of 5 for FAA type certification, targeting the first FAA‑conforming aircraft this year and flight testing with FAA pilots early next year. Internationally, exclusivity in Dubai for six years, a joint venture with ANA to deploy more than 100 aircraft in Japan, and a UK partnership with Virgin Atlantic outline a multi-continent go-to-market strategy that mixes owned-and-operated services with partnered models and prospective aircraft sales.
Financially, Joby finished Q2 2025 with $991 million in cash and short-term investments after the first $250 million tranche from Toyota’s $500 million strategic investment, and it guides 2025 cash use of $500–$540 million (excluding Blade acquisition impacts). The acquisition of Blade’s passenger business—now completed—delivers terminals, lounges, and 50,000+ 2024 passengers in core markets like New York and Southern Europe, with integration into the Uber app as soon as next year. On defense, the Xwing “Superpilot” autonomy platform completed 7,000+ miles of autonomous operation in a U.S. DoD exercise, while a new L3Harris collaboration targets a gas turbine hybrid VTOL variant for low-altitude missions, underscoring credible dual-use potential.
The long-term thesis hinges on translating regulatory progress and early-market access into durable unit economics. The primary risk is schedule—any delay to certification or operational milestones increases capital needs. Yet, the combination of Toyota’s manufacturing partnership, Blade/Uber distribution, and Dubai/Japan/UK channels gives Joby multiple paths to revenue as it accelerates toward first passengers in 2026.
2. Trading Analysis
From a capital markets perspective, Joby has actively de-risked near-term liquidity while accepting dilution to fund certification and production scale-up. The company raised gross proceeds of approximately $202 million in an October 2024 equity offering and subsequently closed the first $250 million tranche of Toyota’s $500 million strategic investment, ending Q2 2025 with $991 million in cash and short-term investments. Management guides to 2025 cash use of $500–$540 million, excluding Blade acquisition effects, implying a meaningful but managed burn as certification, manufacturing, and market entry accelerate.
Reported Q2 2025 net loss increased to $324.7 million year over year, driven primarily by higher research and development activity and broader program spend; R&D alone rose 21% to $136.4 million in the quarter. Investors should expect continued losses and negative cash flows until commercial operations commence. The completed acquisition of Blade’s passenger business for up to $125 million adds strategic assets but also integration obligations; management has not provided quantified revenue uplift or cost synergies. With first FAA-conforming aircraft targeted this year and TIA pilot testing early next year, upcoming milestones—eIPP market selections within roughly 180 days, Dubai vertiport completion expected in Q1 2026, and Uber app integration of Blade services as soon as next year—could shift sentiment by clarifying the revenue ramp path. Absent unexpected acceleration in commercial revenues or significant defense awards, additional capital raises—equity or debt—remain part of the playbook as explicitly noted in filings.
3. Team Overview & Governance
Joby’s leadership blends deep aerospace and operations experience with strong regulatory engagement. Founder and CEO JoeBen Bevirt has kept the company on a long-duration development arc while expanding partnerships with Toyota, Uber, ANA, and Virgin Atlantic. The appointment of Rodrigo Brumana as Chief Financial Officer in May 2025 adds a finance leader with a background in scaling global hardware-centric operations, aligning with Joby’s transition from development to production. Operationally, Bonny Simi leads air operations, underlining a strong safety and training ethos exemplified by the FAA Part 141 Flight Academy approval and FAA acceptance of Joby’s Part 5 Safety Management System for air operations.
On certification and policy, President of Aircraft OEM Didier Papadopoulos and Chief Policy Officer Greg Bowles have driven a visible cadence of milestones, from “for-credit” FAA testing to international regulator familiarization sessions. Governance signals are positive: safety systems are being formalized ahead of launch, pilot training infrastructure is in place, and the company’s willingness to host global regulators and participate in federal initiatives like the eIPP suggests mature government relations. Details on board composition, independent oversight structures, and specific committees were not included in the provided materials.
4. Business Model
Joby pursues three routes to market: owned air taxi services, aircraft sales, and partnered services. The owned-operations strategy is most apparent in Dubai, where Joby holds six years of exclusive rights and is building a network of vertiports integrated with the city’s transport system, supported by infrastructure partners like Skyports and Jetex. In the U.S., the eIPP provides a path to begin early operations in select markets ahead of full certification, allowing Joby to validate service design, community interfaces, and operational maturity in real-world settings.
Partnered services are central in the UK with Virgin Atlantic, in Japan with ANA (including a joint venture targeting more than 100 aircraft deployment starting in Tokyo), and via Uber’s platform where Blade flights will be bookable as soon as next year. The Blade acquisition provides immediate passenger terminals, lounges, and loyal flyers in New York and Southern Europe, effectively lowering go-to-market friction and future customer acquisition costs. Direct aircraft sales are emerging as a credible vector outside Joby-operated systems, highlighted by a Saudi Arabia MoU with Abdul Latif Jameel for up to 200 aircraft and related services valued around $1 billion, alongside defense-focused delivery opportunities with the U.S. government.
This blended model hedges certification and market-access risk by diversifying revenue sources. Near-term revenue visibility remains limited pending certification and AOC awards; however, the mosaic of owned markets, JV and airline partnerships, Uber distribution, prospective sales, and defense collaborations is designed to accelerate adoption and improve capital efficiency at launch.
5. Financial Strategy
Joby’s financial strategy couples strategic capital with staged scaling. Toyota’s $500 million investment—of which the first $250 million has closed—anchors manufacturing scale-up and deepens a supply and production alliance. The October 2024 equity raise at $5.05 per share added gross proceeds of roughly $202 million to fund certification and operations preparation. As of Q2 2025, Joby reported $991 million in cash and short-term investments and expects 2025 cash use of $500–$540 million, excluding Blade impacts. Management has been explicit that losses and negative cash flows will persist until commercial operations are underway, and future needs will be met with a mix of equity and debt.
R&D and certification spending is rising as programs mature; Q2 2025 R&D expenses grew 21% to $136.4 million, with total operating expenses up 16% to $167.9 million. The Q2 2025 net loss of $324.7 million versus $123.3 million a year prior reflects this ramp and potentially non-operating items; the materials did not detail the specific drivers beyond operating expenses. The company continues to pull non-dilutive levers where possible, including a $9.8 million California grant and a $10 million equipment cost reduction program to offset manufacturing scale-up costs. Terms and expected financial contributions from the Blade acquisition were not disclosed; management has framed the deal as strategically accelerating commercialization and reducing customer acquisition costs rather than near-term profit accretion.
6. Technology & Innovation
Joby’s piloted, all-electric eVTOL is designed to carry four passengers plus a pilot at up to 200 mph with a target range of approximately 100 miles and an acoustic footprint claimed to be 100 times lower than conventional helicopters. Technically, the program advanced through thousands of flight tests including piloted full transitions, simultaneous multi-aircraft testing, and the first piloted eVTOL flight between two public U.S. airports while integrated into FAA-controlled airspace—evidence of system maturity and air traffic compatibility. The company reports moving through stage 4 toward type certification, with the first FAA-conforming aircraft expected this year and TIA flight testing with FAA pilots early next year.
A key innovation vector is autonomy. Since acquiring Xwing’s autonomy division in 2024, Joby has fielded “Superpilot,” which recently logged more than 7,000 miles of autonomous operations across diverse airspace classes and mission profiles during a U.S. defense exercise. This work, alongside L3Harris collaboration on a gas turbine hybrid VTOL for defense, underscores a dual-use roadmap: autonomy and hybridization for military and logistics missions, and piloted electric service for urban passenger mobility. Notably, Joby is also deploying its Global Electric Aviation Charging System (GEACS) through infrastructure partners like Jetex, signaling early thought leadership on standards for high-utilization electric operations. Details on recent battery chemistry, component-level efficiency improvements, or new proprietary software beyond the autonomy stack were not provided in the materials.
7. Manufacturing & Operations
Manufacturing is scaling in Marina, California, and Dayton, Ohio, with Toyota’s production methodologies embedded into Joby’s processes. The company expanded to 435,000 square feet in Marina and plans to double near-term output capacity to up to 24 aircraft per year, while the Dayton facility is being renovated to manufacture and test components with an eventual plan discussed to reach up to 500 aircraft annually. The company cites vertical integration as a key driver of pace and quality, enabling in-house design, build, and “for-credit” testing of major aerostructures, and it has already delivered aircraft to the U.S. Department of Defense.
Operational readiness is being built in parallel. Joby has stood up a Part 141 Flight Academy to pipeline pilots and has an FAA-accepted Safety Management System for air operations. In Dubai, construction of the first vertiport at Dubai International Airport is underway with completion expected in Q1 2026, and additional sites are planned across the city. Blade’s terminals and lounges immediately expand Joby’s ground footprint in core urban markets, and the Uber integration will embed air mobility into familiar digital workflows. The company’s successful flight between Marina and Monterey airports, and multi-week testing in Dubai, reinforce operational integration into controlled airspace and real-world environments.
8. Regulatory & Market Access
Regulatory momentum is a central asset. The FAA’s Special Federal Aviation Regulation for powered-lift operations published in October 2024 is deemed “the final piece of the puzzle” for safe near-term introduction, and Joby reports deep progress in stage 4 of type certification with significant portions of test plans accepted and multiple “for-credit” tests completed. The company is targeting first FAA-conforming aircraft this year and TIA flight testing with FAA pilots early next year. Internationally, Joby has engaged regulators through technology familiarization events in the U.S., U.K., Japan, and Australia while actively working with authorities in South Korea, the UAE, and the EU. The company also holds a Part 141 certificate for its Flight Academy and participates in the FAA’s Part 5 voluntary Safety Management System program for air operations.
Market access is unusually strong for an emerging aviation company. In the U.S., participation in the White House eVTOL Integration Pilot Program aims to unlock early operations in select markets ahead of full certification; applications are open now with selections expected within roughly 180 days. In Dubai, Joby holds exclusive air taxi operating rights for six years, is constructing vertiports, and is progressing an Air Operator Certificate with the UAE’s GCAA. In Japan, a joint venture with ANA plans a phased rollout of more than 100 aircraft, with public demonstrations beginning October 1, 2025, at EXPO 2025 Osaka. In the UK, Joby’s partnership with Virgin Atlantic targets airport-to-city services anchored at Heathrow and Manchester. In Saudi Arabia, a distribution MoU contemplates up to 200 aircraft and services worth approximately $1 billion, including local MRO and services build-out. Details on ticket pricing, regulatory tariffs, and local operating permit economics were not provided in the materials.
9. Historical Context
Over the last several years, Joby has transitioned from prototype to pre-certification maturity. By late 2024, the FAA published key operating regulations and Joby completed multiple “for-credit” certification tests, trained U.S. Air Force maintainers under AFWERX, secured Part 141 Flight Academy approval, and began construction of Dubai’s first vertiport. Toyota deepened its relationship with a $500 million strategic investment announced in October 2024 and began closing tranches in 2025, while Joby bolstered liquidity with a public equity offering. The acquisition of Xwing’s autonomy division in mid‑2024 set the stage for the 2025 defense exercise, where Joby demonstrated thousands of autonomous miles under varied conditions, complementing Joby’s piloted air taxi roadmap.
In 2025, Joby accelerated toward commercialization, achieving piloted full transition flights, executing the first piloted eVTOL trip between two public U.S. airports, conducting extensive Dubai testing, and initiating final assembly of its first conforming aircraft for TIA flight testing. The company expanded manufacturing in California and Ohio, won state support grants, and outlined an eventual production ambition of hundreds of aircraft per year. Commercial pathways solidified through the completion of Blade’s passenger business acquisition, planned Uber integration, and expanded international market commitments with ANA in Japan and Virgin Atlantic in the UK. Management reiterated expectations to carry first passengers in 2026, with cash use guided at $500–$540 million for 2025 and an explicit acknowledgement that losses will continue until operations scale. Where technical disclosures on recent component-level innovations or detailed unit economics were expected, the materials focused instead on certification progress, operational demonstrations, and market access milestones.