Expectations were clearly high for robotaxi developer Pony AI's (PONY -3.80%) second-quarter earnings, which were published before market open on Tuesday. The company's solid but not spectacular performance and production update ended up discouraging some investors. Collectively, they traded out of the stock to leave it with a nearly 4% dip in price that trading session.
Big boost in the take for licensing and applications
Reporting in both Chinese yuan and U.S. dollars, the China-based Pony AI revealed that its revenue leaped 76% year over year to just under $21.5 million. Much of that increase came from a more than tenfold rise in licensing and applications revenue. This came in at $10.4 million against slightly over $1 million in the same quarter of 2024.
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Going in the opposite direction was net loss, which widened on both a GAAP (generally accepted accounting principles) and non-GAAP (adjusted) basis. Under the latter standard, it was slightly over $46 million ($0.13) per share, comparing unfavorably to the year-ago deficit of $30 million.
On average, analysts tracking Pony AI were modeling $16 million for revenue. Their consensus estimate for profitability wasn't immediately apparent.
The 1,000-car goal
In terms of operations, Pony AI said that since the launch of mass production of robotaxis two months ago, more than 200 of Guangzhou Auto Group's and Beijing Automotive Industry Corporation's Gen-7 models -- packed with Pony AI technology -- have been produced. This puts the manufacturers on track to meet, although not exceed, its target of 1,000 by the end of this year.
