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• Technological advancements to enhance safety and drive cost efficiency. 1) Our proprietary AI-powered world foundation model, PonyWorld, creates a high-fidelity training environment and evaluation system, generating over 10 billion kilometers of testing data weekly. 2) Leveraging our AI capabilities, and system integration and optimization, we are proven to drive passengers under complex and challenging scenarios, and effectively optimize cost efficiency across our operations. 3) All these resulted in improving remote assistant efficiency, lowering commercial insurance premiums, and reducing hardware costs – including computing platforms, LiDARs, and other hardware.

• Extending operations and regulatory approvals. 1) Extended our total commercialized footprint to over 2,000 square kilometers across Beijing, Guangzhou, Shenzhen and Shanghai, nearly 20 times larger than the city area of San Francisco, United States. The coverage now includes key transportation hubs such as central business districts, airports, and high-speed rail stations. 2) Secured China’s first fully driverless commercial Robotaxi license in Shenzhen’s Nanshan District in late March.

• Expanding user base and growing ecosystem. 1) Our registered user numbers increased by more than 20% sequentially in the first quarter. 2) Entered into a strategic partnership with Tencent’s Weixin “Mobility Services” platform – including Tencent Maps and its advanced cloud computing, AI, and big data infrastructure – further expanding our reach to China’s billions of user base.
  

Global Expansion on the Road

• Strategic collaboration with local partners. 1) We have forged strategic alliances with Uber to enable users to access our Robotaxi services on the Uber platform. The partnership is expected to first launch in a key market in the Middle East later this year, with a goal of scaling deployments to additional international markets in the future. 2) We are also collaborating with ComfortDelGro, one of the largest land transport companies headquartered in Singapore, on a joint Robotaxi pilot program.

• Ongoing positive regulatory and testing progress. We secured a L4 Robotaxi testing permit from Luxembourg’s Ministry of Mobility and began road testing in Seoul's Gangnam district, South Korea, during the first quarter.
  

Unaudited First Quarter 2025 Financial Results

• Total revenues were US$14.0 million (RMB101.6 million)¹ in the first quarter of 2025, representing an increase of 11.6% from US$12.5 million in the first quarter of 2024. The increase was mainly driven by rapid growth in Robotaxi services revenues.

• Robotaxi services revenues were US$1.7 million (RMB12.3 million) in the first quarter of 2025, representing an increase of 200.3% from US$0.6 million in the first quarter of 2024. The increase was driven by both fare-charging and project-based engineering solution services revenues, with fare-charging revenue achieving faster growth rate — increasing by approximately 800%. The strong growth rate was primarily attributable to the expansion of its public-facing fare-charging operations in Tier-one cities in China and refined operational strategies for diverse user groups.

• Robotruck services revenues were US$7.8 million (RMB56.6 million) in the first quarter of 2025, representing an increase of 4.2% from US$7.5 million in the first quarter of 2024. The increase was mainly due to contributions from new clients.

• Licensing and applications revenues were US$4.5 million (RMB32.7 million) in the first quarter of 2025, remaining largely flat compared to US$4.5 million in the first quarter of 2024. However, orders and delivery for autonomous domain controllers ("ADC") increased, primarily driven by new robot delivery clients.
  

Cost of Revenues

• Total cost of revenues was US$11.7 million (RMB84.9 million) in the first quarter of 2025, representing an increase of 17.9% from US$9.9 million in the first quarter of 2024, in-line with revenue trends.

Gross Profit and Gross Margin

• Gross profit was US$2.3 million (RMB16.7 million) in the first quarter of 2025, compared to US$2.6 million in the first quarter of 2024.

• Gross margin was 16.6% in the first quarter of 2025, compared to 21.0% in the first quarter of 2024. The decrease was mainly due to changes in the revenue mix with increased ADC sales for new robot delivery clients in the first quarter. We continue to actively work on initiatives to reduce gross margin variability.
  

Operating Expenses

Operating expenses were US$58.4 million (RMB423.8 million) in the first quarter of 2025, representing an increase of 56.3% from US$37.3 million in the first quarter of 2024. Non-GAAP² operating expenses were US$49.3 million (RMB357.8 million) in the first quarter of 2025, representing an increase of 35.0% from US$36.5 million in the first quarter of 2024. The increase in operating expenses was primarily due to investments in mass production for Gen 7 and one-time expenses associated with share awards vested upon IPO and settled in the first quarter of 2025. Additionally, we increased employee compensation and benefits in the first quarter to strengthen our R&D capacity for concurrently developing 3 Gen 7 vehicle models.

• Research and development expenses were US$47.5 million (RMB344.7 million) in the first quarter of 2025, representing an increase of 59.8% from US$29.7 million in the first quarter of 2024. Non-GAAP research and development expenses were US$40.6 million (RMB294.6 million), representing an increase of 38.1% from US$29.4 million in the first quarter of 2024. The increase was mainly due to i) investments in mass production for the Gen 7 vehicles; ii) one-time expenses associated with share awards vested upon IPO and settled in the first quarter of 2025; and iii) increased employee compensation and benefits to strengthen technological capabilities.

• Selling, general and administrative expenses were US$10.9 million (RMB79.1 million) in the first quarter of 2025, representing an increase of 42.6% from US$7.6 million in the first quarter of 2024. Non-GAAP selling, general and administrative expenses were US$8.8 million (RMB63.9 million), representing an increase of 22.3% from US$7.2 million in the first quarter of 2024. The increase was mainly due to i) one-time expenses associated with share awards vested upon IPO and settled in the first quarter of 2025 and compliance expenditure and ii) increased employee compensation and benefits.
  

Loss from Operations

• Loss from operations was US$56.0 million (RMB406.4 million) in the first quarter of 2025, compared to US$34.7 million in the first quarter of 2024. Non-GAAP loss from operations was US$47.0 million (RMB341.1 million), compared to US$33.9 million in the first quarter of 2024. The increase also reflected i) investments in mass production for the Gen 7 vehicles; ii) one-time expenses associated with share awards vested upon IPO and settled in the first quarter of 2025; and iii) increased employee compensation and benefits to strengthen technological capabilities.
  

Net Loss

• Net loss was US$37.4 million (RMB271.4 million) in the first quarter of 2025, compared to US$20.8 million in the first quarter of 2024. Non-GAAP net loss was US$28.4 million (RMB206.1 million) in the first quarter of 2025, compared to US$25.7 million in the first quarter of 2024. The increase also reflected i) investments in mass production for the Gen 7 vehicles; ii) one-time expenses associated with share awards vested upon IPO and settled in the first quarter of 2025; and iii) increased employee compensation and benefits to strengthen technological capabilities. It was partially offset by the gains in investment income.
  

Basic and Diluted Loss per ordinary share

• Basic and diluted net loss per ordinary share was both US$0.12 (RMB0.87) in the first quarter of 2025, compared to US$0.23 in the first quarter of 2024. Non-GAAP basic and diluted net loss per ordinary share was both US$0.10 (RMB0.73) in the first quarter of 2025, compared to US$0.28 in the first quarter of 2024. Each ADS represents one Class A ordinary share.

Balance Sheet and Cash Flow

• Cash and cash equivalents, short-term investments, restricted cash and long-term debt instruments for wealth management were US$738.5 million (RMB5,359.1 million) as of March 31, 2025, compared to US$825.1 million as of December 31, 2024. The decrease in the balance of such items was mainly driven by our R&D efforts and supply chain preparation to scale Gen 7 vehicle production and one-time cash payments associated with employee expenses.

• The net cash used in investing activities was US$93.3 million (RMB677.1 million) in the first quarter of 2025, compared to US$54.3 million provided by investing activities in the first quarter of 2024. This was attributable primarily to purchases of investments in marketable debt securities and long-term investment, which was incorporated into the short-term investments and long-term debt instruments for wealth management.

_{1 Unless otherwise noted, all translations from Renminbi to U.S. dollars and from U.S. dollars to Renminbi in this earnings release are made at RMB 7.2567 to US1.00, the exchange rate set forth in the H.10 statistical release of the Federal Reserve Board on March 31, 2025. We make no representation that any Renminbi or U.S. dollar amounts could have been, or could be, converted into U.S. dollars or Renminbi, as the case may be, at any particular rate, or at all. For the avoidance of doubt, our reporting currency and functional currency is the U.S. dollar.}

_{2 Non-GAAP financial measures exclude share-based compensation expenses and changes in fair value of warrants liability, and such adjustment has no impact on income tax. For further details, see the “Unaudited Reconciliation of U.S. GAAP and Non-GAAP Results” set forth at the end of this press release.}

Conference Call

Pony.ai will hold a conference call at 8:00 AM U.S. Eastern Time on Tuesday, May 20, 2025 (8:00 PM Beijing/Hong Kong Time on the same day) to discuss financial results and answer questions from investors and analysts.

For participants who wish to join the call, please complete online registration using the link provided below prior to the scheduled call start time. Upon registration, participants will receive a confirmation email containing dial-in numbers, passcode, and a unique access PIN.

Participant Online Registration: https://dpregister.com/sreg/10199232/ff02e07c40

A replay of the conference call will be accessible through May 27, 2025, by dialing the following numbers:

Additionally, a live and archived webcast of the conference call will be available on the Company’s investor relations website at https://ir.pony.ai.

Exchange Rate

This press release contains translations of certain RMB amounts into U.S. dollars (“USD”) at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to USD were made at the rate of RMB7.2567 to US$1.00, the noon buying rate in effect on March 31, 2025, in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or USD amounts referred could be converted into USD or RMB, as the case may be, at any particular rate or at all. For analytical presentation, all percentages are calculated using the numbers presented in the financial statements contained in this earnings release.

Non-GAAP Financial Measures

The Company uses non-GAAP financial measures, such as non-GAAP research and development expenses, non-GAAP selling, general and administrative expenses, non-GAAP operating expenses, non-GAAP loss from operations, non-GAAP net loss, non-GAAP net loss attributable to Pony AI Inc., non-GAAP basic and diluted net loss per ordinary share, and non-GAAP free cash flows, in evaluating its operating results and for financial and operational decision-making purposes. By excluding the impact of share-based compensation expenses and changes in fair value of warrants liability, the Company believes that the non-GAAP financial measures help identify underlying trends in its business and enhance the overall understanding of the Company’s past performance and future prospects. The Company also believes that the non-GAAP financial measures allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making.

The non-GAAP financial measures are not presented in accordance with U.S. GAAP and may be different from non-GAAP methods of accounting and reporting used by other companies. The non-GAAP financial measures have limitations as analytical tools and when assessing the Company’s operating performance, investors should not consider them in isolation, or as a substitute for financial information prepared in accordance with U.S. GAAP. The Company encourages investors and others to review its financial information in its entirety and not rely on a single financial measure.

The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP performance measures, all of which should be considered when evaluating the Company’s performance.

For more information on the non-GAAP financial measures, please see the table captioned “Unaudited Reconciliation of U.S. GAAP and Non-GAAP Results” set forth at the end of this press release.

About Pony AI Inc.

Pony AI Inc. is a global leader in achieving large-scale commercialization of autonomous mobility. Leveraging its vehicle-agnostic Virtual Driver technology, a full-stack autonomous driving technology that seamlessly integrates Pony.ai’s proprietary software, hardware, and services, Pony.ai is developing a commercially viable and sustainable business model that enables the mass production and deployment of vehicles across transportation use cases. Founded in 2016, Pony.ai has expanded its presence across China, Europe, East Asia, the Middle East and other regions, ensuring widespread accessibility to its advanced technology. For more information, please visit: https://ir.pony.ai.

Safe Harbor Statement

This press release contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to,” and similar statements. Statements that are not historical facts, including statements about Pony.ai’s beliefs, plans, and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. Further information regarding these and other risks is included in Pony.ai’s filings with the SEC. All information provided in this press release is as of the date of this press release, and Pony.ai does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

For investor and media inquiries, please contact:

Pony.ai
Investor Relations
Email: ir@pony.ai

Christensen Advisory
Email: pony@christensencomms.com

^{3 Free Cash Flows is a non-GAAP measure, commonly defined as cash flows from operating activities as presented in the statement of cash flows, less capital expenditures. However, in the context of the Company, where operating cash flow is a cash out (i.e., a cash outflow), Free Cash Flows represent the total of operating cash outflows plus capital expenditures. This metric reflects the Company's important cash outflows, as it combines the funds required to maintain operations and invest in growth.}