EVTL
Live News • 21h
Vertical Aerospace Marks Piloted eVTOL Flight and Secures US$850 Million Funding Vertical Aerospace completed what it describes as the world’s first full-scale piloted two-way transition flight of its Valo eVTOL under UK civil aviation oversight, and has started integration testing of a new hybrid-electric propulsion system at its Flight Test Centre.
The company also produced the first all-electric Valo battery on an upgraded assembly line as part of its push toward certification by the UK Civil Aviation Authority and the European Union Aviation Safety Agency.
In addition, Vertical Aerospace secured up to US$850m in financing to support certification and commercialization efforts and entered a long-term partnership with Hyundai WIA. Hyundai WIA will design and manufacture the Valo’s landing gear with support from UK-based Stirling Dynamics.
These developments point to clear progress on both the technical and industrial sides of the Valo program, while also addressing funding needs for the certification and commercialization phase.
Investors should weigh this progress against the early-stage nature of the business, ongoing certification risks, and the execution demands of scaling production with a growing global supplier base. Announcement • May 20
Vertical Aerospace Begins Integration Testing for Hybrid-Electric Propulsion System and Produces First All-Electric Valo Battery Vertical Aerospace announced two key programme milestones: the start of integration testing for its next-generation hybrid-electric propulsion system, and the production of the first all-electric Valo battery from its upgraded assembly line. Vertical’s next-generation hybrid-electric propulsion system has begun testing on its dedicated Hybrid Propulsion Evaluation Rig (HYPER) at the Company’s Flight Test Centre at Cotswold Airport, marking a significant milestone after more than two years of development at the Vertical Energy Centre. The HYPER facility enables full system integration and validation of the hybrid powertrain, including the turbine, generator and associated electrical systems, alongside testing of control architecture, system response and fault scenarios ahead of ground and flight testing. The Company is working with several partners to integrate a sustainable aviation fuel (SAF)-compatible gas turbine with an electric generator, while leading development of system integration, control architecture and software. This turbogenerator will be integrated into a prototype hybrid-electric Valo aircraft for flight testing and demonstrations, while also supporting the development and validation of technologies for future hybrid variants of the aircraft. These hybrid-electric variants are expected to significantly expand range, payload and operational flexibility. Vertical is targeting certification of its hybrid-electric variant with the UK Civil Aviation Authority (CAA) and the European Union Aviation Safety Agency (EASA). Vertical has also reached a key milestone in its proprietary battery programme, with the first battery produced on its upgraded assembly line, launched in March 2026, at the Vertical Energy Centre. The 15,000 sq ft facility, already responsible for the battery systems used in piloted flight testing since 2024, has been enhanced with automated, aerospace-grade manufacturing processes designed to improve efficiency, consistency and performance, while supporting certification and future production. The battery prototypes will go into rigorous environmental and operational testing. Battery packs produced on the assembly line will be used to support Vertical’s certification aircraft as it progresses through the final stages of certification with the UK CAA and EASA, as well as providing initial production capacity ahead of entry into service. Key targeted capabilities of Vertical’s hybrid-electric variant: Range: Up to 1,000 miles, a 10-fold increase from its all-electric aircraft. Payload: Configurable to carry up to 1,100 kilograms in Valo’s class-leading airframe capacity. Stealth advantages: Low noise and heat signatures make the hybrid variant well-suited for sensitive missions. Crewed and uncrewed capabilities: Hybrid-electric technology capable of being deployed autonomously, remotely, or with a pilot. Uncrewed capabilities can be seamlessly integrated into the existing Flight Control System being developed by Honeywell. Mission resilience: Built off the Valo’s industry-leading redundancy and damage tolerance, boosting confidence for mission-critical operations. New Risk • May 07
New minor risk - Profitability The company is currently unprofitable and not forecast to become profitable over the next 3 years. Trailing 12-month net loss: UK£102m Forecast net loss in 3 years: UK£212m This is considered a minor risk. Companies that are not profitable are more likely to be burning through cash and less likely to be well established. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. Without profits, the company is under pressure to grow significantly while potentially having to reduce costs and possibly needing to take on debt or raise capital to remain afloat. Currently, the following risks have been identified for the company: Major Risks Negative equity (-UK£12m). Earnings are forecast to decline by an average of 9.2% per year for the foreseeable future. Shareholders have been substantially diluted in the past year (51% increase in shares outstanding). Revenue is less than US$1m. Minor Risks Currently unprofitable and not forecast to become profitable over next 3 years (UK£212m net loss in 3 years). Share price has been volatile over the past 3 months (15% average weekly change).