Pony AI (NASDAQ:PONY) posted a solid rise in revenue for the first quarter of 2025, marking its first full financial report since going public last November. The autonomous driving company, backed by Toyota, saw its U.S.-listed shares climb more than 8% in premarket trading Tuesday on the back of strong robotaxi performance.
Revenue for the three-month period ending March 31 rose 11.6% year-over-year to $13.98 million, driven primarily by increased activity in its fare-based robotaxi business. The boost underscores growing demand for autonomous mobility solutions across major Chinese cities.
Despite the revenue uptick, Pony AI reported a deeper net loss of $37.4 million for the quarter, compared to a $20.8 million loss during the same period in 2024. The company remains in the red as it continues to scale operations and invest heavily in R&D.
Pony AI, which listed on the Nasdaq at $13 per share in November, raised $260 million through its IPO and is now reportedly seeking further funding via a confidential filing for a potential listing in Hong Kong, according to Bloomberg. The funds would support global expansion efforts, with possible market entries in South Korea and Luxembourg under evaluation.
CEO James Peng stated the company is prioritizing advancements in its seventh-generation autonomous driving system to reduce costs and ramp up production. He acknowledged geopolitical risks — notably tariffs proposed by former U.S. President Donald Trump — could complicate international expansion, though he downplayed any immediate financial impact.
Currently, Pony AI holds robotaxi licenses in several major Chinese cities including Beijing, Shanghai, Guangzhou, and Shenzhen, with ambitions to expand into Hong Kong. However, safety concerns resurfaced recently after one of its vehicles caught fire due to a system fault while being handled by service staff. No injuries were reported as there were no passengers onboard at the time.