ACHR

It has been about a month since the last earnings report for Archer Aviation Inc. (ACHR). Shares have lost about 14.1% in that time frame, underperforming the S&P 500. Will the recent negative trend continue leading up to its next earnings release, or is Archer Aviation due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Archer Aviation Inc. before we dive into how investors and analysts have reacted as of late. Archer Reports Second-Quarter Loss, Revenues Beat EstimatesArcher Aviation Inc. posted a second-quarter 2026 loss of 25 cents per share, in line with the Zacks Consensus Estimate of a loss of 25 cents. Revenues were $5 million versus the Zacks Consensus Estimate of $2.0 million, representing a 156% beat, as the company remained in the pre-commercial stage. The increase was driven mainly by expanded operations at the Hawthorne Airport in Los Angeles.Even so, Archer highlighted continued progress toward commercial operations, including piloted city-to-city Midnight flights and preparations for operations later this year under the eVTOL Integration Pilot Program. During the quarter, ACHR continued to focus on the regulatory and operational work needed to bring its Midnight electric vertical takeoff and landing aircraft to market. The company also advanced its broader aerospace and defense strategy through agreements to acquire Boeing’s Wisk Aero, Insitu and SkyGrid businesses.The company also expanded its autonomous aircraft initiatives. Archer and Anduril unveiled Halo and Thunder, commercial and defense variants of a jointly developed autonomous hybrid VTOL platform. Archer also introduced ZEE, an AI foundation model designed specifically for aviation.Archer is also preparing for initial Midnight operations later this year. During the quarter, the company completed piloted city-to-city flights as it continued to advance its aircraft testing and commercial readiness efforts. Costs continued to rise as Archer invested heavily in certification, engineering, flight testing and commercialization efforts. Research and development expenses increased to $186.0 million from $122.4 million a year earlier, while general and administrative expenses rose to $93.9 million from $53.7 million. Total operating expenses increased to $284.2 million, reflecting continued investment in Midnight, hybrid aircraft development and the company’s ZEE AI platform. Liquidity remained a key investor focus given Archer’s high development spending. The company ended the quarter with $1.56 billion in cash, cash equivalents and short-term investments, along with $7.3 million in restricted cash.Cash used in operating activities was $156.4 million during the quarter. Archer also invested $37.1 million in property and equipment, while spending another $25 million to acquire the fixed-base operator business at Hawthorne Airport. ACHR expects an adjusted EBITDA loss of $170 million to $200 million in the third quarter of 2026. Management expects continued spending on flight testing, certification, production activities, hybrid aircraft development and other growth initiatives to keep expenses elevated. It turns out, estimates revision flatlined during the past month. At this time, Archer Aviation has a poor Growth Score of F, a grade with the same score on the momentum front. Following the exact same course, the stock has a score of F on the value side, putting it in the bottom 20% quintile for this investment strategy. Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in. Archer Aviation has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Archer Aviation Inc. (ACHR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Monday, Aug. 10, 2026 at 5 p.m. ET Head of Investor Relations - Kate Kiewel Founder and Chief Executive Officer - Adam Goldstein Priya Gupta Thomas Muniz Operator: Hello, everyone. Thank you for joining us, and welcome to the Archer Aviation Second Quarter Financial Results Conference Call. [Operator Instructions] I will now hand the conference over to Kate Kiewel, Head of Investor Relations. Kate Kiewel: Welcome to Archer's earnings call. This is Kate Kiewel, Archer's Head of Investor Relations. Today, we will be making forward-looking statements that are based on current assumptions. We don't undertake any obligation to update those assumptions as a result of new information or future events. Risks and uncertainties may cause our actual results to differ materially from those contemplated by these statements. For more information about potential risks and uncertainties, review the risk factors in our SEC filings. Today, we will also be discussing both GAAP and non-GAAP financial measures. A reconciliation of those measures is included in our earnings release from today. Now, I'll turn it over to Adam. Adam? Adam Goldstein: Thanks, Kate. Today marks an important inflection point for Archer. So let me spend some time walking you through the rationale for the exciting transaction we announced with Boeing earlier today. We entered into agreements to acquire 3 highly innovative Boeing-owned companies, Wisk Aero, Insitu and SkyGrid in exchange for Boeing taking a strategic equity stake in Archer. We anticipate closing the transaction by the end of the year. This partnership will help accelerate the evolution you've heard me talk about for a long time. Archer has diversified aerospace and defense platform with a physical AI product portfolio that will span air taxis, unmanned aircraft systems from Group 2 to Group 5, purpose-built AI for aviation and the vertical technology stack for autonomous flight. Let me walk you through how we got here. I founded Archer with one goal, finding the most efficient path to commercializing air taxis and built a world-class team to do it. We remain incredibly focused on this goal as air taxi will always be core to our mission. And Midnight is well on its way. We went from an unknown in 2018 to the front of the pack on FAA certification today. Defense, as I've been saying for the last 18 months, is becoming one of the largest near-term markets for the VTOL industry. We first announced our partnership with Anduril at the end of 2024. Palmer Luckey, one of the founders, had come to me with a concept for an autonomous, dual-use loyal wingman for attack reconnaissance helicopters like Apache, and they chose Archer's team to build it alongside them. Since then, our teams have been building this aircraft together. Archer took all our learnings from years of eVTOL development, airframe design, rotors, powertrain and actuation systems, knowledge from the Midnight program and put it into something new, a clean sheet, autonomous hybrid aircraft platform for both commercial and defense. Last month at Farnborough, we jointly revealed the Halo/Thunder platform, and I'm confident it is revolutionary, not evolutionary. Unlike what many others are doing, this is a clean-sheet, first-principles approach targeting both commercial use cases, including logistics, humanitarian, medical and maritime as well as multi-decade defense programs of record with Allied forces. This is why for the past year, we've been assembling a world-class Halo/Thunder team focused on developing this platform. With this transaction with Boeing, we can utilize Wisk's incredible talent to round out that team. Wisk traces back to Larry Page, who gave this industry a start nearly 20 years ago, and they're right down the road from us here in Silicon Valley. Their engineers have spent nearly 2 decades building some of the most advanced autonomy, flight control and sensor technology in the industry, designed from the start for autonomous flight. The opportunity is clear to me, deploy and harden the technology on Halo/Thunder first and fold it into future iterations of the air taxi when the FAA is ready to certify autonomy. I'm confident that our planned acquisition of Wisk can accelerate the Halo/Thunder program at a fraction of the time it would have taken us to achieve the same results organically. As part of this transaction, we will also acquire Insitu, one of the most trusted and reputable intelligence, surveillance and reconnaissance, ISR, drone manufacturers in the U.S. It is profitable today with over $200 million in annual revenue across 35 countries. They have built more than 4,000 Group 2 and 3 UAS to date. Those UAS have flown nearly 2 million flight hours autonomously, giving it one of the largest data sets of its kind. And that data will feed directly into our autonomy development. Insitu will give Archer an immediate, sizable revenue base to grow from. The key driver of this transaction was the relationship we've built with Boeing, especially former Wisk CEO and now VP of Product for Boeing Commercial, Brian Yutko. Boeing is synonymous with American-built aviation and the deal structure shows how leaned in they are on our future together, all stock with a lockup, a collaboration across many new fronts, committed future equity investments in Archer, warrants at exercise prices far in excess of our current price. For both companies, the core of this deal is the opportunity to jointly drive innovation across aerospace, defense and autonomy and deliver long-term value for shareholders. I want to thank Kelly Ortberg and the Boeing leadership for the trust and belief in Archer as the right long-term partner. Importantly, I've tasked my team with integrating these companies in a thoughtful, synergistic way that will not structurally increase our overall cash burn. The focus is clear. On the other side of this deal is a stronger Archer with an end-to-end physical AI platform for aerospace and defense. Last quarter, I called Archer a dual-threat company, a nod to our air taxi and dual-use autonomous VTOL aircraft program. This quarter, we shared more on the strategy for the third key pillar of our diversification approach, purpose-built AI for aerospace and defense. We introduced ZEE, the world's leading aviation specific foundation model. ZEE is a unified intelligence platform built on ADS-B, ATC communications, maps and charts, aircraft movements, terrain and weather data. And just last week, we announced that ZEE has delivered a breakthrough in aviation safety, highly accurate real-time prediction of airport surface trajectories. To bring this technology safely into the aviation ecosystem, our teams are working with the government agencies and customers to rigorously validate ZEE in the real world. We couldn't be more excited to pair ZEE with SkyGrid, and we believe, together, those technologies can deliver a next-gen air traffic management product that can play a critical role in modernizing air spaces around the world. I see a clear path to significant AI revenue, and the team is heads down building toward it. Now let me circle back to Midnight. Through it all, air taxi remains a top priority and the program made tremendous progress this quarter. This quarter, we flew multiple piloted aircraft on an almost daily basis across our fleet. And oftentimes, those aircraft flew multiple times a day in testing across piloted VTOL and CTOL flights, including our first intercity flights here in California. And over the next few months, you can expect us to begin flying in the L.A. area based out of the Hawthorne Airport and subsequently commence operations under the White House's eIPP later this year in Texas. We also continued our industry-leading progress against our FAA certification program for Midnight. I believe we remain the only industry OEM to be out of policy and in the fourth and final phase of the FAA's type certification process with a fully accepted means of compliance. Notably, this quarter, the FAA approved our quality management system, which hardens our ability to perform FAA for-credit conformity findings across the aircraft as well as its components and systems. We're actively working with the FAA on for-credit testing this year. On the infrastructure front, we co-launched ACES, the American Consortium for Electric Skyways, alongside BETA and Macquarie. It's an industry-first approach to deploy interoperable charging infrastructure across the U.S. and align OEMs on a unified approach, which is critical for scale and to lower cost for consumers. I'm proud to take this on arm-in-arm with Kyle and the team at BETA and look forward to welcoming many others who want to join the mission. We are executing all of this from a continued position of financial strength with $1.6 billion in liquidity. I started Archer to change the way the world moves. Nearly a decade in, I've never been more confident or more all-in. With that, I'll turn it over to Priya. Priya Gupta: Thanks, Adam, and good afternoon, everyone. Building on Adam's remarks, the last few months, culminating with today's transaction announcement, are truly an inflection point for Archer. With the planned acquisitions of Wisk, Insitu and SkyGrid, coupled with our recent unveiling of Halo, ZEE and ACES, we're rapidly advancing our diversified multi-platform strategy across air taxis, UAS and AI to lead the next generation of aerospace and defense. We strongly believe we are uniquely positioned in the sector as we look ahead, both in terms of product portfolio breadth and depth as well as both near-term and long-term revenue generation potential. Insitu today is a profitable business, generating more than $200 million of revenue in year. That, in addition to our existing air taxi platform, our Halo/Thunder platform and aviation-focused AI solutions, will significantly change the profile for Archer and our path to meaningful revenue in the years to come. We're not just an air taxi company anymore. In parallel with our focus on growing our top line, we remain focused on managing our net cash burn. We expect the planned acquisition to bring meaningful synergies across all platforms, Midnight, Halo/Thunder and ZEE. We will remain disciplined about investment across each of our platforms. Let me share the framework we will use to maintain that discipline quarter-over-quarter. First, advancing Midnight to certification and scaled operations remains a top investment priority. We expect to generate near-term revenue through early operations, both in the U.S. and internationally, and scale thereafter following certification. Second, for Halo/Thunder, our Group 5 UAS platform with Anduril, we've already been investing in technology development over the past 24 months. And as Adam discussed, we're excited about the potential for the autonomy capabilities from Wisk to further accelerate the development time line. We are focused on getting this platform to market as soon as possible as it carries a total TAM greater than $100 billion in the decades ahead. Midnight and Halo development time lines with their individual peaks and troughs align well, allowing us to stay focused on efficiently and synergistically leveraging our engineering talent across air taxi and UAS platforms. Third, for ZEE and its product portfolio, our near-term goal is for our AI solutions to be revenue generating and profitable as early as next year, with the potential for a significant ramp in the back half of 2027 and beyond. Finally, we expect Insitu to contribute positive free cash flow after closing, allowing the business to operate on a self-funding basis and potentially offset spend in other areas of our business if we are able to grow their business as we expect. Taken together, this framework gives me the confidence that we can grow the top line across our business while post acquisition close and through integration, keep cash burn relatively flat from where it stands today. Now let's switch gears to the results from the current quarter. I'm happy to report on very strong financial results for Archer. I'll focus on 3 key highlights. First, we continue to maintain a very healthy balance sheet with $1.6 billion in liquidity at the end of Q2. Second, we grew revenue to $5 million for Q2, which is a 213% increase over last quarter. This was driven by our growth in operations at the Hawthorne Airport in L.A. Third, we met our spend guidance. Q2 adjusted EBITDA was a loss of $177 million, which is on the lower end of our guidance range of $170 million to $200 million and only a slight increase quarter-over-quarter. These results are an early indication of our ability to grow the business while staying measured in our use of cash, which is exactly what we must do in this next phase for Archer. For Q3, we estimate our adjusted EBITDA loss to stay within the same range of $170 million to $200 million as we continue to mature the Midnight flight test program including our operations under the eIPP, continued development of Halo and advance our AI solutions. Looking ahead, in addition to these key priorities, our focus will be on closing the transaction with Boeing as soon as possible with a target of end of the year and then integrating the business efficiently and effectively. It all comes back to the old adage, execution matters, and we are committed to delivering against the framework I laid out, maturing our diversified product base to fuel a growing top line, all while controlling spend. And with that, I will turn it back over to the operator. Operator: [Operator Instructions] Your first question comes from the line of Savi Syth from Raymond James. Savanthi Syth: Just with the announcement of Halo and Thunder -- can you hear me? Operator: You're back now, Savi. Savanthi Syth: Okay. Great. Sorry about that. Could you -- with Halo and Thunder platform versus the Midnight platform, I was wondering if you could kind of compare and contrast like some of the technical differences there and kind of what it might mean, kind of, from a parts procurement, production scaling, as you work on those 2 kind of platforms in parallel and just how much you can kind of share between the 2? Thomas Muniz: Savi, this is Tom. Happy to answer that. The way to think about Halo and Thunder is this is a clean-sheet new platform targeted at a totally different mission than Midnight. So this new aircraft is targeted at flying heavier payloads much further, much faster than we can do with Midnight, and that's all around the different market that we see both in the defense side. We're a partner with Anduril on the civil side. And so in order to do that, though, we've been able to leverage a bunch of the core, I'll call them, like technology building blocks that have been put together for Midnight. So those are things like our batteries, electric motors, et cetera. But then obviously, the one new piece of technology is the hybrid system in this aircraft. So by going hybrid, that's how we're able to unlock the ability to travel much further, faster, more payload, et cetera. In terms of how we're executing on this, still early in the development of the Thunder/Halo platform. Target is to be in the air next year and then working towards customer deliveries in '29 and kind of scaling 2030 kind of from there. But progress has been tremendous so far. Interest has been fantastic. So really excited about it. Savanthi Syth: That's helpful, Tom. And just maybe with the acquisitions announced today, I was wondering if you -- and it's a broader question just beyond the Halo/Thunder. Just how do you envision day 1 to day 365 post-merger in getting the engineering teams from the different businesses to start working together and when you can start realizing some of the synergies or some of the benefits in accelerating some of these developments? Adam Goldstein: Savi, this is Adam. So if there ever were 2 eVTOL companies that could come together, it would be Archer and Wisk. And the reason is we both built 12-tilt-6 architectures but we approached it from a different perspective. So Archer focused on finding the most efficient path to commercialization, while Wisk focused on autonomy and advanced fly controls. And so there's really nice overlap, but there's also complementary aspects that make a lot of sense for these companies coming together. So there's going to be an exploratory period to figure that out. We see it as an incredible enhancement in capabilities and so we're excited to dive in. And there's also a lot of capability overlap and synergies working with in situ as well. So Archer obviously has a lot of experience in VTOL products and new-VTOL products. And so as we look at the ISR drone market, that is a large but growing significantly market. And so there's an opportunity to take a lot of our core technologies there and keep building for that market as well. So still early in a lot of this exploration, but that's just a general framework of how we're thinking about it. Operator: Your next question comes from the line of Andres Sheppard from Cantor Fitzgerald. Andres Sheppard-Slinger: Congratulations on the quarter. It was great to see everyone at the Farnborough Airshow last month. Adam, lots to unpack here and certainly, a lot of great developments. I guess it's clear that Archer no longer is an eVTOL company, but really in aerospace, defense and advanced air mobility platform. So I guess my first question maybe to build on the last question is, in terms of the synergies and overall structure for the company, what are the key synergies that investors should be aware of? How will you prioritize the eVTOL business with the drone business, and what are you most excited about today's announcement? Adam Goldstein: Thanks, Andres. There's a lot of synergies here across the platforms, but there's also a really nice strategic rationale here, where you have the large market of civil passenger-carrying aircraft has an incredibly large TAM but also, I would say, some difficulty predicting exactly how fast it will scale and exactly when it will scale. And so we're going through obviously the certification process, which is very rigorous. And we're doing very well at that. And so as we've looked at accelerating our path towards revenue, the defense side of the business becomes very attractive as there are pathways to launch autonomous products in different air space that are just much easier to get to market more quickly. And so if you think about sort of the portfolio strategy here, there's ability to generate revenue, generate cash flow, use that cash flow to help really get us to profitability much sooner and reduce our burn across the civil markets, which can allow the overall strategy to build much better products and build a much bigger company for the long term while minimizing the dilution. And so again, this is still early days in us figuring out the exact strategy on how to deploy it. But I think that general framework is how we're thinking about it and the enhanced capabilities we get from the Wisk platform, Insitu platform and SkyGrid platform gives us a really nice go-to-market that we did not have before. Andres Sheppard-Slinger: Excellent. That's super helpful. Maybe just a quick follow-up. Coming back to your recent unveil of your first dual-use aircraft jointly built with Anduril. Just help us understand how are you thinking about commercialization of Thunder and Halo and how might those be complementary to Midnight? Adam Goldstein: Thanks, Andres. So we're building the core platform, the base platform, which we call Halo, and that will have all of the kind of basic functionality that, that aircraft needs to operate. We can then take that aircraft and give it to Anduril, which will ultimately missionize that aircraft. And so that's something that Archer is not doing. That's something that Anduril is going to be doing for the ultimate end defense products. There, of course, will be different programs of record that, that platform will go after on the Thunder side. But on the Halo side, there are customers that we will go after that have needs, that have a similar use case without any of the defense capabilities. So think search and rescue or offshore energy, areas where you need to carry more payload, much longer distances than what the Midnight platform would be. So we've already announced an earlier customer, which is Marubeni and there's been a ton of inbound and we've had a lot of interest with existing customers we've been working with to find new solutions. So the goal will be to find ways to take that platform and build it as quickly as they can, but also really try to minimize the spend on that platform by leveraging a lot of the core capabilities that we've already built from Midnight platform. So another great example is the flight control system, where we are leveraging a lot of the work that we had started with Midnight, but now we can also enhance with Boeing. So ultimately, the goal is a low-cost platform that can really scale significantly. And by having civil and defense capabilities, you get really both those benefits. Operator: Your next question comes from the line of James Kirby from JPMorgan. James Kirby: Congrats on the transactions. Maybe just following up, asking in a different way from the previous question. Where do you see Insitu fitting into the longer-term portfolio of Archer? And maybe just could you just speak to the extent you can on the revenue growth drivers in that business? Adam Goldstein: In the ISR world, the revenues that you see today are largely a result of the macro environment and the sales that happened from years ago. So when you look forward from here, it seems very clear that there will be an increased demand for ISR drones, not just overall, but even new capabilities. And so there is a broad set of new products that are being requested. And I think there is a huge market growth potential across the broader ISR world. So in the very near term, there will be revenue and cash flow that will be generated from the existing product portfolio. But there's a whole new suite of products that can be built, that could be expanded and generate significantly higher revenue given the macro environment we live in today. James Kirby: Okay. Got it. I appreciate it. And then for my second question, I wanted to ask you to unpack the collaboration agreement with Boeing a little bit more. It seems from the shareholder letter and the press release that they'll retain the Wisk autonomous stack for their future aircraft essentially. Does it go further than that in the sense of what you guys are building at Archer with the ZEE platform and now SkyGrid on top of that as well as what you're doing with the Halo/Thunder platform? Does Boeing -- is there more avenues behind just the Wisk autonomous stack? Adam Goldstein: So the transaction was set up where Archer will own the IP, but we will share the back with Boeing as it relates to products built specifically around flight control systems, autonomy and several other areas. The concept is really one of partnership. So Boeing took all stock in the transaction, they locked up the stock, and we will work together on -- through a collaboration agreement on enhancing and developing that product portfolio and also future products. Boeing, of course, has an entire suite of plans on both the civil and defense side. So there are lots of areas that I'm sure that they are interested in, in developing. From the Archer perspective, it gave us the ability to have a head start on a lot of the core autonomy stack, the pathway to certifying the autonomy stack on the civil side and a pathway to deploying the flight autonomy on the defense side. And so it's really a win-win here where by Archer developing this platform across flight controls, flight control computers, full autonomy, Boeing can benefit, too. And by them taking all stock, it's really a win-win across the transaction. Operator: Your next question comes from the line of Austin Moeller from Canaccord Genuity. Austin Moeller: So for the Insitu acquisition, should we be thinking about this from the context of Boeing already manufactures a variety of like Group 1 through Group 3 or Group 4 drones under that product line and also the EOIR gimbal payloads that go on them, and you can now combine those products with the Group 5 Thunder drone and also incorporate the gimbal payloads on to Thunder, the green version of the Thunder airframe that you could sell commercially or internationally to other MODs? Adam Goldstein: So Insitu manufactures the drones themselves, it's not being manufactured by some other Boeing entity. It's all contained within Insitu. And Archer will start producing those drones and looking at ways of scaling up the capabilities there. As it relates to other companies and working with other companies, I think right now, we're going to be focused on really building just the core products that Insitu sells and really trying to grow that fleet and not really trying to push that to some other customers like our other partners that Archer has. And so that's going to be the core focus is how do we get that portfolio in a really healthy spot. How do we take advantage of the macro environment that we're in, where there's an increased demand for these types of products and really try to increase the manufacturing of Group 1, Group 2, Group 3, and Group 4 drones that they manufacture today. Austin Moeller: Okay. And if we're thinking about the road map to getting to Thunder first flight in 2027, just given it's a dual tilt rotor design, can you just talk about some of the puts and takes and challenges to get to that point next year? Thomas Muniz: Austin, this is Tom. Well, like I was mentioning to Savi earlier, while the aircraft looks pretty different, standing 100 feet away, if you look under the skin, the platforms, the systems onboard are really similar. So again, flying with the same battery technology, same electric motor technology, same flight control software. In fact, we literally took the actual code that flies Midnight, put it in the sim for Halo and the aircraft flew beautifully without any control design specific to the platform, which obviously will go do. So certainly, there's a lot of hard work for the team. We're excited about partnering with some of the new folks joining as part of this deal and feel really good about it. Operator: Your next question comes from the line of Amit Dayal -- apologies. Your next question comes from the line of Edison Yu from Deutsche Bank. Xin Yu: Congratulations on the deal today. First thing I want to ask is, you've obviously picked up quite a few assets over the last couple of years, right? You think of Overair, you think of the Lilium patents. I guess what is the vision here on putting together all these assets? And I think with Wisk, you obviously have a lot of autonomy stuff. So just could you maybe share the vision. You have all these assets and clearly, you got some of them for a very good price. What is the vision on putting these out together and what we will get? Adam Goldstein: Thanks, Edison. This is Adam. So some of the previous acquisitions we've done that focused a lot on the early patent portfolios that existed in the eVTOL space were a result of companies that were either shutting down or going out of business. And so I think that was pretty different where there were groups that had spent hundreds of millions or in some cases, greater than $1 billion developing IP that was available for us to pick up at a very low dollar cost. And in fact, we're heavily competed across the eVTOL community as there were some very interesting IP there. As it relates to Wisk, Insitu and SkyGrid, that is a -- it's a totally different and unique value proposition. A lot of this just came about as there are products and platforms that I think are actually more valuable as it relates to Archer than might have been in the hands of Boeing. So for example, Boeing is focused on some of the biggest platforms in the world. So big platforms like an 747 or 737, Insitu is a much smaller company. But that impact to Archer is substantial versus the impact even if Insitu is 5x would have minimal impact to Boeing. So our investment in that platform can have substantial rewards in the very near term. And so in a lot of the cases that these assets actually can perform much better on our side, the same thing as it relates to air traffic control. So the ATC product, SkyGrid is highly attractive to us for 2 reasons. One is it's a -- there is a macro environment where air traffic control needs to get upgraded. And two, we've been building this foundation model of ZEE, that's highly complementary to that product that really can enable that product in a way that they couldn't have done by themselves. So by combining them together and allowing Archer to focus on it, we can get to market in a new space that is, I think, going to be ultimately very valuable, but we'll start out small. Again, probably more difficult for a larger company to go after just because of the size of the starting base. Xin Yu: Got you. And just a follow-up on Boeing. Obviously, Boeing is now a partner, a very big investor in onshore. How does one think about the future areas of collaboration? I don't know if you can elaborate more than what was announced in press release. It seemed like this is pretty long term. They clearly trust you guys a lot. Any kind of color you can provide there? Adam Goldstein: I don't want to speak for Boeing and speculate on -- from their perspective. But what I'm hopeful is that Archer can be a great partner to Boeing and by building a lot of these advanced capabilities and really taking the torch and completing the task on a lot of the products that they had built and then sharing some of that IP back with Boeing to enable some of the products. I think that would make it a true win-win. And that's really my goal. Operator: Your next question comes from the line of Amit Dayal from H.C. Wainwright & Co. Amit Dayal: Congrats on today's announcement. Really interesting setup for you guys going forward. Adam, can you maybe just provide some additional color on what allows you to keep the burn rate contained despite recent developments with Anduril and now Boeing? Adam Goldstein: Sure. So I can't say much as it relates to the transaction just given where we are in that process. But as I mentioned before, if there ever were 2 companies that could come together, these are really attractive because we have the same architecture to start. So there's a lot of great synergies there where we can be working on. The second is we do have multiple programs -- the defense programs. The goal is to have programs ultimately won where R&D dollars can be created. And then Insitu also provides a platform to generate cash flow. And so when you put all the stuff together, we work really hard to do this, but the goal is to keep the cost structure similar. Amit Dayal: Understood. And then just a follow-up. In terms of the next set of milestones for Halo/Thunder, can you maybe give us some sense of what some of those catalysts could be? Thomas Muniz: Yes, Amit, this is Tom. So like I mentioned, we're working hard to get the aircraft in the air next year. And obviously, in the background, there's work going on, on the kind of customer program side that I can't get into the details on. But we're pretty confident we'll be in the air next year and then the idea is -- the whole idea of going to market with the defense product first or I should say, the defense variant of the dual-use vehicle is that the certification pathway is much more straightforward. So like this first vehicle will have a military-specific airworthiness and then will incrementally be increased from there as we get into civil markets. And so that really just provides a great setup to take this technology that's already been hardened on Midnight and get it out there in flying products very rapidly. Operator: [Operator Instructions] At this time, I would like to turn the call over to Adam for our retail questions. Adam Goldstein: Thanks. There's been a lot of questions on Archer's priorities, commercial versus defense? And how should we think about which will be the larger revenue driver and profitability? So we are certainly not taking our eye off the prize on Midnight. Midnight is core to our platform here at Archer, and we will work on that platform and get it to market. But defense does give us a pathway to deploy products faster and that does come with revenue and learnings. And now with Insitu, we'll be generating substantial revenue in a high-growth industry, which can help bridge the path to getting to profitability sooner. And so with Thunder, we'll look at -- the Halo/Thunder platform, we're looking at several multi-decade programs of record with Allied forces, but the commercial markets will remain the larger market, and we have not taken our eye off the prize there. Operator: At this time, there are no further questions. I will now turn the call back to Adam for closing remarks. Apologies, we actually have one more question from the line of Savi Syth from Raymond James. Savanthi Syth: Could you kind of briefly talk about -- I think Priya mentioned that maybe software generating kind of revenue and profitable by kind of the half of next year. Just generally kind of what needs to happen on that line to kind of get that generating cash flow? Adam Goldstein: Sure, Savi. So I think part of this has to do with ZEE, which is our Archer's Aviation Foundation model. And so the way to think about it is Americas Aerospace moves over 3 million people per day, and it's built on systems from decades ago. And the data behind all those flights are siloed from cockpits to towers. And so ZEE turns that data into a single intelligence layer that gives pilot airline operators a window into the future. So think better decisions, safer, more efficient operations. So it is like the brain and we're building products that will span 3 markets: pilot applications, air traffic management and airline operations. And we've designed it to be built anywhere that aviation is needed, whether it's in the cloud or on the edge, which is fully offline. So it's not theoretical. These are already discussions we're having with government agencies, industry partners, and in early deployments. So the goal is to take those products, send them out into the market. We've seen a lot of interest in them and start producing revenue and ultimately, profitability. Savanthi Syth: Got it. And then if I might, just on the eIPP and flying in L.A. Just wondering kind of the kind of the progression there, what milestones you need to kind of meet flying in L.A. before you start working on eIPP? Just any high-level kind of flight testing update. Thomas Muniz: Savi. So first, just real quick at the high-level testing update. We've actually -- we've flown over 150 piloted test flights and we're flying up to 5 times a day and many flights over 50 miles, and we're flying between airports now. So -- and of course, we're on track to full transition later this year. So lots of great progress on the piloted flight test front. With regards to eIPP, as we talked about last quarter, you can expect us to begin that initial eIPP operations later this year and that plan is largely on track. And so we'll start with CTOL and then we've got more aircraft coming on at the end of this year and beginning of next year, and then we'll roll further as we go. So I think that probably captures your question, Savi. Operator: At this time, there are no further questions. I would now like to turn the call back over to Adam for closing remarks. Adam Goldstein: Well, thank you, everyone, for joining the call today. It was an important day for Archer and I think the broader industry. I'm grateful to everyone here at Archer for all their tireless work and I also want to say how appreciative I am of Kelly Ortberg and the Boeing team for their trust throughout this transaction that we announced this morning. So thank you, everyone, for joining, and we look forward to sharing more over the course of the quarter. Operator: This concludes today's call. Thank you all for attending. You may now disconnect. Before you buy stock in Archer Aviation, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Archer Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $421,511!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,381,960!* Now, it’s worth noting Stock Advisor’s total average return is 981% — a market-crushing outperformance compared to 216% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 17, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Archer Aviation (ACHR) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Archer Aviation (NYSE: ACHR) reported its second-quarter results on Monday, and the two numbers that matter most sit at opposite ends of the release. The air taxi maker expects an adjusted EBITDA loss of $170 million to $200 million for the third quarter. And it closed out June holding $1.56 billion in cash, cash equivalents, and short-term investments. Set one number against the other and the arithmetic is simple: At the top of that guidance, Archer's money covers roughly two more years of losses. What has to happen inside them? Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » After all, this is a company still almost entirely ahead of its revenue. Second-quarter sales were $5 million, mostly from operating Hawthorne Airport in Los Angeles, against a net loss of $263 million. None of that is surprising for a business building an aircraft program and a defense platform at once. But it does make the balance sheet the number to watch. As of this writing, shares sit near $6.60 after sliding 5% on Friday. Adjusted EBITDA (a non-GAAP measure of earnings before interest, taxes, depreciation, and amortization, with further adjustments that exclude items like stock-based compensation) is the figure Archer guides on. A year ago, the quarterly loss on that basis was $118.7 million. This year's first quarter came in at $172.5 million, and the second at $177.1 million. And the new guidance brackets that number rather than shrinking it. Total operating expenses rose 61% year over year to $284 million. The $28 million step-up from the first quarter, management says, reflects expanded flight testing, certification work, and production of its Midnight aircraft, plus its hybrid military aircraft and ZEE, its aviation artificial intelligence (AI) model. The all-in cash number runs higher still. Cash and investments fell by $215 million during the quarter, with $156 million of that used in operations. Most of the rest went to capital expenditures and to buying the operator business at Hawthorne Airport. Of course, that last piece was a $25 million one-time purchase. But the balance has stepped down all the same, from $1.96 billion at the end of December to $1.78 billion in March to $1.56 billion in June. The reason to spend at this pace is that Archer believes it is close. In April, the company became the first in its industry to close the third phase of the FAA's four-phase type certification process. It is now in the final phase, where Midnight's compliance is demonstrated through formal testing. Operations are supposed to come sooner. In July, Midnight flew its first piloted city-to-city trips in California. Over the next few months, Archer plans to begin flying in the Los Angeles area from Hawthorne. Later this year, it expects to commence operations in Texas under the White House's eVTOL Integration Pilot Program. I'd argue those dates matter more here than they would at most companies, because the waiting itself now has a price. At the guided pace, six months of schedule slippage costs about $400 million. The deal Archer announced alongside the results brings the first substantial revenue the company has ever had. Insitu, which builds unmanned military aircraft and operates across 35 countries, takes in over $200 million of revenue a year -- and does so profitably. The transaction, which also hands Archer the autonomy developer Wisk Aero and the airspace-software company SkyGrid, is slated to wrap up before 2026 ends. Boeing, for its part, is set to take a stake in Archer and to invest in the company. But does the deal lighten the spending, too? In his shareholder letter, CEO Adam Goldstein wrote that he has tasked his team with integrating the companies "in a thoughtful and synergistic way that will not structurally increase our overall cash burn." The third-quarter guidance can't confirm that either way. The deal hasn't closed, so none of the acquired businesses are in the numbers yet. However, the first guidance Archer issues after closing is where the commitment becomes checkable. Ultimately, the math is unusually simple for a growth stock this speculative. Archer's own guidance puts its quarterly losses as deep as $200 million, and the balance sheet holds about eight quarters of losses that size -- fewer if cash keeps leaving faster than the guided measure, the way it did last quarter. If Midnight starts carrying passengers on schedule and the Boeing businesses arrive without pushing spending higher, that could be plenty. I'd just note that both of those are still plans, and that the loss has grown in each of the past three quarters. Before you buy stock in Archer Aviation, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Archer Aviation wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. 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Archer's post-earnings rally was driven by a dual catalyst: an all-stock acquisition of three Boeing units and a Q2 revenue beat of over 150%. Archer Aviation (ACHR) reported Q2 FY2026 after the close on August 10, and the stock rose 8.5% the following day. Only part of that traced to the quarter itself. What changed is that a company that has yet to certify its own aircraft agreed to buy a profitable drone maker with revenue across 35 countries, and it is paying with equity rather than cash. The deal covers three Boeing-owned businesses, Wisk Aero, Insitu, and SkyGrid, in an all-stock transaction management expects to close by the end of 2026, with Boeing taking a roughly 20% stake plus warrants. Insitu matters immediately: management says it is profitable today, with over $200 million in annual revenue across 35 countries. Archer's own revenue over the trailing twelve months is about $7 million. The stock followed the deal rather than the industry: the move came on August 11, the first trading day after the report, while peers JOBY fell 4.4% and EVEX was flat over the same span. Set against that, the reported quarter was small. Revenue was $5 million, more than triple the prior quarter, and management credits the increase to growing operations at Hawthorne Airport in L.A. The $0.25 loss per share matched consensus and was two cents narrower than a year earlier; revenue came in ahead of estimates. Midnight, the air taxi, still has to clear certification before it scales: management says Archer is in the fourth and final phase of FAA type certification, has flown more than 150 piloted test flights, and is targeting about 250 charging sites by 2030. Q2 adjusted EBITDA was a loss of $177 million against $1.6 billion of liquidity, and paying Boeing in shares leaves that liquidity intact, at the cost of roughly a fifth of the company. Preserving cash matters most when a balance sheet is still funding development rather than being funded by it, and defensible balance sheets are one of the things the Trefis High Quality Portfolio insists on in its holdings. How fast that liquidity goes out is what the spend guide addresses. For Q3 2026 management guided the adjusted EBITDA loss to $170 million to $200 million, the same range guided for Q2, spend that already carries the Midnight flight test program, the hybrid aircraft Archer is developing with Anduril and ZEE, its aviation foundation model. Once the acquisitions close, management says cash burn stays relatively flat from where it is today. That is the commitment from this report a shareholder can most directly check. The reason to own Archer has changed shape: it was a bet on certifying Midnight, and it is now also a bet that a certification company can run an acquired drone manufacturer on the same spending. Options price ACHR at an implied volatility of 80%, in the 65th percentile of its trailing year, so the market is not treating the outcome as settled either. A pop like this is the payoff for holding through the uncertainty, and it is also how sizeable positions quietly get bigger. A position that has grown large enough to matter is worth sizing deliberately rather than by accident. What a position that size would do to your net worth is exactly what the Trefis Wealth team computes, with the same rules-based systematic discipline that runs our High Quality Portfolio. Request a free vulnerability audit of your biggest positions.

Interested in Archer Aviation Inc.? Here are five stocks we like better. Archer plans to acquire Boeing-owned Wisk Aero, Insitu and SkyGrid in an all-stock deal expected to close by year-end, expanding into autonomous flight, aviation AI and unmanned defense systems. Insitu would add more than $200 million in annual revenue and positive free cash flow. Archer said its Midnight air-taxi program remains central, with the company in the final phase of FAA certification and planning operations in California and Texas. Its hybrid Halo Thunder aircraft, developed with Anduril for defense and other heavy-payload uses, is targeted for first flight next year. Archer ended the second quarter with $1.6 billion in liquidity and $5 million in revenue, while adjusted EBITDA showed a $177 million loss. The company expects third-quarter losses in a similar range and aims to keep cash burn relatively flat following the acquisitions. Archer and Anduril Put ACHR Stock on a New Defense Flight Path Archer Aviation (NYSE:ACHR) said it has entered agreements to acquire Boeing-owned Wisk Aero, Insitu and SkyGrid in an all-stock transaction that is expected to close by the end of the year, broadening its operations beyond electric air taxis into unmanned aircraft systems, aviation artificial intelligence and autonomous-flight technology. Founder and CEO Adam Goldstein characterized the transaction as an “important inflection point” for Archer, saying the acquisitions would support its strategy to build a diversified aerospace and defense platform. Boeing will receive a strategic equity stake in Archer, subject to a lockup, while the companies plan to collaborate on aviation autonomy, flight controls and other technologies. → MarketBeat Week in Review – 08/03 - 08/07 These Stocks Could Win as Wall Street Looks Beyond AI Software Goldstein said Archer will retain ownership of intellectual property acquired in the deal, while sharing IP with Boeing for products involving flight-control systems, autonomy and related areas. He described the arrangement as a partnership intended to help both companies develop future civil and defense products. Wisk brings engineers and technology focused on autonomous flight, flight controls and sensors, according to Archer. Goldstein said Archer sees an opportunity to use Wisk’s technology initially on its Halo Thunder aircraft platform before incorporating it into future air-taxi iterations when the Federal Aviation Administration is prepared to certify autonomy. → Quantum Earnings Week: Winners and Losers Are Finally Emerging Vertical Aerospace: Pre-Flight Checks Point to a Breakout Insitu, an intelligence, surveillance and reconnaissance drone manufacturer, is profitable and generates more than $200 million in annual revenue across 35 countries, Goldstein said. The company has built more than 4,000 Group 2 and Group 3 unmanned aircraft systems that have accumulated nearly 2 million autonomous flight hours. Archer expects Insitu to provide an immediate revenue base and positive free cash flow after the transaction closes. Goldstein said the company plans to focus first on growing Insitu’s existing product portfolio and increasing manufacturing of the Group 2, Group 3 and Group 4 drones it produces. → Take-Two’s Q1 Results Leave GTA 6 Bulls Stuck in the Fog of War SkyGrid is expected to complement Archer’s ZEE aviation-specific foundation model, which uses data including ADS-B, air traffic control communications, maps, aircraft movements, terrain and weather. Archer said it believes the combined technologies could support a next-generation air-traffic-management product. Goldstein said Archer’s Midnight air-taxi program remains central to the company’s strategy. During the quarter, Archer flew piloted aircraft almost daily, at times conducting multiple flights per day, including piloted vertical takeoff and landing and conventional takeoff and landing tests as well as its first intercity flights in California. The company expects to begin flying in the Los Angeles area from Hawthorne Airport over the next several months. It also plans to begin operations later this year in Texas under the White House’s eIPP program, initially using conventional takeoff and landing operations. Archer said it remains in the fourth and final phase of FAA type certification for Midnight and has a fully accepted means of compliance. The FAA approved Archer’s quality management system during the quarter, enabling FAA creditable conformity findings across the aircraft, components and systems. The company said it is working with the agency on for-credit testing this year. Meanwhile, Archer is developing its Halo Thunder platform with defense technology company Anduril. Chief Technology Officer Tom Muniz said the clean-sheet hybrid aircraft is designed to carry heavier payloads farther and faster than Midnight. While it uses certain building blocks from the Midnight program, including battery, electric-motor and flight-control technologies, the hybrid system is a new element intended to expand range, speed and payload capabilities. Archer targets a first flight for Halo Thunder next year. The company is working toward customer deliveries in 2029 and scaling production beginning in 2030. Halo is the base aircraft platform, while Anduril is expected to missionize Thunder for defense applications. Goldstein said the civilian Halo platform could serve uses such as search and rescue and offshore energy, where customers need longer range and greater payload capacity than Midnight provides. Archer has previously identified Marubeni as an early customer for the platform. Interim CFO Priya Gupta reported $1.6 billion in liquidity at the end of the second quarter. Revenue reached $5 million, up 213% from the prior quarter, driven by expanded operations at Hawthorne Airport, according to the company. Adjusted EBITDA was a loss of $177 million, toward the lower end of Archer’s previous guidance range of a $170 million to $200 million loss. Archer expects its third-quarter adjusted EBITDA loss to remain within that same range as it advances Midnight flight testing, eIPP operations, Halo development and aviation AI products. Gupta said Archer aims to keep cash burn relatively flat after the planned acquisitions close and through integration. The company expects its AI products to generate revenue and reach profitability as early as next year, with potential for a more significant ramp in the second half of 2027 and beyond. Goldstein said defense programs may offer faster deployment and revenue opportunities than passenger-carrying aircraft, but emphasized that Archer has not shifted its focus away from the commercial air-taxi market. “Midnight is core to our platform here at Archer,” he said, while adding that Insitu’s revenue and cash flow could help bridge Archer’s path toward profitability. Archer Aviation, Inc (NYSE: ACHR) is a California-based aerospace company developing electric vertical takeoff and landing (eVTOL) aircraft designed to serve as sustainable urban air mobility solutions. Founded in 2018 by Adam Goldstein and Brett Adcock, Archer focuses on the design, development and certification of zero-emissions air taxis aimed at reducing traffic congestion in densely populated metropolitan areas. The company's flagship prototypes, “Maker” and “Midnight,” have been engineered to deliver quiet, efficient short-haul flights with ranges of up to 100 miles per charge. Headquartered in Palo Alto, California, Archer operates a manufacturing facility in nearby Santa Cruz County and maintains research partnerships with automotive and energy companies, including a collaboration with Stellantis to integrate advanced battery systems. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Archer Aviation Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Archer Aviation Inc. ACHR used its second-quarter earnings call to frame its growth plan around a broader aerospace, defense and aviation-AI platform, led by planned acquisitions from Boeing. Management also kept Midnight certification and early operations at the center of spending priorities, while outlining nearer-term revenue paths from drones and software. Founder, CEO and chairman Adam Goldstein said Archer plans to acquire Wisk Aero, Insitu and SkyGrid from Boeing, with Boeing taking a strategic equity stake. Archer is targeting a year-end close. CEO Goldstein said Wisk would add autonomy and flight-control capabilities, while Insitu would bring a profitable business with more than $200 million in annual revenues. SkyGrid is intended to complement Archer's ZEE aviation AI platform. In Q&A, a Raymond James analyst asked how the engineering teams would integrate. CEO Goldstein said there would be an exploratory period, but emphasized overlap in aircraft architecture and complementary autonomy expertise. CEO Goldstein stressed that Midnight remains a top priority even as Archer broadens its portfolio. He said the program is in the fourth and final phase of FAA type certification with an accepted means of compliance. CEO Goldstein also highlighted FAA approval of Archer's quality management system and said the company is working on for-credit testing this year. CTO Thomas Muniz told a Raymond James analyst that Archer has completed more than 150 piloted test flights, is flying up to five times a day and has logged many flights longer than 50 miles. Initial eIPP operations remain planned for later this year. CTO Muniz described Halo and Thunder as a clean-sheet hybrid platform designed for heavier payloads, longer range and higher speed than Midnight, while reusing batteries, motors and flight-control technology. CTO Muniz said the target is to fly the platform in 2027, work toward customer deliveries in 2029 and scale from 2030. In response to an H.C. Wainwright analyst, CTO Muniz said Archer plans to pursue the defense variant first under military-specific airworthiness, then expand toward civil markets. Acting CFO and VP of Finance Priya Gupta said Archer's near-term goal is for its AI products to generate revenues and become profitable as early as 2027, with a potential significant ramp in the second half of 2027 and beyond. CEO Goldstein said ZEE is being developed for pilot applications, air traffic management and airline operations, with deployment in the cloud or offline at the edge. When a Raymond James analyst asked about the path to software cash flow, CEO Goldstein said Archer is already in discussions with government agencies and industry partners and has early deployments underway. Acting CFO Gupta said second-quarter adjusted EBITDA was a loss of $177.1 million, near the lower end of the company's $170 million to $200 million guidance range. For the third quarter, Archer expects the adjusted EBITDA loss to remain between $170 million and $200 million. Revenues of $5 million topped the Zacks Consensus Estimate of $2 million, a 156.00% surprise. The reported loss of $0.25 per share matched the Zacks Consensus Estimate, for a 0.00% surprise. Archer Aviation Inc. price-consensus-eps-surprise-chart | Archer Aviation Inc. Quote Acting CFO Gupta said Insitu is expected to contribute positive free cash flow after closing, supporting Archer's goal of keeping cash burn relatively flat through integration while funding Midnight, Halo and ZEE. CEO Goldstein's central message was that defense and autonomous systems provide a pathway to earlier revenue and operating learnings without displacing Midnight as the core commercial program. Acting CFO Gupta framed the next phase around closing the Boeing transaction by year-end, integrating the acquired businesses efficiently and controlling spending while advancing the three main platforms. ACHR currently carries a Zacks Rank #2 (Buy), which is a favorable near-term signal under a methodology centered on earnings-estimate revisions. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Its Style Scores are less supportive, with an F for Value, F for Growth, C for Momentum and a VGM Score of F. Zacks methodology identifies A or B Style Scores as the strongest complements to Zacks Rank #1 and #2 stocks, so ACHR's current grades provide a mixed setup rather than broad confirmation. The Zacks Rank can change as analysts revise estimates following the just-reported results. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Archer Aviation Inc. (ACHR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Archer Aviation surged 11% Tuesday as earnings-call details revealed Boeing's Insitu subsidiary generates $200M+ annually and can fund Archer's operations independently. JOBY shares dropped 2% and EH stayed flat, indicating that the rally is Archer-specific and not a broad eVTOL sector move. Despite back-to-back double-digit rallies, ACHR remains down 10% year to date, with an analyst target of $10.50 implying meaningful upside potential. It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) Archer Aviation (NYSE:ACHR) stock is climbing 11% to $6.93 Tuesday morning, extending Monday's 12% deal-day pop as investors continue to digest details from Archer's Q2 2026 earnings call. The move follows Monday's coverage of the Boeing (NYSE:BA) tie-up with Archer Aviation and reflects Day 2 follow-through on the same story. Archer's air-taxi peers aren't rallying with ACHR stock. Joby Aviation (NYSE:JOBY) shares are down 2% to $8.59, and EHang Holdings (NASDAQ:EH) shares are unchanged/flat at $5.68. The Invesco QQQ Trust (NASDAQ:QQQ) ETF is idle at $720.16, underscoring that this is a company-specific event, not a sector or index-driven rally. The fresh catalyst is the color that Archer Aviation's management provided on the call about the deal. Archer disclosed that its Q2 revenue came in at $5 million, up 213% quarter over quarter and well above the $1.96 million consensus. The per-share loss came in line with estimates, and Archer stock is responding to the growth setup rather than the bottom-line print. Archer Aviation CFO Priya Gupta framed the acquired Boeing subsidiary Insitu as a profitable business generating more than $200 million of revenue a year that is expected to contribute positive free cash flow, allowing Archer to operate on a "self-funding basis" and "significantly change the profile for Archer." CEO Adam Goldstein positioned the defense and drone assets as a route to profitability that reduces both cash burn and dilution risk. SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now. (Sponsor) The cash-burn picture still matters. Archer Aviation posted a Q2 adjusted EBITDA loss of $177.1 million and guided Q3 to an adjusted EBITDA loss of $170 million to $200 million. The company ended the quarter with roughly $1.6 billion in liquidity, giving it runway to close the Boeing transaction and continue certification work. The Day 1 catalyst was Archer's all-stock agreement to acquire Boeing's Wisk Aero, Insitu, and SkyGrid subsidiaries, giving Boeing a 16% stake in Archer alongside a technology-sharing arrangement. None of those Boeing units trade separately. Boeing shares closed Monday at $232.79, and Boeing stock has barely moved on the news. Operational milestones stack the bull case. The Midnight aircraft has completed piloted city-to-city flights, and Archer says it is the only OEM in the final phase of FAA type certification. Management flagged its Halo-Thunder autonomous VTOL platform, developed with Anduril, as targeting a total addressable market above $100 billion with first flight next year and deliveries in 2029, alongside the ZEE aviation AI foundation model. Joby Aviation stock and EHang stock haven't participated in the ACHR stock rally, which is notable given both compete in the broader eVTOL and urban-air-mobility category. Neither name has issued fresh news today, and the flat print in QQQ shares (which doesn't hold small-cap Archer) reinforces that the stock is reacting to Archer's own catalysts. The one-day divergence is a clean signal that money is chasing the Boeing-driven pivot toward defense revenue, not an eVTOL basket rally. The broader picture for Archer stock is still mixed. Even after this pop, ACHR shares are down 10% year to date (YTD) and down 29% over the trailing year. The analyst target price of $10.5 implies meaningful upside if the Boeing deal delivers as guided. Investors can watch for signs of the Boeing acquisition closing by year-end, the first commercial eIPP flights in Texas and the Los Angeles area before year-end, and updated analyst notes reacting to the self-funding framing. Whether Archer Aviation stock can hold above the $6.85 level into the close may indicate if this Day 2 follow-through has legs, or if the deal-week trade is running out of fuel. Looking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open a new Active Invest account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock. From $0 commission trading3 to fractional shares4 and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(Sponsor) Contact [email protected] for any questions or corrections.

Announced deal to acquire Boeing’s Wisk Aero, Insitu and SkyGrid to create an end-to-end physical AI platform for aerospace and defense and adding over $200M in annual revenue to Archer’s business with Boeing to invest in and collaborate with Archer. Unveiled Halo/Thunder, the commercial and defense variants of Archer’s jointly-developed autonomous, hybrid VTOL platform with Anduril. Announced ZEE, Archer’s AI foundation model purpose-built for aviation and its frontier breakthrough for aviation safety. Completed piloted city-to-city Midnight flights in preparation for operations later this year under the White House’s eVTOL Integration Pilot Program (eIPP). SANTA CLARA, Calif., August 10, 2026--(BUSINESS WIRE)--Archer Aviation Inc. ("Archer" or the "Company") (NYSE: ACHR) today announced operating and financial results for the second quarter ended June 30, 2026. The Company issued a shareholder letter from founder and CEO, Adam Goldstein, discussing highlights from the quarter. Commenting on second quarter 2026 results, Adam Goldstein said: "Today is an important inflection point for Archer. With the planned acquisitions of Wisk, Insitu, and SkyGrid from Boeing, coupled with our recent unveiling of Halo, ZEE, and ACES, we are rapidly advancing our diversified, multi-platform strategy across air taxis, UAS and AI to lead the next generation of aerospace and defense." Live Webcast Details Archer will host a live webcast to discuss its results at 2:00 p.m. Pacific Time today. The live webcast and replay are accessible via Archer’s investor relations website at investors.archer.com or conference call by visiting https://events.q4inc.com/attendee/810358512 Recent Highlights Archer to Acquire Boeing’s Wisk Aero, Insitu and SkyGrid Transaction1 to create an end-to-end physical AI platform for aerospace and defense, combining Wisk, Insitu and SkyGrid’s pioneering autonomy and airspace intelligence technologies with Archer’s leading purpose-built AI foundation model, ZEE. Insitu alone will add over $200M in annual revenue2 to Archer’s business with operations across 35 countries. As part of the transaction, Boeing is set to take a strategic stake in, and become a strategic partner to, Archer, establishing an ongoing Archer and Boeing collaboration and technology sharing arrangement. Unveiled Dual-Use Autonomous, Hybrid VTOL Platform With Anduril In July, Archer and Anduril unveiled their jointly-developed autonomous, hybrid VTOL aircraft platform at the Farnborough International Airshow, introduced as Thunder for defense missions and Halo for commercial applications. The two variants share the same airframe, hybrid powertrain and core systems, with configurable payload depending on mission requirements. Designed for low-cost, high-volume production using commercial supply chains, the platform behind Halo and Thunder is built to support broad deployment, rapid production and the scale commercial and defense markets require. Announced ZEE, Archer’s AI Foundation Model Purpose-Built for Aviation Archer announced ZEE, its AI foundation model purpose-built for aviation, delivering a unified aviation intelligence platform built on ADS-B, ATC communication, maps and charts, aircraft state, terrain and weather data. The foundation model is designed to work both offline, on-device and as a server-hosted solution, critical for use in a wide range of aviation environments from air taxis and UAVs to commercial airlines and air traffic management. ZEE recently achieved a technical breakthrough demonstrating the capability to accurately predict real-time aircraft trajectories on the airport surface minutes into the future, giving the humans in the loop the most critical asset in aviation safety: time to react. Completed City-to-City Midnight flights In Preparation for eIPP Operations In July, Archer's Midnight aircraft completed a piloted round trip journey between Salinas Municipal Airport and Monterey Regional Airport, with each leg completed in approximately nine minutes compared to over 35 minutes by car. The flight was executed in close coordination with the FAA and marks a critical step toward Archer launching Midnight operations later this year under the eIPP. Second Quarter 2026 Financial Results We reference several non-GAAP metrics in the financial discussion that follows. Unless otherwise noted or defined, our non-GAAP metrics are calculated by starting with the equivalent GAAP metric. A reconciliation of non-GAAP financial measures to the most comparable GAAP measures is provided below in the section titled "GAAP to Non-GAAP Reconciliation". Key Financial Highlights Liquidity & Cash Flows We ended Q2 2026 with $1,560.6 million of cash, cash equivalents, and short-term investments on our balance sheet and an additional $7.3 million of restricted cash. Our Q2 2026 cash, cash equivalents, and short-term investments decreased by $215.3 million from Q1 2026, primarily due to the $156.4 million cash used in operating activities, $37.1 million used in the purchase of property and equipment and $25.0 million used in acquisition of the fixed based operator business at the Hawthorne Airport. Revenue Our Q2 2026 Revenue increased by $3.4 million from Q1 2026 to $5.0 million as we expanded operations at the Hawthorne Airport in LA. Operating Expenses & Net Loss Q2 2026 Operating Expenses increased by $28.0 million from Q1 2026 as we continued to invest in expanding flight testing, certification efforts, and production activities for our Midnight aircraft, along with the investment in the design and development efforts for our hybrid aircraft, and the development of ZEE, our AI foundation model. Q2 2026 Net Loss increased by $45.5 million from Q1 2026 primarily driven by $28.0 million increase in operating expenses, $18.8 million decrease primarily in non-cash gain for change in fair value of private and public warrants within other income (expense), net, and a $2.2 million decrease in interest income, net, offset by $3.4 million increase in revenue generated. Adjusted EBITDA Q2 2026 Adjusted EBITDA was a loss of $177.1 million, which is on the lower end of the guidance range of $170 million - $200 million. The loss was a planned increase of $4.6 million over Q1 2026, mainly due to the reasons mentioned above for the increase in operating expenses. Q3 2026 Financial Estimates Archer’s financial estimates for the third quarter of 2026 are as follows: We have not reconciled our Adjusted EBITDA estimates because certain items that impact non-GAAP metrics are uncertain or out of our control and cannot be reasonably predicted. In particular, stock-based compensation expense and change in fair value of warrants is impacted by the future fair market value of our common stock and warrants along with other factors, all of which are difficult to predict, subject to frequent change, or not within our control. The actual amount of these expenses during the third quarter of 2026 will have a significant impact on our future GAAP financial results. Accordingly, a reconciliation of non-GAAP metrics is not available without unreasonable effort. About Archer Archer builds the aircraft and core technologies that will define the next era of flight for aerospace and defense. To learn more, visit www.archer.com. Source: ArcherText: ArcherIR Forward-Looking Statements and Disclaimers This press release contains forward-looking statements regarding Archer's future business plans, expectations, and opportunities. These statements include those regarding its expected financial results for the third quarter of 2026; the design, safety, target specifications and use cases of its aircraft and technologies; pace of design and regulatory progress; the timing, phasing, geographic scope and planned operations under the eIPP; infrastructure development; its ability to timely develop, certify, test, manufacture and commercialize its eVTOL aircraft and technologies and develop vertiport infrastructure, or its ability to do so at all; development of its hybrid aircraft and defense programs; the expected timing and structure of the transaction; the ability of the parties to complete the contemplated transactions; the expected benefits of the transactions, including future financial and operating results and strategic benefits; and plans, objectives, and anticipated benefits of future acquisitions, strategic investments, partnerships, and collaborations with third parties. These forward-looking statements are based on Archer's current expectations and are subject to risks and uncertainties, which may cause actual results to differ materially from Archer's current expectations. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. The inclusion of such statements should not be regarded as a representation that such plans, estimates or expectations will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (i) that one or more closing conditions to the transaction, including certain regulatory approvals, may not be satisfied or waived, on a timely basis or otherwise, including that a governmental entity may prohibit, delay or refuse to grant approval for the consummation of the transaction, or may require conditions, limitations or restrictions in connection with such approvals; (ii) the risk that the transaction may not be completed on the terms or in the time frame expected by Archer, or at all; (iii) unexpected costs, charges or expenses resulting from the transaction; (iv) uncertainty of the expected financial performance of Archer following completion of the transaction; (v) failure to realize the anticipated benefits of the transaction, including as a result of delay in completing the transaction or integrating the businesses, on the expected timeframe or at all; (vi) the occurrence of any event that could give rise to termination of the transaction; (vii) the risk that stockholder litigation in connection with the transaction or other litigation, settlements or investigations may affect the timing or occurrence of the transaction or result in significant costs of defense, indemnification and liability; (viii) risks related to the disruption of management time from ongoing business operations due to the pendency of the transaction, or other effects of the pendency of the transaction on the relationship of any of the parties to the transaction with their employees, customers, suppliers or other counterparties; and (ix) other risk factors detailed from time to time in Archer's reports filed with the Securities and Exchange Commission (the "SEC"), including documents that will be filed with the SEC in connection with the transaction. Any forward-looking statements contained herein are based on assumptions that Archer believes to be reasonable as of the date of this press release. Archer undertakes no obligation to update these statements as a result of new information or future events. Reconciliation of Selected GAAP To Non-GAAP Results A reconciliation of total operating expenses to non-GAAP total operating expenses for the quarters ended June 30, 2026, March 31, 2026, and June 30, 2025, respectively, are set forth below. Amounts include non-cash warrant costs, classified as research and development expenses, for the warrants issued to Stellantis in connection with certain services they are providing to the Company Amounts primarily include stock-based compensation expense for options and restricted stock units issued to employees, non-employees, including the grants issued to our founder and shares issued to vendors Amount reflects an accrued one-time litigation settlement-related cash expenses Amount reflect acquisition related cash expenses Reconciliation of Selected GAAP To Non-GAAP Results A reconciliation of net loss to Adjusted EBITDA for the quarters ended June 30, 2026, March 31, 2026, and June 30, 2025, respectively, are set forth below. Amounts primarily include changes in fair value of the public and private warrants, which are classified as warrant liabilities Amounts include non-cash warrant costs, classified as research and development expenses, for the warrants issued to Stellantis in connection with certain services they are providing to the Company Amounts primarily include stock-based compensation expense for options and restricted stock units issued to employees, non-employees, including the grants issued to our founder and shares issued to vendors Amount reflects an accrued one-time litigation settlement-related cash expenses Amounts reflect acquisition-related cash expenses Non-GAAP Financial Measures To supplement our consolidated financial results prepared in accordance with GAAP, we use the following non-GAAP financial measures: Non-GAAP total operating expenses and Adjusted EBITDA. The presentation of these financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In particular, these non-GAAP financial measures have no standardized meaning prescribed by GAAP and are not based on a comprehensive set of accounting rules or principles and many of the adjustments to the GAAP financial measures reflect the exclusion of items that are recurring and may be reflected in our financial results for the foreseeable future. In addition, these measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes. We compensate for these limitations by providing specific information regarding the GAAP amounts excluded from these non-GAAP financial measures. We believe that the use of non-GAAP financial measures help us evaluate our business and financial performance, identify trends impacting our business, formulate business plans and financial projections, and make strategic decisions. We believe that disclosing non-GAAP financial measures to the readers of our financial statements provides useful supplemental data that, while not a substitute for GAAP financial measures, can offer insight in the review of our operating and financial results and enables investors to more fully understand our performance and cash trends by removing the effects of certain non-cash expenses and non-recurring items. We excluded items in the following general categories from one or more of our non-GAAP financial measures, certain of which are described below: STOCK-BASED COMPENSATION EXPENSE We exclude stock-based compensation expense, which is a non-cash expense, from these non-GAAP financial measures because we believe that excluding this item provides meaningful supplemental information on our operating results and enhances our ability and the ability of the investors to understand the impact of non-cash stock-based compensation expense on our operating results. WARRANT EXPENSE & GAINS OR LOSSES FROM REVALUATION OF WARRANTS Expense from our common stock warrants issued to Stellantis, which is recurring (but non-cash), expense from one-time issuance of warrant and gains or losses from change in fair value of public and private warrants from revaluation will be reflected in our financial results for the foreseeable future. We exclude warrant expense and gains or losses from change in fair value for similar reasons to our stock-based compensation expense. LITIGATION-RELATED EXPENSE We exclude one-time accrued cash expenses incurred related to litigation settlement, from these non-GAAP financial measures because we believe these transaction-specific expenses are inconsistent in amount and frequency and do not correlate to the operation of our business and excluding these provides meaningful supplemental information on our operating results and enhances our ability and the ability of the investors to understand the impact of non-recurring litigation-related expense on our operating results. ACQUISITION-RELATED EXPENSE We exclude cash expenses, including diligence, legal, advisory and other costs incurred with acquisitions, from these non-GAAP financial measures because we believe these transaction-specific expenses are inconsistent in amount and frequency and do not correlate to the operation of our business and excluding these provides meaningful supplemental information on our operating results and enhances our ability and the ability of the investors to understand the impact of non-recurring acquisition-related expense on our operating results. View source version on businesswire.com: https://www.businesswire.com/news/home/20260810771607/en/ Contacts For Investors [email protected] For Media The Brand [email protected]

Archer Aviation Inc. ACHR is expected to report second-quarter 2026 results on Aug. 10, after market close.The Zacks Consensus Estimate for earnings is pegged at a loss of 25 cents per share, indicating a year-over-year rise of 7.41%. The Zacks Consensus Estimate for revenues is pinned at $1.95 million. Image Source: Zacks Investment Research Archer Aviation’s earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed in one, the average surprise being 7.89%. Image Source: Zacks Investment Research Our proven model does not conclusively predict an earnings beat for Archer Aviation this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as you will see below.Earnings ESP: The company’s Earnings ESP is -10.20%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.Zacks Rank: Currently, ACHR carries a Zacks Rank #2. You can see the complete list of today's Zacks #1 Rank stocks here. Some stocks from the sector that have the combination of factors indicating an earnings beat are Vertical Aerospace EVTL and Mercury Systems MRCY. Vertical Aerospace and Mercury Systems have an Earnings ESP of +15.39% and +6.67%, respectively. EVTL and MRCY both carry a Zacks Rank #3 at present. Archer Aviation continues to advance its electric air taxi strategy through collaborations with U.S. cities, aviation authorities and international partners to support the commercialization of its Midnight aircraft. Continued progress in FAA certification and preparations for operations under the U.S. eVTOL Integration Pilot Program are also likely to have boosted the company's performance in the to-be-reported quarter.ACHR also continued expanding its commercial infrastructure through the modernization of Hawthorne Airport and preparations for early commercial operations in the UAE. These initiatives are likely to have supported revenue generation and strengthened Archer's second-quarter performance.Archer Aviation also carried on ramping up its manufacturing capabilities and flight-test activities while preparing for commercial operations and scaling production of its Midnight aircraft. These efforts are likely to have aided the company's operational execution in the to-be-reported quarter. However, higher spending on certification activities, flight testing, manufacturing expansion and commercialization initiatives may have increased operating expenses, trimming some of the gains in the to-be-reported quarter. Over the past month, the stock has gained 8.1% compared with the industry’s rise of 7.3%. Image Source: Zacks Investment Research Archer Aviation is trading at a discount relative to the industry, with a trailing 12-month price-to-book of 1.91X compared with the industry average of 6.51X. Image Source: Zacks Investment Research The company’s current ratio is 18.06 compared with the industry’s average of 1.12. A ratio of more than one suggests a healthy liquidity position where the business can meet its immediate financial obligations without selling long-term assets. Image Source: Zacks Investment Research Archer Aviation is steadily advancing its commercialization strategy through continued progress in FAA certification, expanding international opportunities and strengthening manufacturing readiness. Backed by a healthy liquidity position, ongoing flight-test activities and early operating plans in the United States and the UAE, the company remains well positioned to capitalize on the growing advanced air mobility market.However, ACHR remains exposed to certification and commercialization risks, while elevated investments in manufacturing, flight testing and network build-out are likely to keep cash burn and operating losses high until commercial operations scale. Archer Aviation is steadily building the foundation for future growth through continued execution across certification, operational readiness and market expansion. With early deployment plans taking shape and production capabilities advancing, the company remains well positioned to benefit as the electric aviation industry moves toward commercialization. Given its attractive valuation, better price performance and strong liquidity, investors might consider adding ACHR stock to their portfolios right now. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Archer Aviation Inc. (ACHR) : Free Stock Analysis Report Mercury Systems Inc (MRCY) : Free Stock Analysis Report Vertical Aerospace Ltd. (EVTL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Archer Aviation (NYSE:ACHR) unveiled a new aviation artificial-intelligence capability just days before earnings, expanding its investment case beyond electric aircraft. Its ZEE model can predict aircraft movements across airport surfaces several minutes ahead, potentially improving safety, but investors still lack evidence that the technology can generate meaningful revenue. Warning! GuruFocus has detected 2 Warning Sign with ACHR. Is ACHR fairly valued? Test your thesis with our free DCF calculator. Archer develops electric vertical takeoff and landing aircraft for planned air-taxi and defense applications. Its flagship Midnight aircraft is designed for short urban routes, although commercial passenger operations have not yet begun. The company remains focused on certification, manufacturing and building an operating network. ZEE can evaluate several possible aircraft routes rather than producing a single fixed forecast. It also uses satellite imagery to identify runways, taxiways and parking areas, helping the model understand airport layouts and predict how aircraft may move through them. Archer has begun testing ZEE at Hawthorne Airport and has presented the system to commercial partners and regulators. It now plans to establish pilot programs to validate the technology, although no customer, contract value or commercialization schedule was disclosed. The announcement followed another operational milestone. Archer completed a piloted round-trip Midnight flight between Salinas Municipal Airport and Monterey Regional Airport, with each leg taking roughly nine minutes versus a drive of approximately 35 minutes. That demonstration could support Archer's proposed participation in the federal eVTOL Integration Pilot Program, which is designed to test air taxis, cargo services and other advanced-air-mobility operations under real-world conditions. Archer's August 10 earnings report will provide a more important test of the stock's outlook. Investors should watch liquidity, quarterly spending, certification progress, manufacturing readiness and any timetable for beginning commercial operations. Archer ended the first quarter with approximately $1.8 billion in liquidity, but continued development will require substantial investment. A government-backed ZEE pilot or identifiable commercial customer could give the AI platform credibility. Without contracts, however, the announcement remains a promising technical demonstration rather than a proven revenue stream. Progress toward FAA approval and controlled deployment of Midnight will remain the central drivers of ACHR's investment case.