Highlights

  • Second quarter 2026 net loss widened to $263.2 million, or $0.34 per share, on revenue of $5.0 million.
  • Cash and short-term investments of $1,560.6 million at June 30 are expected to fund operations for 12 months or more.
  • On August 9, 2026, Archer agreed to acquire Wisk, SkyGrid and Insitu from Boeing for shares and two warrants.
  • Research and development spending rose 52% to $186.0 million, and stock-based compensation reached $85.6 million for the quarter.

Archer Aviation (NYSE:ACHR) shares were trading near their 52-week low at USD 3.88 on October 21, 2026, down 2.51%. The advanced air mobility company reported second quarter 2026 results in a Form 10-Q filed on August 10, 2026, and disclosed a definitive agreement dated August 9 to acquire three autonomous and unmanned aviation businesses from Boeing.

Archer is a Delaware corporation with principal executive offices in San Jose, California. It says it is building an end-to-end advanced air mobility platform spanning air taxis, unmanned aircraft systems, aviation-related physical artificial intelligence and other technologies for commercial aerospace and defense customers. Its Midnight aircraft is an electric vertical takeoff and landing air taxi, while Halo is a hybrid-electric autonomous VTOL platform. It has not generated significant revenue from its planned commercial and defense lines, and its fiscal year ends December 31.

Wider Loss and Early Revenue

Revenue for the quarter ended June 30, 2026 was $5.0 million, with no revenue in the prior-year quarter. It consisted of $3.0 million from fixed base operator services, $1.0 million from leasing space at Hawthorne Airport and $1.0 million from other sources.

Operating expenses rose 61% to $284.2 million. Research and development increased 52% to $186.0 million. General and administrative expense climbed 75% to $93.9 million, including $15.5 million more in stock-based compensation and $6.0 million of litigation settlement-related expense.

Net loss was $263.2 million, compared with $206.0 million, and the loss per share was $0.34 versus $0.36 on a weighted-average count of 781.7 million shares. For six months, the net loss was $480.9 million and operating cash outflow was $305.5 million.

Boeing Transaction, Funding and Legal Matters

Under the August 9 agreement with The Boeing Company, Archer would issue Class A shares equal to about 19.75% of its shares outstanding before closing, subject to adjustments, plus two warrants each covering $100.0 million of stock. Their exercise prices are $13.00 and $17.88. Closing depends on conditions that include regulatory clearances and consents. The filing says the deal would immediately dilute existing holders, leave Boeing with about 16.5%, and bring substantial transaction costs. A forward equity agreement lets Archer require Boeing to join an equity offering for up to $55.0 million.

Cash, cash equivalents and short-term investments were $1,560.6 million, against an accumulated deficit of $2,784.7 million. Management believes the balance will fund the current operating plan for at least 12 months, but the filing says there is no assurance that capital will suffice or that more financing will be available on acceptable terms. Debt comprised a $65.0 million Synovus loan and a $16.1 million loan assumed with Hawthorne Airport. In the first half, Archer issued 11,093,897 shares to vendors to satisfy $70.6 million of obligations. In 2025 it completed three registered direct offerings raising $1.8 billion in gross proceeds.

The company also disclosed several legal matters. Joby filed a trade-secret complaint in November 2025, and Archer has filed counterclaims and an International Trade Commission complaint against Joby. Archer sued Vertical Aerospace for patent infringement in February 2026 and a stockholder derivative action was filed in June 2026. A proposed settlement of a stockholder class action, subject to court approval, was filed on August 10 for an amount, net of insurance, that the company calls immaterial.

Midnight Certification and Operating Plans

Archer said it continues to work toward FAA type certification of Midnight. It was named a partner in winning applications under the eVTOL Integration Pilot Program, which could allow early operations this year in states including Florida, Texas and New York. In the UAE, it said it is on track to deliver more Midnight aircraft this year ahead of initial passenger operations.

Management expects research and development spending to rise significantly toward commercialization, with losses and higher operating expenses for the foreseeable future. It expects to fund needs through cash, pre-delivery payments, equity and debt.