Archer Partners with Boeing to Shape Future Aerospace Defense with Physical AI

Archer Aviation Inc. (“Archer” or the “Company”) (NYSE: ACHR) recently 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 

Recent Highlights

Archer to Acquire Boeing’s Wisk Aero, Insitu and SkyGrid

Transaction 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 USD 200M in annual revenue 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 USD 1,560.6 million of cash, cash equivalents, and short-term investments on our balance sheet and an additional USD 7.3 million of restricted cash.
• Our Q2 2026 cash, cash equivalents, and short-term investments decreased by USD 215.3 million from Q1 2026, primarily due to the USD 156.4 million cash used in operating activities, USD 37.1 million used in the purchase of property and equipment and USD 25.0 million used in acquisition of the fixed based operator business at the Hawthorne Airport.

Revenue

• Our Q2 2026 Revenue increased by USD 3.4 million from Q1 2026 to USD 5.0 million as we expanded operations at the Hawthorne Airport in LA.

Operating Expenses & Net Loss

• Q2 2026 Operating Expenses increased by USD 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 USD 45.5 million from Q1 2026 primarily driven by USD 28.0 million increase in operating expenses, USD 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 USD 2.2 million decrease in interest income, net, offset by USD 3.4 million increase in revenue generated.

Adjusted EBITDA

• Q2 2026 Adjusted EBITDA was a loss of USD 177.1 million, which is on the lower end of the guidance range of USD 170 million – USD 200 million. The loss was a planned increase of USD 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:
• Adjusted EBITDA expected to be a loss of USD 170 million to USD 200 million.

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.

Source

For similar news on Aviation, please read:
1) Sensofusion Acquires Atol Aviation to Launch Advanced Airborne Counter-Drone Systems
2) SolitAir: Redefining Cargo Aviation in the Global South – A Startup’s Remarkable Rise
3) Joby Aviation Establishes Texas Hub for Advanced Air Mobility Innovation