Financial Data and Key Metrics Changes - Fourth quarter 2025 revenue totaled $1 million, reflecting a 25% sequential increase from the third quarter [18] - Fiscal year 2025 adjusted revenue was $4 million, including pilot revenue earned before the commercial launch [19] - Fourth quarter operating loss was $238 million, with R&D costs at $155 million and SG&A at $30 million [19] - The company ended the year with nearly $1.5 billion in cash and short-term investments [20] - Revenue expectations for 2026 are projected to be between $14 million and $16 million, representing a 400% year-over-year increase at the midpoint [21] Business Line Data and Key Metrics Changes - The Aurora Driver achieved a record number of commercial miles driven during the fourth quarter, contributing to revenue growth [18] - The company plans to exit 2026 with over 200 driverless trucks in operation, translating to approximately $80 million in revenue on a run-rate basis [21] Market Data and Key Metrics Changes - The company has expanded its operational domain significantly, with the Aurora Driver now capable of operating in inclement weather, which previously constrained operations about 40% of the time [8][9] - The launch of supervised autonomous freight delivery supports multiple customer sites, indicating a growing market presence [11] Company Strategy and Development Direction - The company aims to fundamentally improve safety and restructure the economics of the logistics industry through its driverless technology [7] - Plans for 2026 include scaling driverless operations and transitioning to a driver-as-a-service business model in 2027 [12][13] - The company is focused on executing strategic investments necessary to scale and extend its leadership position in autonomous trucking [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving significant revenue growth in 2026, driven by the scaling of driverless operations [21] - The company anticipates a strong demand for its services, with customer interest supporting a pipeline of thousands of trucks [13][71] - Management highlighted the importance of customer demand in driving the expansion of operational lanes and capabilities [40][74] Other Important Information - The company has made significant progress in its partnerships with OEMs, including Volvo and PACCAR, to support the production of autonomous trucks [14][15] - The second-generation commercial hardware kit is expected to reduce hardware costs by over 50% [21][36] Q&A Session Summary Question: Clarification on end-of-year truck guidance and revenue expectations - Management indicated that revenue will be back-end loaded, with significant growth expected in the second half of 2026 as the fleet launches in Q2 [24] Question: Timeline for serial commercial production - Management described serial production as a gradual increase in driverless miles and revenue, with expectations for incremental volume in 2027 [26][28] Question: Details on the target for more than 200 trucks by year-end - Management confirmed that the target refers to fully driverless trucks without an observer, emphasizing the importance of scaling operations [30][31] Question: Improvement in driver hardware costs - Management explained that cost reductions stem from design improvements, scale efficiencies, and advancements in technology [34][36] Question: Customer interest and sales process - Management highlighted strong customer interest and the ability to respond quickly to demand, exemplified by the Detmar agreement [39][40] Question: Composition of trucks and OEM partnerships - Management expressed confidence in achieving the target of 200 trucks, with a mix of vehicles from various OEM partners [64][65] Question: Visibility into 2027 plans and potential risks - Management reassured that partnerships and production plans are on track, with a focus on scaling operations effectively [66][67]

Financial Data and Key Metrics Changes - Fourth quarter 2025 revenue totaled $1 million, reflecting a 25% sequential increase from the third quarter [18] - Total year-adjusted revenue for fiscal year 2025 was $4 million, including pilot revenue earned in the first quarter [19] - Fourth quarter operating loss was $238 million, with R&D costs at $155 million and SG&A at $30 million [19] - The company ended the year with nearly $1.5 billion in cash and short-term investments, indicating a strong balance sheet [20] - Revenue for 2026 is projected to be between $14 million and $16 million, representing a 400% year-over-year increase at the midpoint [21] Business Line Data and Key Metrics Changes - The Aurora Driver achieved a record number of commercial miles driven during the fourth quarter, contributing to revenue growth [18] - The company plans to exit 2026 with over 200 driverless trucks in operation, translating to approximately $80 million in revenue on a run-rate basis [21] Market Data and Key Metrics Changes - The company has expanded its operational domain significantly, with the Aurora Driver now capable of operating in inclement weather, which previously constrained operations about 40% of the time [8][9] - The launch of supervised autonomous freight delivery supports multiple customer sites, indicating a growing market presence [11] Company Strategy and Development Direction - The company aims to fundamentally improve safety and restructure the economics of the logistics industry through its driverless technology [7] - Plans for 2026 include scaling operations and transitioning to a driver-as-a-service business model in 2027, with a strong pipeline of customer interest [12][13] - The company is focused on executing strategic investments necessary to scale and extend its leadership position in autonomous trucking [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to scale operations and meet customer demand, emphasizing the importance of customer-driven lane expansions [40][71] - The company anticipates that 2026 will mark a significant inflection point for the market, with self-driving trucks becoming a permanent fixture in transportation [17] - Management highlighted the importance of maintaining fiscal discipline and the expectation of achieving positive free cash flow by 2028 [22][49] Other Important Information - The company has made significant advancements in its hardware technology, with expectations of a 50% reduction in hardware costs with the second-generation commercial kit [21][36] - The partnership with Volvo has entered the industrialization phase, which is crucial for scaling production [15] Q&A Session Summary Question: Clarification on end-of-year truck guidance and revenue expectations - Management indicated that revenue will be back-end loaded, with significant growth expected in the second half of 2026 as the fleet launches [24] Question: Timeline for serial commercial production in 2027 - Management described serial production as a gradual increase in driverless miles and revenue, with expectations of adding other platforms in 2027 [26][28] Question: Details on the target for more than 200 trucks by year-end - Management confirmed that the target includes fully driverless trucks without an observer, emphasizing the importance of scaling operations [30][31] Question: Insights on the 50% improvement in driver hardware costs - Management explained that cost reductions stem from design improvements and partnerships that enhance manufacturing efficiency [34][36] Question: Customer interest and sales process for new functionality - Management noted strong customer interest and the ability to respond quickly to demand, exemplified by the Detmar agreement [39] Question: Composition of trucks and supply chain readiness - Management expressed confidence in achieving the 200+ truck objective, with ongoing partnerships ensuring supply chain readiness [65] Question: Visibility into achieving the 2027 plan - Management highlighted the critical steps taken with partners to ensure readiness for the 2027 production goals [67]

Financial Data and Key Metrics Changes - In Q4 2025, revenue totaled $1 million, reflecting a 25% sequential increase from Q3 2025, driven by a record number of commercial miles driven [18] - Total year-adjusted revenue for fiscal year 2025 was $4 million, including pilot revenue from Q1 2025 [18] - The operating loss for Q4 2025 was $238 million, with R&D expenses at $155 million and SG&A at $30 million [18] - The company ended the year with approximately $1.5 billion in cash and short-term investments, indicating a strong balance sheet [19] - For 2026, the company expects revenue between $14 million and $16 million, representing a 400% year-over-year increase at the midpoint [19][20] Business Line Data and Key Metrics Changes - The Aurora Driver achieved 250,000 driverless miles, nearly tripling the cumulative miles from early October 2025 [5] - The company plans to exit 2026 with over 200 driverless trucks in operation, translating to approximately $80 million in revenue on a run-rate basis [21] - The second-generation commercial kit is expected to drive a 50% reduction in hardware costs, contributing to a target of break-even gross margin by the end of 2026 [21] Market Data and Key Metrics Changes - The company is expanding its operational domain across the Sunbelt, with new routes including Dallas to Laredo and El Paso to Fort Worth [9][11] - The expansion of driverless capabilities in inclement weather is expected to significantly increase operational availability, which was constrained 40% of the time in Texas during 2025 [8] Company Strategy and Development Direction - The company aims to fundamentally improve safety and restructure the economics of the logistics industry through its driverless technology [7] - The transition to a driver-as-a-service (DAS) model is planned for 2027, with a strong pipeline of customer interest supporting this strategy [12][21] - Partnerships with OEMs like Volvo and PACCAR are crucial for scaling production and enhancing the supply chain for autonomous trucks [14][49] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving positive free cash flow by 2028, supported by a strong liquidity position [22] - The company anticipates significant growth in 2026, with a focus on executing strategic investments necessary for scaling operations [22] - Management highlighted the importance of customer demand in driving lane expansions and operational decisions [35] Other Important Information - The company has begun supervised autonomous operations to support multiple customer facilities, indicating a shift towards broader commercial applications [11] - The latest software release has expanded the operational capabilities of the Aurora Driver, allowing for driverless operations in various weather conditions [8] Q&A Session Summary Question: Clarification on end-of-year truck guidance and revenue expectations - Management indicated that revenue is expected to be back-end loaded, with significant growth anticipated in the second half of 2026 as the fleet launches in Q2 [24] Question: Timeline for serial commercial production in 2027 - Management described serial production as a gradual increase in driverless miles and revenue, with expectations for incremental volume from new platforms in 2027 [25][26] Question: Details on the target for more than 200 trucks by year-end - The target of over 200 trucks refers to fully driverless operations without an observer, with expectations for sequential growth starting in Q2 2026 [27][28] Question: Insights on customer interest and demand for autonomy - Management noted strong customer interest and contracted demand, emphasizing the importance of delivering value through increased asset utilization [40][41] Question: Impact of observerless launch on OEM partners - Management expressed confidence that continued demonstrations of the product will enhance engagement with OEM partners [43] Question: Performance of Aurora Trucks in winter weather conditions - Development operations were conducted under adverse conditions, but current driverless capabilities were not tested in those scenarios [46]

Revenue and Costs - Revenue for the twelve months ended December 31, 2025, was $3 million, attributed to the commercial launch of Aurora Driver for Freight in April 2025[298] - Cost of revenue for the same period was $17 million, also due to the launch of Aurora Driver for Freight[298] Expenses - Research and development expenses increased by $69 million, or 10%, to $745 million in 2025, driven by hardware costs and personnel expenses[299] - Selling, general and administrative expenses rose by $32 million, or 29%, to $142 million in 2025, primarily due to increased personnel costs[300] Net Loss - Net loss for the twelve months ended December 31, 2025, was $816 million, a 9% increase from the previous year's loss of $748 million[296] Cash and Investments - Cash and cash equivalents as of December 31, 2025, totaled $221 million, with short-term investments of $1,055 million[309] - Net cash used in operating activities decreased by $30 million to $581 million in 2025 from $611 million in 2024[314] - Net cash used in investing activities increased by $73 million to $245 million for the twelve months ended December 31, 2025, compared to $172 million in the previous year[316] - Net cash used in investing activities rose by $180 million to $180 million for the twelve months ended December 31, 2024, from a net cash provided of $8 million in 2023[317] - Net cash provided by financing activities increased by $342 million to $834 million for the twelve months ended December 31, 2025, compared to $492 million in 2024[318] - Net cash provided by financing activities decreased by $339 million to $492 million for the twelve months ended December 31, 2024, from $831 million in 2023[319] Future Commitments - The company has non-cancelable future minimum payments of $79 million for 2026 and $13 million for 2027 as of December 31, 2025[321] Legal and Risk Assessment - No material losses were recorded in the twelve months ended December 31, 2025, 2024, and 2023 related to legal claims[320] - The company assesses the need to record a liability for litigation and other loss contingencies, with no material losses recorded in the last three years[320] Market Risks - The valuation of derivative liabilities is based on a Monte Carlo simulation analysis, which is dependent on management estimates and assumptions[324] - The company does not believe that a 100-basis point change in interest rates would materially affect its business or financial condition[329] - The company is exposed to various market risks, including changes in interest rates and funding availability[327] Product Launch and Strategy - Aurora Driver for Freight was launched in April 2025, marking the start of driverless operations for trucks[292] - The company expects to commercialize the Aurora Driver in a Driver as a Service (DaaS) model, targeting partnerships with OEMs and fleet operators[290]

Fourth Quarter 2025 Business Review FEBRUARY 11, 2026 1 © 2026 | AURORA PROPRIETARY Cautionary statement regarding forward-looking statements This presentation contains certain forward-looking statements within the meaning of the federal securities laws. The words "believe,ˮ "may,ˮ "will,ˮ "estimate,ˮ "continue,ˮ "anticipate,ˮ "intend,ˮ "expect,ˮ "could,ˮ "would,ˮ "project,ˮ "plan,ˮ "potential,ˮ "target,ˮ and similar expressions and variations thereof are intended to identify forward-looking statements, but ...

Financial Performance - In Q4 2025, Aurora generated $1 million in revenue, marking a 25% sequential increase from Q3 2025, with total revenue for fiscal year 2025 reaching $4 million[44]. - The company expects to achieve nearly 24/7 superhuman asset utilization for Detmar Logistics, with autonomous trucks continuously hauling frac sand across a 60-mile route[27]. - In 2026, the company expects revenue of $14 - $16 million, representing a 400% year-over-year increase at the midpoint, with over half of this revenue projected to come from the fourth quarter[48]. - The company anticipates operating more than 200 driverless trucks by the end of 2026, leading to an approximate revenue run-rate of $80 million for its Transportation as a Service business[48]. - Quarterly cash use is projected to be approximately $190 - $220 million on average in 2026, with a goal of achieving positive free cash flow by 2028[51]. - For the twelve months ended December 31, 2025, the company reported a net loss of $816 million, compared to a net loss of $748 million in 2024[59]. - Adjusted EBITDA for the twelve months ended December 31, 2025, was a loss of $683 million, compared to a loss of $621 million in 2024[64]. Operational Developments - The Aurora Driver surpassed 250,000 driverless miles, nearly tripling the cumulative miles achieved through early October 2025, and expanded its addressable market to over 3.6 billion vehicle miles traveled (VMT) with the opening of seven additional driverless lanes[4]. - The company plans to exit 2026 with over 200 driverless trucks in operation, anticipating a multi-fold increase in revenue driven by this expansion[6]. - Aurora's latest software release allows driverless operations in inclement weather, which previously constrained operations about 40% of the time in Texas[9]. - The partnership with Volvo has entered the industrialization phase, with the first Volvo VNL Autonomous trucks equipped with the Aurora Driver coming off the pilot line[29]. - The company is advancing its third-generation commercial hardware kit, which is intended to supply tens of thousands of trucks, with AUMOVIO selected as the preferred cloud provider for development[34]. - The second generation commercial kit is expected to drive a 50%+ reduction in Aurora Driver hardware costs, targeting breakeven gross margin on a run-rate basis by the end of 2026[49]. Financial Position - Aurora's cash and short-term investments totaled nearly $1.5 billion at the end of the year, reflecting a strong balance sheet[47]. - The total current assets increased to $1.317 billion in 2025 from $1.254 billion in 2024, while total liabilities decreased to $203 million from $263 million[57]. - The company’s cash and cash equivalents at the end of 2025 were $235 million, up from $227 million at the end of 2024[61]. - The company plans to utilize the ATM to fund RSU tax liabilities and cash bonus payments through 2027, while also aiming to solidify its balance sheet[51]. Strategic Focus - The company is focused on scaling its operations and strategic investments to maintain its leadership position in autonomous trucking, which is expected to deliver long-term value for shareholders[52]. - Regulatory momentum is building, with California moving towards enabling autonomous trucking, potentially increasing Aurora's serviceable addressable market to approximately $60 billion VMT by 2028[36]. - Aurora's operating loss in Q4 2025 totaled $238 million, with R&D expenses at $155 million and SG&A at $30 million[45].

Core Insights - Aurora Innovation is tripling its driverless network to 10 routes and preparing for expansion across the U.S. Sun Belt, aiming to enhance logistics capacity for customers [1] - The company expects to achieve positive free cash flow by 2028, supported by its latest software release that improves the Aurora Driver's capabilities [1] Expansion of Driverless Network - The latest software release allows the Aurora Driver to operate in adverse weather conditions, increasing utilization and enabling routes that exceed traditional Hours of Service limitations [1] - Aurora's driverless network now includes routes between Dallas and Houston, Fort Worth and El Paso, El Paso and Phoenix, Fort Worth and Phoenix, and Dallas and Laredo [1] Technological Advancements - The new software release is the fourth since deploying driverless trucks in April 2025, with over four million tests conducted to validate its capabilities [1] - The Aurora Driver can now navigate highways and surface streets in various inclement weather conditions, which previously constrained operations about 40% of the time [1] Customer Engagement and Partnerships - Early customers like Hirschbach are positioned to benefit from the new routes, enhancing their logistics capabilities [1] - Aurora is also working with Detmar Logistics to autonomously transport proppants for a major oil and gas company, marking a significant milestone in autonomous freight [2] Future Projections - The company aims to have over 200 driverless trucks operational by the end of 2026, with all commercial truck capacity fully committed through Q3 2026 [1] - Aurora's next-generation hardware kit is set to launch on the International® LT® Series truck platform in Q2 2026, further supporting its expansion efforts [1]

Core Viewpoint - Aurora Innovation, Inc. is recognized as a promising investment in the autonomous vehicle sector, with a significant upside potential reflected in analysts' price targets [1]. Group 1: Financial Performance - Aurora Innovation is expected to report approximately $1.47 million in revenue for fiscal Q4 2025, with a GAAP EPS of negative $0.12 [1]. - Analysts project a more than 171% upside from the current stock levels over the next 12 months [1]. Group 2: Strategic Developments - On January 15, Aurora announced the successful and ahead-of-schedule integration of its software into McLeod Software's Transportation Management System, enabling McLeod customers to manage driverless truck capacity [2]. - The integration was completed ahead of schedule due to strong user demand, providing benefits such as seamless tendering, real-time visibility, and automated status updates [3]. - Tom McLeod, founder of McLeod Software, is scheduled to discuss the strategic advantages of this integration later this month [3]. Group 3: Company Background - Aurora Innovation, Inc. is a self-driving technology company based in Pennsylvania, founded in 2017, and is focused on developing the Aurora Driver [3].

Core Insights - Aurora Innovation Inc. (NASDAQ:AUR) is highlighted as having significant upside potential, being listed among the 14 Best Tech Stocks Under $10 to Buy [1] - The company has successfully integrated its AI-powered autonomous driving system, the Aurora Driver, into McLeod Software's Transportation Management System, allowing McLeod customers to manage autonomous trucks [2] Company Developments - The integration with McLeod Software was completed ahead of schedule, indicating strong demand from McLeod's customers for driverless truck solutions [2] - Russell Transport, a long-time client of McLeod, is already utilizing the AI integration to manage autonomous loads powered by the Aurora Driver [2] Stock Performance - Aurora Innovation's stock price has increased from $3.87 on January 2 to a peak of $4.88 on January 22, reflecting positive market sentiment [3]

Core Insights - Aurora Innovation, Inc. (AUR) is a self-driving technology company that focuses on the freight industry, and it has been under observation since last year [1]. Company Overview - The company has been rated neutral in initial coverage, indicating a cautious stance on its stock performance [1]. Analyst's Position - The analyst has no current stock, option, or similar derivative positions in Aurora Innovation or any related companies, nor plans to initiate any such positions in the near future [1].