Financial Performance - Serve Robotics reported quarterly losses of 24 cents per share, missing the Street estimate of 21 cents [1] - Quarterly revenue was $642,000, exceeding the consensus estimate of $624,800 [1] Company Strategy and Operations - The CEO, Dr. Ali Kashani, emphasized the company's vision for autonomous last-mile transportation and noted significant progress in expanding into new markets and scaling operations [2] - The company is focused on enhancing its autonomy capabilities, stating that each successful delivery improves the efficiency of its growing fleet [2] Future Outlook - Serve Robotics reiterated its guidance for an annualized revenue run-rate of $60 million to $80 million once its fleet of 2,000 robots is fully deployed and reaches target utilization [3] - The company anticipates third-quarter revenue to be between $600,000 and $700,000 [3] Stock Performance - Serve Robotics stock was down 4.72% at $10.09 in extended trading following the earnings report [3]

Core Insights - Serve Robotics Inc. reported significant growth in its autonomous sidewalk delivery operations, with plans to expand its fleet and market reach, projecting annualized revenues of $60 million to $80 million by 2026 [2][5]. Business Highlights - The company successfully launched its services in the Atlanta market and plans to enter Chicago soon [6][7]. - Delivery volume increased by nearly 80% quarter over quarter, with over 120 new third-generation robots delivered ahead of schedule [6][7]. - Serve has established a partnership with Little Caesars, enhancing its position as a preferred delivery partner for major merchants [7]. Financial Highlights - For Q2 2025, Serve reported revenue of $642 thousand, a 46% increase compared to Q1 2025 [6][7]. - The company maintained a strong liquidity position with $183 million as of June 30, 2025 [6][7]. - The fleet revenue, which includes delivery and branding revenue, grew by $117 thousand, representing a 55% increase quarter over quarter [7]. Outlook - The company reiterated its guidance for projected annualized revenue run-rate of $60 million to $80 million once its 2,000-robot fleet is fully deployed [5]. - For Q3 2025, Serve anticipates revenue growth between 170% and 215% year over year, projecting revenue of $600 to $700 thousand [14].

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) Serve Robotics reported strong Q2 2025 progress, with revenue up 46% to $642 thousand and fleet expansion - Management emphasized disciplined execution, positioning the company for confident scaling. The plan is to quadruple the robot fleet again in the second half of 2025, aiming for a **2,000-robot fleet** in 2026[3](index=3&type=chunk) Metric | Metric | Q2 2025 Result | | :--- | :--- | | Revenue | $642 thousand | | Revenue Growth (QoQ) | 46% | | Delivery Volume Growth (QoQ) | ~80% | | Liquidity Position (as of June 30) | $183 million | - Key business developments include: - Launched operations in Atlanta and announced an upcoming launch in Chicago - Expanded footprint in Los Angeles and Miami - Completed the first Middle East pilot in Doha - Began a national partnership with Little Caesars after the quarter ended[7](index=7&type=chunk)[8](index=8&type=chunk) [Outlook](index=1&type=section&id=Outlook) Serve Robotics reiterated long-term revenue guidance of $60-80 million by 2026 and projects strong Q3 2025 revenue - Reiterated guidance for a projected annualized revenue run-rate of **$60 to $80 million** once the **2,000-robot fleet** is fully deployed and utilized, anticipated to occur during 2026[6](index=6&type=chunk) - For Q3 2025, the company projects revenue between **$600,000 and $700,000**, representing year-over-year growth of **170% to 215%**[15](index=15&type=chunk) - Fleet deployment is expected to accelerate in the second half of the year, with the robot fleet anticipated to **more than double in Q3**[15](index=15&type=chunk) [Financial Statements](index=3&type=section&id=Financial%20Statements) [Key Operational Metrics & Revenue Disaggregation](index=3&type=section&id=Key%20Operational%20Metrics%20%26%20Revenue%20Disaggregation) Operational metrics showed significant growth, with Daily Active Robots increasing to 160 and Q2 2025 revenue at $642 thousand Key Operational Metrics | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Daily Active Robots | 160 | 73 | 48 | | Daily Supply Hours | 1,723 | 648 | 385 | Disaggregation of Revenue (in thousands) | Revenue Source | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Software services | $312 | $229 | $296 | | Fleet services | $330 | $211 | $172 | | **Total Revenue** | **$642** | **$440** | **$468** | [Condensed Consolidated Balance Sheets](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to $214.3 million, reflecting strong liquidity and equity Balance Sheet Summary (in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | **$186,530** | **$125,252** | | Cash and cash equivalents | $116,700 | $123,266 | | Short-term investments | $66,631 | $- | | **Total Assets** | **$214,315** | **$139,601** | | **Total Liabilities** | **$7,109** | **$7,920** | | **Total Stockholders' Equity** | **$207,206** | **$131,681** | - The company maintained a strong liquidity position of **$183 million** as of June 30, 2025, which is expected to provide a financial runway through the end of 2026[8](index=8&type=chunk) [Condensed Consolidated Statement of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statement%20of%20Operations) For Q2 2025, Serve reported $642 thousand revenue and a $(20.9) million net loss, driven by increased operating expenses Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Revenues | $642 | $468 | | Gross Profit (Loss) | $(2,859) | $142 | | Total Operating Expenses | $19,785 | $8,698 | | Loss from Operations | $(22,644) | $(8,556) | | Net Loss | $(20,850) | $(9,038) | | Net Loss Per Share | $(0.36) | $(0.27) | - The widening net loss was primarily driven by a substantial increase in operating expenses, particularly in General & Administrative and Research & Development, reflecting the company's investment in growth and scaling[27](index=27&type=chunk) [Condensed Consolidated Statement of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statement%20of%20Cash%20Flows) Net cash used in H1 2025 operations was $(25.4) million, offset by $100.8 million from financing, ending with $116.7 million cash Cash Flow Summary - Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net Cash Used in Operating Activities | $(25,426) | $(9,819) | | Net Cash Used in Investing Activities | $(81,934) | $(798) | | Net Cash Provided by Financing Activities | $100,795 | $39,392 | | **Net Change in Cash** | **$(6,566)** | **$28,775** | - Financing activities were robust, with **$75.8 million** from common stock issuance and **$13.5 million** from an equity distribution agreement, highlighting successful capital raising efforts[29](index=29&type=chunk) [Non-GAAP Financial Measures](index=10&type=section&id=Non-GAAP%20Financial%20Measures) [Reconciliation to Adjusted EBITDA](index=10&type=section&id=Reconciliation%20to%20Adjusted%20EBITDA) Adjusted EBITDA for Q2 2025 was a loss of $(14.9) million, adjusted from GAAP net loss for non-cash and non-recurring items Adjusted EBITDA Reconciliation - Q2 2025 (in thousands) | Line Item | Amount | | :--- | :--- | | Net loss on GAAP basis | $(20,850) | | Adjustments: | | | Interest income | $(1,794) | | Transaction costs | $239 | | Finance lease purchase option | $2,246 | | Depreciation & amortization | $817 | | Stock-based compensation | $4,398 | | **Adjusted EBITDA** | **$(14,944)** | [Reconciliation of GAAP to Non-GAAP Measures](index=11&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Measures) Non-GAAP measures show Q2 2025 net loss at $(14.0) million, compared to GAAP net loss of $(20.9) million GAAP vs. Non-GAAP Net Loss & EPS - Q2 2025 (in thousands, except per share) | Metric | GAAP | Non-GAAP | | :--- | :--- | :--- | | Net Loss | $(20,850) | $(13,967) | | Net Loss Per Share | $(0.36) | $(0.24) | - The primary adjustments between GAAP and Non-GAAP net loss for Q2 2025 were stock-based compensation **($4.4 million)**, a finance lease purchase option **($2.2 million)**, and transaction costs **($0.2 million)**[32](index=32&type=chunk) [Company Information & Disclaimers](index=3&type=section&id=Company%20Information%20%26%20Disclaimers) This section provides corporate background, investor call details, and legal disclaimers for Serve Robotics - Serve Robotics was spun off from Uber in 2021 and has a multi-year contract to deploy **up to 2,000 delivery robots** on the Uber Eats platform across multiple U.S. markets[11](index=11&type=chunk) - The company hosted a conference call and webcast on August 7, 2025, to discuss the financial results[9](index=9&type=chunk) - The report contains forward-looking statements regarding future revenue, robot deployment, and market expansion, which are subject to risks and uncertainties detailed in SEC filings[17](index=17&type=chunk)[18](index=18&type=chunk)

Core Insights - Serve Robotics (SERV) is expected to report its second-quarter 2025 results on August 7, with previous earnings exceeding the Zacks Consensus Estimate by 23.8% [1] Financial Estimates - The Zacks Consensus Estimate for SERV's second-quarter 2025 loss per share is 23 cents, compared to an adjusted loss of 27 cents in the same quarter last year, with the consensus remaining unchanged over the past 30 days [2] - Revenue estimates for the quarter are projected at $0.64 million, reflecting a 35.1% increase from the previous year's figure [2] Growth Drivers - The anticipated revenue growth is attributed to the rapid expansion of SERV's robot fleet and geographic reach, with over 250 Gen 3 robots added in Q1 2025 and a planned launch in Atlanta [3] - Delivery volumes are expected to increase by 60% to 75% quarter over quarter due to the expansion into high-density areas and new partnerships with merchants like Shake Shack [3] - SERV is also unlocking new revenue opportunities through its software platform, aiming to generate recurring revenues from external partners in sectors such as automotive and logistics [4] Profitability Challenges - Despite the growth in revenue, SERV's aggressive expansion strategy is likely to continue impacting profitability negatively, with high costs associated with research and development, market launches, and operational infrastructure [5] - The increasing share of early-stage fleet revenues, which typically have lower margins than software services, adds further pressure on the overall margin profile [5] Earnings Outlook - According to the Zacks model, SERV currently has an Earnings ESP of 0.00% and a Zacks Rank of 3, indicating that the odds of an earnings beat are not favorable at this time [6]

Core Insights - Serve Robotics and Little Caesars have partnered to deliver pizzas using autonomous delivery robots in Los Angeles via Uber Eats [1][2][4] - Serve's third-generation robots can carry up to four large 16-inch pizzas along with additional items while maintaining food quality [3] - The partnership aims to enhance customer delivery experience and align with Little Caesars' commitment to innovation and sustainability [4] Company Overview - Little Caesars is the third-largest pizza chain globally, founded in 1959, with a presence in all 50 U.S. states and 30 countries [5][7] - The brand is known for its HOT-N-READY® pizza and innovative services like the Pizza Portal® pickup [6] - Little Caesars emphasizes quality ingredients and aims to reduce its environmental footprint through technology [4][6] Industry Context - The partnership with Serve Robotics is part of a broader trend in the $150 billion global pizza industry towards automation and enhanced delivery solutions [7][9] - Serve Robotics, spun off from Uber in 2021, focuses on sustainable and economical delivery solutions, having completed tens of thousands of deliveries [9]

Core Viewpoint - Serve Robotics Inc. is set to report its 2025 second quarter financial results on August 7, 2025, after market close, with a conference call and webcast scheduled for the same day [1]. Group 1: Financial Reporting - The company will announce its financial results for the second quarter of 2025 on August 7, 2025, after market close [1]. - A conference call will be held at 2 p.m. PT / 5 p.m. ET to discuss the results, with a live audio webcast available [2]. Group 2: Company Overview - Serve Robotics develops AI-powered, low-emissions sidewalk delivery robots aimed at making delivery sustainable and economical [3]. - The company was spun off from Uber in 2021 and has completed tens of thousands of deliveries for partners like Uber Eats and 7-Eleven [3]. - Serve has scalable multi-year contracts, including an agreement to deploy up to 2,000 delivery robots on the Uber Eats platform across multiple U.S. markets [3].

Core Insights - Serve Robotics (SERV) is projecting a significant growth in delivery volume, expecting a 60% to 75% quarter-over-quarter increase for Q2 2025, following a 75% increase in the first quarter due to the deployment of 250 third-generation robots in major cities [1][10] Company Growth and Expansion - The company has expanded its geographic footprint and merchant base, now serving over 1,500 restaurants, which is five times more than a year ago, and has increased daily supply hours by over 40% since Q4 2024 [2] - Serve aims to deploy a total of 2,000 robots by the end of 2025, with plans to launch in Atlanta in Q2 and an additional 700 robots expected by the end of Q3 [2] Financial Performance - In Q1, revenues rose 150% sequentially to $440,000, but adjusted EBITDA remained negative at $7.1 million, indicating ongoing financial challenges [3] - The company ended the quarter with $198 million in cash, but the path to profitability remains uncertain [3] Competitive Landscape - Serve Robotics faces competition from larger players like Uber and DoorDash, both of which are investing heavily in autonomous delivery and last-mile logistics [5][6] - The competitive pressure from Uber's global delivery volume and DoorDash's extensive merchant network poses challenges for Serve's market share in urban delivery [7] Stock Performance and Valuation - SERV shares have surged 79.7% in the past three months, outperforming the Zacks Computers - IT Services industry and the S&P 500 index [8] - The stock trades at a forward price-to-sales ratio of 26.11, significantly higher than the industry average [12] Earnings Estimates - SERV's bottom-line estimates for 2025 remain unchanged at a loss of 93 cents per share, indicating a decline from a loss of 67 cents per share reported a year ago [14]

Core Insights - Newsmax, a conservative media company, went public at $10 and saw its shares close at $233 on the first day, driven by its association with Donald Trump and limited share offering [1][2] - Despite a revenue increase of 27% to $171 million in 2024, Newsmax's net loss widened to $72 million due to platform expansion and legal costs [5] - Serve Robotics, a delivery robot maker spun off from Uber, is positioned for growth with plans to deploy 2,000 robots by the end of 2025, potentially surpassing Newsmax's market cap [6][9] Newsmax Overview - Newsmax's reach includes about 40 million Americans, but it faces criticism for spreading conspiracy theories and has ongoing legal issues, including a significant lawsuit from Dominion [4] - The company's stock has dropped 94% from its peak, trading at approximately $14 with a market cap of $1.3 billion, reflecting concerns over its future [5][6] - Analysts suggest that Newsmax's valuation could decline further if it loses the Dominion lawsuit or faces additional legal challenges [11] Serve Robotics Overview - Serve Robotics operates delivery robots capable of traveling up to 11 mph and carrying 15 gallons of cargo, with plans for significant expansion [7][9] - The company generated less than $2 million in revenue in 2024, with a net loss of $39 million, but aims for substantial growth in the coming years [9] - The global delivery robots market is expected to grow at a compound annual growth rate of 32.4% from 2025 to 2030, indicating a favorable environment for Serve Robotics [10] Future Projections - If Serve Robotics meets its expansion goals, analysts project revenue could reach $84 million by 2027, with a net loss of $44 million, leading to a more favorable valuation [10] - Should Serve achieve a market cap of $1.7 billion by trading at 20 times its forward sales, it could surpass Newsmax's current valuation [11]

Core Viewpoint - Ark Invest predicts a significant revenue opportunity of $860 billion in the logistics industry by 2030, driven by autonomous delivery technologies [2]. Group 1: Industry Opportunity - The $860 billion forecast is segmented into three categories: $160 billion for food delivery, $280 billion for parcel delivery, and $420 billion for larger freight delivered by autonomous trucks [5]. - Serve Robotics is focusing on transforming last-mile logistics with its autonomous food delivery robots and has a contract with Uber to deploy 2,000 robots this year [3][5]. Group 2: Company Overview - Serve Robotics is a small-cap company valued at $600 million, currently in the scale-up phase with a focus on autonomous food delivery [3][9]. - The company’s Gen3 robots utilize Nvidia's Jetson Orin platform, achieving level 4 autonomy for safe navigation on sidewalks [6]. Group 3: Financial Performance - Serve's revenue for the first quarter was $440,465, a 53% year-over-year decline, primarily due to a one-off licensing payment from the previous year [9]. - Despite the decline, revenue increased by 150% from the previous quarter, indicating potential growth momentum [10]. - Analysts project Serve's revenue to reach $6.8 million in 2025, a 275% increase from 2024, and surge to $50.6 million in 2026, a 648% increase [10][11]. Group 4: Financial Challenges - Serve reported a net loss of $13.2 million in the first quarter of 2025, suggesting that scaling the autonomous robotics business is costly [12]. - The company has $197 million in cash, allowing it to sustain losses for a couple more years, but it needs to achieve profitability soon to avoid potential capital raises that could dilute existing investors [13]. Group 5: Valuation Considerations - Serve stock has a high price-to-sales (P/S) ratio of 368, making it significantly more expensive than competitors like Nvidia [14]. - When considering expected future revenue, the forward P/S ratio is 89.6 for 2025 and 12 for 2026, which may be seen as more reasonable for a rapidly growing company [16].

Company Information - The ticker symbol for the company is $SERV [1]