Aurora Innovation(US:AUR)2026-02-11 21:19Financial 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].