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]