SAN JOSE, California, May 13, 2026, 12:01 PDT
- Archer shares moved up Wednesday following news that the company advanced on FAA certification for its Midnight air taxi.
- The company put up a net loss of $217.7 million for the first quarter and is now bracing for another sizable adjusted EBITDA loss in Q2.
- Archer is eyeing a potential U.S. launch this year through the federal eVTOL pilot program, though full aircraft certification still hasn’t been completed.
Archer Aviation Inc. climbed Wednesday, up around 4.7% at $6.69, with volume topping 36 million shares. Investors brushed off a deeper quarterly loss and another big spend in favor of the air-taxi developer’s announcement of record FAA certification progress.
Timing is key here. Archer’s pushing to shift its Midnight aircraft from testing into actual U.S. operations this year, as the race heats up for electric air taxis to show they can make the jump from flashy demos to real, paying flights. The company says initial flights will run under the White House’s eVTOL Integration Pilot Program, or eIPP—a federal effort to get electric vertical takeoff and landing craft flying in U.S. airspace.
Archer announced that Midnight has wrapped up Phase 3 in the FAA’s four-step type certification. The company’s been pushing into Phase 4, which involves proving the aircraft’s airworthiness through official tests and analysis. An eVTOL refers to an electric aircraft built for vertical takeoff—think helicopter ascent—switching to wing-powered flight once airborne.
“This was another banner quarter for Archer,” Chief Executive Adam Goldstein said in the company’s release. He pointed to “record FAA certification progress” and ramped-up flight testing as the company moved closer to U.S. operations later this year. Archer said its expanded fleet is now flying piloted vertical and conventional takeoff flights almost daily. SEC
But hitting that milestone doesn’t mean Midnight is cleared for passenger flights just yet. Type certification—FAA’s nod that the aircraft design meets all safety rules—is still pending. Archer secured a separate Part 135 operating certificate in 2024, but without type certification, Midnight stays grounded for widespread commercial service.
Still very much in the early aerospace phase, Archer posted first-quarter revenue of $1.6 million—a jump from $300,000 last quarter—as the company ramped up work at Los Angeles’ Hawthorne Airport. Net loss deepened to $217.7 million, compared with $188.9 million in Q4.
For now, cash remains Archer’s main buffer. The company wrapped up March holding $1.78 billion in cash, cash equivalents, and short-term investments—a drop of $188.8 million compared to where things stood at the end of 2025. Operating activities burned through $149.1 million, on top of $32.6 million spent on property and equipment.
Archer posted an adjusted EBITDA loss of $172.5 million for the first quarter, excluding interest, taxes, depreciation, and certain stock-based expenses. Looking to the second quarter, the company expects its adjusted EBITDA loss to land between $170 million and $200 million.
Back in March, the FAA and U.S. Department of Transportation picked eight eIPP projects that span 26 states, covering everything from air taxis and regional travel to cargo and medevac roles. Archer, Joby Aviation, BETA Technologies, and Wisk all landed on the FAA’s shortlist of partners for these projects—leaving Archer facing not just regulatory hurdles, but also competition from its closest industry peers.
Competition is picking up. On Tuesday, BETA Technologies reported $10.1 million in first-quarter revenue, alongside a net loss of $122.3 million, and said it’s been tapped for seven out of eight FAA-DOT pilot programs. Joby has told investors it’s aiming to kick off initial operations this year. Boeing-backed Wisk is going after a pilotless aircraft, participating in the Texas eIPP project.
Goldstein described the initial rollouts as a test not just for aviation, but for public acceptance, too. “The goal is to have half a million people in the biggest cities in the country start to see these aircraft as part of your everyday commute,” he said during the company’s May 11 call, as reported by Smart Cities Dive. Smart Cities Dive
The risk is clear: certification, infrastructure, or funding could drag out beyond projections. Archer’s filing spells it out—there’s no guarantee its planned operations, defense contracts, vertiport buildout, or third-party deals will wrap up as expected. Results might end up looking quite different from what management hopes.
Investors face a tough call. Archer stands out with its improved regulatory prospects, hefty cash reserves, and more visibility in U.S. air taxi testing. The catch: there’s still no passenger revenue, quarterly losses exceed $200 million, and the FAA hasn’t signed off on the business model yet.
