Executive Summary

Q2 2025 revenue was $642k, up 46% QoQ and ahead of S&P consensus by ~$17k; Primary EPS (S&P basis) missed by ~$0.02 while GAAP EPS was -$0.36 reflecting continued investment and expansion . Consensus values marked with asterisks are from S&P Global.*
Delivery volume rose ~78% QoQ, daily active robots more than doubled to 160, and daily supply hours reached 1,723; Atlanta launched and Chicago was announced for the coming weeks .
Q3 revenue guidance set at $600–$700k with near-term mix headwinds from a concluded non-recurring software services contract and variable branding revenue, while annualized $60–$80M revenue at full utilization of 2,000 robots was reiterated (2026 timing) .
Liquidity remained strong with $183M in cash and marketable securities, supporting self-funding of fleet expansion and enabling operating leverage over time .
Strategic catalysts included the Vayu Robotics acquisition to accelerate foundation model-based autonomy and a new national partner (Little Caesars) that strengthens pizza-focused use cases .

What Went Well and What Went Wrong

What Went Well

Fleet and utilization ramp: Daily active robots rose to 160 (from 73) and daily supply hours to 1,723, enabling ~78% QoQ delivery volume growth; “we expect to more than double our current robot fleet by Q3 and also launch in Chicago” .
Market/merchant expansion: Atlanta launch, LA/Miami footprint expansions, and merchant partners rose to 2,500+; “we now have over 2,500 merchant partners… more than eightfold increase compared to this time last year” .
Strategic tech positioning: Vayu acquisition to fuse real and simulated data for safer, faster navigation; “positioned to train more capable models… unlocking safer, faster, and more generalizable navigation” .

What Went Wrong

Losses widened with scale-up: GAAP net loss was -$20.85M vs -$13.22M in Q1, and adjusted EBITDA declined to -$14.94M; gross loss was -$2.86M despite revenue growth .
Near-term revenue mix headwinds: Q3 software revenue expected to dip due to conclusion of a non-recurring contract, and branding revenue variability anticipated to lower Q3 vs Q2 .
EPS miss versus S&P consensus: Primary EPS (S&P basis) -$0.24* vs -$0.218* consensus; the gap reflects investment phase intensity and early-stage operations [GetEstimates; see Estimates Context].

Financial Results

Consolidated Results vs Prior Periods

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($USD thousands)	$468	$440	$642
GAAP Diluted EPS ($USD)	-$0.27	-$0.23	-$0.36
Adjusted EBITDA ($USD thousands)	-$5,287	-$10,651	-$14,944
Gross Profit (Loss) ($USD thousands)	$142	-$1,469	-$2,859

Segment Revenue Breakdown

Segment ($USD thousands)	Q2 2024	Q1 2025	Q2 2025
Software Services	$296	$229	$312
Fleet Services (Delivery + Branding)	$172	$211	$330
Total Revenue	$468	$440	$642

KPIs and Operating Scale

KPI	Q2 2024	Q1 2025	Q2 2025
Daily Active Robots (units)	48	73	160
Daily Supply Hours (hours)	385	648	1,723
Merchant Partners (count)	N/A	1,500+	2,500+
Households Served (US, people)	N/A	~320,000+	~1,800,000 (~800,000 households)
Cash & Marketable Securities ($USD millions)	N/A	$198	$183

Results vs S&P Global Consensus (Q2 2025)

Metric	Consensus	Actual	Beat/Miss
Revenue ($USD)	$624,850*	$642,000	Beat by ~$17,150
Primary EPS ($USD)	-$0.218*	-$0.24*	Miss by ~$0.022

Values marked with * are retrieved from S&P Global.

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Total Revenue	Q3 2025	N/A	$600k–$700k	Initiated
Annualized Revenue at Full Utilization (2,000 robots)	2026	$60M–$80M (prior reiterations)	$60M–$80M reiterated	Maintained
Delivery Volume Growth	Q2 2025	+60%–75% QoQ	Actual +~78% QoQ	Exceeded

Earnings Call Themes & Trends

Topic	Previous Mentions (Q4’24 & Q1’25)	Current Period (Q2’25)	Trend
AI/Data Flywheel	Emphasized application-layer value capture; robots collect proprietary data to improve autonomy	“Scale supercharges our AI and autonomy… fleet collecting high-quality data daily”	Strengthening with scale
Supply Chain/Tariffs	BOM cost reductions offset tariff exposure; diversify suppliers	“No material impact; BOM reductions help offset exposure”	Managed, immaterial near term
Market Expansion	Miami/Dallas on track; plan to launch Atlanta	Launched Atlanta; announced Chicago in weeks; expanded LA/Miami zones	Accelerating
Partnerships	Shake Shack, Wing pilots; platform/licensing opportunities	Little Caesars deliveries; merchant partners 2,500+	Broadening
R&D Execution	Gen3 cost-down; 700 robots in Q3; remaining in Q4	R&D focus; headcount to nearly double; autonomy investment	Elevated investment
Revenue Mix	Nonrecurring software revenue meaningful in Q1	Q3 dip in software from concluded Magda contract; branding variability	Transitional mix
International	Early exploration (not detailed)	Doha pilot successful; talks for next steps	Emerging optionality
Liquidity/Runway	Strong cash; self-fund fleet	$183M cash & securities; runway through 2026	Robust liquidity maintained

Management Commentary

“We delivered revenue growth of nearly 46% sequentially… We exceeded our own expectations with nearly 80% growth in delivery volume versus Q1.” — Ali Kashani, CEO .
“Average daily operating hours per robot rose more than 20% QoQ to 10.8… Robot intervention rates decreased 25% QoQ, lowering variable cost per delivery.” — Brian Read, CFO .
“We expect to more than double our current robot fleet by Q3 and also launch in Chicago as well as in another East Coast Metro market.” — Ali Kashani, CEO .
“We are confident reiterating our projected annualized revenue run rate of $60–$80 million once our 2,000 robot fleet is fully deployed and reaches target utilization.” — Brian Read, CFO .

Q&A Highlights

Hardware roadmap: Gen3 designed for rapid scale; no near-term Gen4 platform shift; focus on incremental cost-downs and reliability improvements .
2026 outlook: No formal 2026 guidance yet; priority is deploying 2,000 robots and then pivoting to utilization and operating efficiency to reach $60–$80M annualized revenue .
Talent strategy: Operations headcount up ~50% QoQ; R&D/software headcount to nearly double in 2H to drive AI/autonomy advances .
Tariff impact: “Fluid” but immaterial currently; BOM reductions offset exposure .
Competitive landscape: Emphasis on demonstrated scale, partners, and autonomy performance; “I wouldn’t trade positions with anyone else” — CEO .

Estimates Context

Q2 2025: Revenue beat (~~$17k), Primary EPS miss (~~$0.02). Continued investment phase likely keeps EPS below consensus near-term; Q3 guide aligns with S&P revenue consensus range . Consensus values marked with asterisks are from S&P Global.*
Multi-quarter view (S&P):
- Q1 2025 Primary EPS: -$0.16* vs consensus -$0.213*; Revenue: $440,465* vs $486,810* (below consensus).
- Q2 2025 Primary EPS: -$0.24* vs -$0.218*; Revenue: $642,000* vs $624,850* (above consensus).
- Q3 2025 Primary EPS: -$0.40* vs -$0.32*; Revenue: $687,000* vs $691,120* (slight miss).
  Values marked with * are retrieved from S&P Global.

Where estimates may need to adjust: As the company scales fleet and enters new markets, near-term mix shifts (software/branding) introduce variability, while delivery revenue grows; analysts may reweight models toward delivery-driven growth and adjust non-GAAP vs GAAP EPS assumptions given elevated stock-based comp and expansion costs .

Key Takeaways for Investors

Near-term: Revenue growth continues but with mix variability; Q3 guide $600–$700k suggests delivery growth offset by software/branding timing; monitor execution on Chicago launch and fleet doubling in Q3 for upside on utilization KPIs .
Medium-term: Reiterated $60–$80M annualized revenue at full utilization (2026) anchors the thesis; liquidity ($183M) supports self-funding expansion and operating leverage progression .
Autonomy moat: Vayu acquisition strengthens foundation-model autonomy and simulation, potentially accelerating safety, reliability, and geographic generalization — a structural driver of unit economics improvement .
Merchant/partner flywheel: Little Caesars adds a scaled pizza category use case; merchant base 2,500+ with LA penetration (18% households) and Doha pilot underscores broader TAM and platform reach .
Cost-downs offset risks: BOM reductions and supply diversification mitigate tariff risk; continued R&D/software headcount investments aim to translate data scale into autonomy gains and cost per delivery reductions .
Watch list: Gross loss and EBITDA trends as density improves; recurring software traction post non-recurring contract conclusion; branding monetization and ad pipeline maturation .
Trading implications: The narrative is growth-at-scale with tech differentiation; stock-sensitive milestones include Chicago/East Coast launches, KPI acceleration (active robots, supply hours, intervention rate), and evidence of operating leverage improving through 2026 .