Archer Aviation Raises $1.76B Equity, Holds $1.96B Cash Despite $618M Net Loss
Archer Aviation held $1.96 billion cash and $64 million debt after raising $650 million in Q3 and $1.12 billion in summer 2025 equity. It posted a $618 million net loss on $0.3 million revenue in FY2025, invested $510 million in R&D and spent $126 million acquiring Hawthorne Airport.
1. Cash Position and Equity Raises
As of the end of Q4 2025, Archer Aviation held $1.96 billion in cash against $64 million of debt after completing a $650 million equity raise in Q3 and a $1.12 billion round in summer 2025. Management expects this liquidity to fund aircraft development and production scale-up for at least one year.
2. Losses and R&D Expenditures
Archer incurred $509.7 million in operating expenses during FY2025, largely tied to research and development and plant establishment, while generating just $0.3 million in revenue. The result was a $618 million net loss and approximately $709 million negative EBITDA when excluding stock-based compensation and one-offs.
3. Acquisitions and Strategic Assets
The company spent $126 million to acquire Hawthorne Airport in Los Angeles as a base for its proposed air taxi network and purchased €18 million of Lilium patents. Additional investments are flowing into its Midnight manufacturing plant in Georgia and ongoing flight test programs.
4. Valuation and Peer Comparison
Archer trades at about 2.1 times book value, below the Aerospace & Defense industry median of 3.6 times. Peer Joby Aviation carries a $10 billion market cap and trades over 10 times book despite similar R&D burn rates, highlighting market skepticism on timelines.