Archer Aviation Inc. (ACHR Quick QuoteACHR - Free Report) used its third-quarter 2026 earnings call to emphasize progress toward commercial air taxi operations, highlighting new Federal Aviation Administration (FAA) authorization for Midnight flights in Los Angeles.

Management also outlined the approaching acquisition of Boeing's Wisk, SkyGrid and Insitu businesses, a transaction expected to expand Archer's defense exposure and establish a recurring revenue base while aircraft certification continues.

ACHR Advances Los Angeles Air Taxi Operations

Founder, CEO and Chairman Adam Goldstein identified Midnight's Market Survey Special Airworthiness Certificate as a major commercialization milestone. The authorization enables flights in Los Angeles ahead of full aircraft type certification.

Goldstein said Midnight had arrived at Hawthorne Airport, with operations expected to begin within weeks. Archer plans to progress from piloted conventional takeoff and landing (CTOL) flights to vertical takeoff and landing (VTOL) operations and passenger trials.

The company targets passenger flights in 2027, ahead of the 2028 Los Angeles Olympics. Goldstein also emphasized Hawthorne's infrastructure development and planned connections across the metropolitan area.

Archer Nears Boeing Acquisition Closing

Goldstein said nearly 20 governmental and third-party approvals had been addressed for the planned Wisk, SkyGrid and Insitu acquisitions, leaving one outstanding approval.

Acting CFO and vice president of Finance Priya Gupta said the transaction would materially diversify Archer's operations. Insitu historically generated more than $200 million in annual revenues and positive operating cash flows.

During Deutsche Bank's questioning about 2027 revenues, Gupta reiterated Insitu's historical revenue base but focused on integration planning and future expansion opportunities. Boeing will become Archer's largest shareholder upon closing.

ACHR Details Certification and Production Progress

Goldstein said Midnight remains in the fourth and final phase of FAA type certification. Management continues targeting completion of piloted transition testing by year-end 2026.

Responding to Needham's questions, president of Aircraft OEM Benjamin Lyon clarified that the existing market survey authorization covers CTOL aircraft. Archer intends to complete additional testing before obtaining corresponding authorization for VTOL operations.

Lyon reported more than 260 piloted test flights, including over 100 associated with the transition campaign. Responding separately to Raymond James, he said Archer was building nine Midnight aircraft for testing and operations, alongside multiple Halo aircraft.

Archer Expands Defense and International Partnerships

Goldstein highlighted continued collaboration with Anduril on a Group 5 hybrid-electric autonomous aircraft. Turboshaft engine testing has begun, with full-scale flight testing targeted for 2027.

Chief technology officer Thomas Muniz told Deutsche Bank that electric motor testing was also underway. He emphasized the program's use of technology developed for Midnight, supporting development across multiple aircraft platforms.

Internationally, Archer announced partnerships involving ITA Airways and Formula 1. Goldstein described opportunities to introduce Midnight services around major European cities and Grand Prix events, alongside existing U.S. expansion plans.

ACHR Outlines Spending and Fourth-Quarter Outlook

Fourth-quarter revenues were guided to be $5 million-$6 million, excluding the pending Boeing acquisitions. Adjusted EBITDA losses are projected at $185 million-$205 million as investment continues across certification, flight testing and technology development.

Third-quarter revenues reached $5.1 million, exceeding the Zacks Consensus Estimate of $4 million. The reported loss of 24 cents per share was narrower than the estimated loss of 25 cents.

Archer Aviation Inc. Price, Consensus and EPS Surprise

Archer Aviation Inc. price-consensus-eps-surprise-chart | Archer Aviation Inc. Quote

Adjusted EBITDA losses totaled $178.5 million, while quarter-end liquidity was approximately $1.4 billion. Gupta emphasized financial discipline as Archer expands its operations.

During H.C. Wainwright's questioning, Goldstein said planned vertiport infrastructure should not require significant Archer capital, reflecting its reliance on development and financing partners.

Archer Maintains Focus on Commercial Execution

Management's commentary emphasized moving Midnight from demonstrations toward passenger operations while expanding defense revenues and integrating acquired businesses.

The near-term priorities remain FAA certification, Los Angeles operations, the Boeing transaction and controlled spending. Management's confidence centered on operational milestones and the anticipated diversification of Archer's revenue sources.

What ACHR's Zacks Rank and Style Scores Indicate

Archer currently carries a Zacks Rank #3 (Hold), indicating a neutral near-term earnings estimate revision outlook rather than the stronger positioning associated with Zacks Rank #1 (Strong Buy) or Zacks Rank #2 (Buy) stocks. You can see the complete list of today’s Zacks #1 Rank stocks here.

Its Value, Growth, Momentum and VGM Scores are all F, the lowest grade in the Zacks Style Scores framework. This combination indicates unfavorable characteristics across the assessed investment styles and does not provide the stronger performance signals associated with A or B grades.

The Zacks Rank can change as analysts revise earnings estimates following the recently reported results, potentially altering the stock's near-term assessment.