Serve Robotics Q2 revenue jumps less than expected; cuts FY outlook citing lower Uber Eats volume
Serve Robotics Q2 revenue jumps less than expected; cuts FY outlook citing lower Uber Eats volume
Overview
US autonomous robotics firm's Q2 revenue rose 404% yr/yr but missed analyst expectations
Company lowered full-year 2026 revenue outlook due to weaker Uber Eats delivery volume
Ended Q2 with over $240 mln in cash and marketable securities
Outlook
Serve Robotics cuts 2026 revenue outlook to $9 mln-$10 mln, citing lower Uber Eats volume
Company lowers FY2026 non-GAAP operating expense forecast to $140 mln-$150 mln from $160 mln-$170 mln
Result Drivers
REVENUE DIVERSIFICATION - Co said revenue growth was driven by strong triple-digit increases across delivery, branding, and software services
HIGHER-MARGIN RECURRING REVENUE - Co said improved gross margin was due to higher share of recurring revenue, which made up over 50% of total revenue
DELIVERY PARTNER ACCELERATION - Revenue from DoorDash partnership grew nearly 50% sequentially and exceeded expectations
Company press release: ID:nGNX7LLdzQ
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Miss | $3.24 mln | $3.49 mln (6 Analysts) |
Q2 Net Loss |
| $64.13 mln |
|
Q2 Income from Operations |
| -$66.07 mln |
|
Q2 Loss Per Basic Share |
| $0.80 |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Serve Robotics Inc is $16.60, about 193.3% above its August 5 closing price of $5.66
Reuters Recommended Reads
Aug 5 - DoorDash projects strong growth as delivery demand holds firm
Aug 5 - Uber Q2 revenue slightly misses estimates
Aug 5 - Amazon's Zoox to start paid robotaxi rides in Vegas next week
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
Recent news on Serve Robotics
See all newsBrief: Serve Robotics Launches Robot Delivery With Wonder, Adding Grubhub To Its Delivery Network
Serve Robotics partners with Grubhub in robot delivery expansion push
Serve Robotics Inc reports results for the quarter ended June 30 - Earnings Summary
Serve Robotics Q2 revenue jumps less than expected; cuts FY outlook citing lower Uber Eats volume
Brief: Serve Robotics - Enters Sales Agreement To Offer Up To $150 Million In Common Stock - SEC Filing