Arizona Tribune - Arrive AI Announces Third Quarter 2025 Results, Continued Momentum on Strategic and Operating Milestones

Q3 2025 Key Highlights:

• Team Expansion: Hired nearly 30 professionals during third quarter; year-end goal is 60 new hires across AI, software, and product engineering.

• Autonomous Robotic Automation for Healthcare: In a first phase of work at Hancock Health, installed and began testing robotic delivery system, the first deployed fully asynchronous robotic automation for medical deliveries inside a hospital, aiming to generate significant cost savings and operational efficiencies. The deployment at Hancock Health is ongoing, where Arrive AI is optimizing robotic delivery of biospecimens, lab samples, and medications. Phase two involves linking Hancock's 29 satellite facilities to the primary lab via drone.

• Strategic Partnerships and Expansion: Expanded partnership with Skye Air Mobility in India for international module deployment. Signed new agreements with a diverse range of partners, including Synoptek and Ottonomy.

• Strengthened Intellectual Property Leadership: Secured U.S. Patent Office protection for ninth Arrive Point patent, strengthening security by reducing ways units can be tampered with or damaged by weather or other impacts. This patent expands CEO Dan O'Toole's foundational patent for the Arrive Point, the first device ever to win patent protection for a smart mailbox docking station housing, to not only include drones but also robots and humans.

• Product development : Integrating AI-powered Time-of-Flight (TOF) sensors into Arrive Points to optimize pickup efficiency, lower energy use, and improve data analytics as part of the current Arrive Point (AP3)

Q3 2025 Key Financial Results

Revenue: $7,450. Recurring subscription revenue growth was increased with two new Arrive Points in service this quarter. At this early stage in the development of Arrive AI's business, management expects quarterly fluctuations in revenue levels as customer agreements are secured, built out and ramped up over time.

Net Loss: $2.2 million, compared to a loss of $0.8 million in the same quarter of 2024. Spending was kept to a minimum through strict cost management while still investing in future growth, with operating expenses approximately $1 million lower than planned in the quarter.

Cash and short-term liquid investments: $2.7 million at quarter-end, an increase of $2.1 million from the end of the prior quarter. Proceeds from the capital line of $4 million were received in August. Nearly all the new capital facility is available for future growth.

CEO Commentary

"During the third quarter, we made solid progress along our 2025 strategic and operating roadmap, building out our talent pool, completing phase one work with Hancock Health, and broadening our roster of strategic partnerships," said Arrive AI CEO Dan O'Toole. "These are important steps forward along our value-creation strategy. We aren't simply building a product at Arrive AI. We are building a system that has the potential to solve a $440 billion infrastructure problem in the last inch and drives measurable returns by reducing carrier operating costs and eliminating failed deliveries."

O'Toole continued, "We look forward to coming changes in the U.S. regulatory environment that enable autonomous operations, particularly following the FAA's proposed Beyond Visual Line of Sight (BVLOS) rule and Governor Braun's Indiana Initiative for Drone Dominance Task Force. Arrive AI's platform enables full chain-of-custody, tracking every delivery from arrival through authenticated retrieval, and our Arrive Points are equipped with climate-assist technology for sensitive goods like pharmaceuticals and grocery items, and they integrate with smart home and smart city systems. Collectively, these components form the nervous system of autonomous logistics, one that ensures packages arrive securely, intelligently and precisely where they're needed, with the intention of operating within coming regulatory standards."

Arrive AI continues to focus on its strategy built on disciplined, intelligent growth, deploying capital to build a scalable and defensible business model for the long-term, with near-term focus on four key areas:

1. Team Expansion: Continue executing plans to triple Arrive AI's workforce, focusing on AI, engineering, and business development.

2. Commercialization and Operational Excellence: Productizing AP3 units - patented Arrive Points - and ongoing AP5 development to drive scalability and cost efficiency

3. IP and Partnerships: Expanding intellectual property moat and forging alliances with strategic partners that embed our technology into their operations.

4. Building Recurring Revenue Model: Building a platform-as-a-service model where every installation, delivery, and data point captured drives recurring revenue.

O'Toole said, "We are approaching several potential catalysts and, as we execute our strategic growth plan, are focused on initiatives we believe can enhance long-term, shareholder value."

THIRD QUARTER CONFERENCE CALL

The company will host a conference call and webcast today at 9:30 AM Eastern Time to review its results and strategic progress. Please join the webcast live via this link: https://edge.media-server.com/mmc/p/82noxgwv. Webcast participants will be able to submit questions through the webcast portal. To submit a question, simply login through the website link and click "ask a question" located in the upper right-hand side of the menu bar. A replay of the call will be accessible at https://www.arriveai.com/investor-relations.

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About Arrive AI

Arrive AI's patented Autonomous Last Mile (ALM) platform enables secure, efficient delivery to and from a smart, AI-powered mailbox, whether by drone, ground robot or human courier. The platform provides real-time tracking, smart logistics alerts and advanced chain of custody controls to support shippers, delivery services and autonomous networks. By combining artificial intelligence with autonomous technology, Arrive AI makes the exchange of goods between people, robots and drones frictionless and convenient. Its system integrates with smart home devices such as doorbells, lighting and security systems to streamline the entire last-mile delivery experience. Learn more at www.arriveai.com and via the company's press kit.

Media contact: Cheryl Reed, [email protected]

Investor Relations Contact: Alliance Advisors IR, [email protected]

Cautionary Note Regarding Forward Looking Statements

This news release and statements of Arrive AI's management in connection with this news release or related events contain or may contain "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. In this context, forward-looking statements mean statements, including but not limited to statements related to the future regulatory environment applicable to Arrive AI, the prospects of hiring the desired talents, and building productive and profitable products or systems related to future events, which may impact our expected future business and financial performance, and often contain words such as "expects", "anticipates", "intends", "plans", "believes", "potential", "will", "should", "could", "would", "optimistic" or "may" and other words of similar meaning. These forward-looking statements are based on information available to us as of the date of this news release and represent management's current views and assumptions. Forward-looking statements are not guarantees of future performance, events or results and involve significant known and unknown risks, uncertainties and other factors which may be beyond our control. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Potential investors should review Arrive AI's filings with the United States Securities and Exchange Commission for more complete information, including the risk factors that may affect future results, which are available for review at www.sec.gov. Accordingly, forward-looking statements should not be relied upon as a predictor of actual results. We do not undertake to update our forward-looking statements to reflect events or circumstances that may arise after the date of this news release, except as required by law.

CONDENSED FINANCIAL STATEMENTS
 ARRIVE AI INC.
CONDENSED BALANCE SHEETS
(Unaudited)

ARRIVE AI INC.
CONDENSED STATEMENTS OF OPERATIONS
(Unaudited)

ARRIVE AI INC.
CONDENSED STATEMENTS OF CASH FLOWS
For the Nine Months Ended September 30, 2025 and 2024 (Unaudited)

SOURCE: Arrive AI Inc.

View the original press release on ACCESS Newswire

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