Aurora Innovation, Inc.
For the period ended Jun 30, 2026. Filed Jul 29, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 29, 2026
AUR$4.41+9.4%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-05-06.
0001828108-26-000052
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-29.
0001828108-26-000077
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 36 previous paragraphs and 45 current paragraphs.
22 unchanged; 13 reworded; 6 added; 1 removed; 0 previous and 4 current paragraphs rearranged.
Tables are not compared: 2 previous and 3 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
Revenue increased by $1 million, or 100%, to $2 million in the three months ended June 30, 2026 from $1 million in three months ended June 30, 2025, primarily due to increased utilization, geographical expansion, and higher fuel surcharges.
Current report
Cost of revenue increased by $2 million, or 40%, to $7 million in the three months ended June 30, 2026 from $5 million in the three months ended June 30, 2025, primarily due to an increase in terminal, personnel, and fuel expenses due to increased utilization and geographical expansion. Non-cash stock based compensation in cost of revenue was not significant.
Current report
Other income, net decreased by $1 million, or 8%, to $12 million in the three months ended June 30, 2026, from $13 million in the three months ended June 30, 2025, primarily due to a decrease in interest income earned on cash equivalents and investments as a result of lower market rates.
Current report
Comparison of the Six Months Ended June 30, 2026 to the Six Months Ended June 30, 2025
Current report
(1)Not meaningful.
Current report
Net cash provided by investing activities was $100 million for the six months ended June 30, 2026, compared to net cash used in investing activities of $99 million in the six months ended June 30, 2025. The change was primarily due to higher maturities relative to purchases of investments in the six months ended June 30, 2026 compared to higher purchases relative to maturities of investments in the six months ended June 30, 2025, partially offset by increased payments for the purchases of trucks and hardware to support the expansion of our fleet.
Removed paragraphs (1)
Previous report
Net cash provided by investing activities was $209 million for the three months ended March 31, 2026, an increase of $190 million from $19 million for the three months ended March 31, 2025, primarily due to decreased purchases of investments and increased maturities of investments, partially offset by increased payments for fleet builds.
Reworded paragraphs (13)
Previous wording
Research and development expenses increased by $13 million, or 7%, to $195 million in the three months ended March 31, 2026 from $182 million in the three months ended March 31, 2025, primarily driven by an increase in non-cash stock-based compensation costs, personnel costs, and cloud spend, partially offset by costs now recognized as cost of revenue after commercial launch in April 2025 as well as costs now recognized as selling, general and administrative due to a realignment of resources. Research and development expenses included non-cash stock-based compensation of $36 million and $29 million in the three months ended March 31, 2026 and 2025, respectively.
Current wording
Research and development expenses increased by $21 million, or 11%, to $211 million in the three months ended June 30, 2026 from $190 million in the three months ended June 30, 2025, primarily driven by an increase in hardware development costs, cloud computing costs, non-cash stock-based compensation costs, and personnel costs, partially offset by costs now recognized as cost of revenue after commercial launch in April 2025 as well as costs now recognized as selling, general and administrative due to a realignment of resources. Research and development expenses included non-cash stock-based compensation of $47 million and $44 million in the three months ended June 30, 2026 and 2025, respectively.
Previous wording
Selling, general and administrative expenses increased by $15 million, or 52%, to $44 million in the three months ended March 31, 2026 from $29 million in the three months ended March 31, 2025, primarily driven by an increase in personnel costs including costs previously recognized in research and development now included in selling, general and administrative due to a realignment of resources, and non-cash stock-based compensation. Selling, general and administrative expenses included non-cash stock-based compensation of $10 million and $5 million in the three months ended March 31, 2026 and 2025, respectively.
Current wording
Selling, general and administrative expenses increased by $14 million, or 39%, to $50 million in the three months ended June 30, 2026 from $36 million in the three months ended June 30, 2025, primarily driven by an increase in personnel costs including costs previously recognized in research and development now included in selling, general and administrative due to a realignment of resources, and non-cash stock-based compensation. Selling, general and administrative expenses included non-cash stock-based compensation of $13 million and $11 million in the three months ended June 30, 2026 and 2025, respectively.
Previous wording
The change in fair value of derivative liabilities resulted in expense of $1 million and $9 million in the three months ended March 31, 2026 and 2025, respectively, primarily due to the change in the market price for the underlying instrument during each period.
Current wording
The change in fair value of derivative liabilities resulted in expense of $16 million and income of $16 million in the three months ended June 30, 2026 and 2025, respectively, primarily due to the change in the market price for the underlying instrument during each period.
Previous wording
Revenue was $1 million in the three months ended March 31, 2026 due to the commercial launch of Aurora Driver for Freight in April 2025.
Current wording
Revenue increased by $2 million, or 200%, to $3 million in the six months ended June 30, 2026 from $1 million in the six months ended June 30, 2025, primarily due to increased utilization, geographical expansion, and higher fuel surcharges, as well as the full six months of commercial operations in the current period, compared to a partial period of operations following the commercial launch of Aurora Driver for Freight in April 2025.
Previous wording
Cost of revenue was $6 million in the three months ended March 31, 2026 due to the commercial launch of Aurora Driver for Freight in April 2025. Non-cash stock based compensation in cost of revenue was not significant.
Current wording
Cost of revenue increased by $8 million, or 160%, to $13 million in the six months ended June 30, 2026 from $5 million in the six months ended June 30, 2025, primarily due to the full six months of commercial operations in the current period compared to a partial period of operations following the commercial launch of Aurora Driver for Freight in April 2025, and an increase in terminal, personnel, and fuel expenses due to increased utilization and geographical expansion. Non-cash stock based compensation in cost of revenue was not significant.
Previous wording
Other income, net increased by $10 million, or 83%, to $22 million in the three months ended March 31, 2026, from $12 million in the three months ended March 31, 2025, primarily due to remeasurement of non-marketable equity securities resulting in unrealized gains during the period.
Current wording
Other income, net increased by $9 million, or 36%, to $34 million in the six months ended June 30, 2026, from $25 million in the six months ended June 30, 2025, primarily due to remeasurement of non-marketable equity securities resulting in unrealized gains during the period partially offset by a decrease in interest income earned on cash equivalents and investments as a result of lower market rates.
Previous wording
As of March 31, 2026, our principal sources of liquidity were $273 million of cash and cash equivalents, $952 million of short-term investments, and $52 million of long-term investments, exclusive of restricted cash of $16 million. Investments consist of primarily U.S. Treasury securities as well as corporate bonds and commercial paper.
Current wording
As of June 30, 2026, our principal sources of liquidity were $136 million of cash and cash equivalents and $1,081 million of short-term investments, exclusive of restricted cash of $18 million. Investments consist of primarily U.S. Treasury securities as well as corporate bonds and commercial paper.
Previous wording
During the three months ended March 31, 2026, we offered and sold 3 million shares of Class A common stock through the ATM Program, raising $15 million in equity capital and receiving net proceeds of $14 million after transaction costs.
Current wording
During the three months ended June 30, 2026, we offered and sold 30 million shares of Class A common stock through the ATM Program, raising $221 million in equity capital and receiving net proceeds of $215 million after transaction costs.
Previous wording
Worldwide economic conditions remain uncertain, including inflation volatility. The general economic and capital market conditions both in the U.S. and worldwide, have been volatile in the past. The capital and credit markets may not be available to support future capital raising activity on favorable terms. If economic conditions decline, our future cost of equity or debt capital and access to the capital markets could be adversely affected.
Current wording
Worldwide economic and capital market conditions remain uncertain and have been volatile, including inflation volatility in the U.S. and globally. The capital and credit markets may not be available to support future capital-raising activity on favorable terms. If economic conditions decline, our future cost of equity or debt capital and our access to the capital markets could be adversely affected.
Previous wording
Net cash used in operating activities was $159 million for the three months ended March 31, 2026, an increase of $17 million from $142 million for the three months ended March 31, 2025 primarily due to hardware development programs to support our scaling plan.
Current wording
Net cash used in operating activities was $384 million for the six months ended June 30, 2026, an increase of $98 million from $286 million for the six months ended June 30, 2025 primarily due to the settlement of the annual bonus in cash rather than Class A common stock, and hardware development programs to support our scaling plan.
Previous wording
Cash Flows Provided by Investing Activities
Current wording
Cash Flows Provided by (Used In) Investing Activities
Previous wording
Net cash provided by financing activities was $4 million for the three months ended March 31, 2026, a decrease of $78 million from $82 million for the three months ended March 31, 2025, primarily due to decreased proceeds from the ATM Program and the exercise of stock options as well as increased tax payments in connection with the net settlement of RSUs.
Current wording
Net cash provided by financing activities was $203 million for the six months ended June 30, 2026, a decrease of $177 million from $380 million for the six months ended June 30, 2025, primarily due to decreased proceeds from the ATM Program and the exercise of stock options.
Previous wording
Aurora may be party to various claims within the normal course of business. Legal fees and other costs associated with such actions are expensed as incurred. We assess the need to record a liability for litigation and other loss contingencies, with reserve estimates recorded if we determine that a loss related to the matter is both probable and reasonably estimable. No material losses were recorded in the three months ended March 31, 2026 and 2025.
Current wording
Aurora may be party to various claims within the normal course of business. Legal fees and other costs associated with such actions are expensed as incurred. We assess the need to record a liability for litigation and other loss contingencies, with reserve estimates recorded if we determine that a loss related to the matter is both probable and reasonably estimable. No material losses were recorded in the three and six months ended June 30, 2026 and 2025.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
Research and development expenses increased by $34 million, or 9%, to $406 million in the six months ended June 30, 2026 from $372 million in the six months ended June 30, 2025, primarily driven by an increase in non-cash stock-based compensation costs, cloud computing costs, hardware development costs, and personnel costs, partially offset by costs now recognized as cost of revenue after commercial launch in April 2025 as well as costs now recognized as selling, general and administrative due to a realignment of resources. Research and development expenses included non-cash stock-based compensation of $83 million and $73 million in the six months ended June 30, 2026 and 2025, respectively.
Current report — wording carried from elsewhere
Selling, general and administrative expenses increased by $29 million, or 45%, to $94 million in the six months ended June 30, 2026 from $65 million in the six months ended June 30, 2025, primarily driven by an increase in personnel costs including costs previously recognized in research and development now included in selling, general and administrative due to a realignment of resources as well as non-cash stock-based compensation. Selling, general and administrative expenses included non-cash stock-based compensation of $23 million and $16 million in the six months ended June 30, 2026 and 2025, respectively.
Current report — wording carried from elsewhere
The change in fair value of derivative liabilities resulted in expense of $17 million and income of $7 million in the six months ended June 30, 2026 and 2025, respectively, primarily due to the change in the market price for the underlying instrument.
Current report — wording carried from elsewhere
During the six months ended June 30, 2026, we offered and sold 33 million shares of Class A common stock through the ATM Program, raising $236 million in equity capital and receiving net proceeds of $229 million after transaction costs.