New Horizon Aircraft (HOVR) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 marked a transition from prototype validation to full-scale aircraft development, with strengthened cash reserves exceeding CAD 78 million.

• The Cavorite X7, a seven-person hybrid VTOL, is designed for high speed, range, payload, and all-weather operations, targeting certification by 2030.

• Expanded engineering and leadership teams, with headcount expected to nearly double by summer 2027, and added world-class aerospace partners.

• Strategic partnerships established for flight control systems and manufacturing, enhancing development capabilities.

• Focus for fiscal 2027 is on execution: assembling the full-scale demonstrator, advancing certification, and preparing for flight testing.

Financial highlights

• Ended fiscal 2026 with CAD 78.3 million in cash, up from CAD 7.5 million a year ago, ensuring over 24 months of liquidity for ongoing development and certification.

• Financing activities generated over CAD 88 million during the year, including $45 million from two registered direct offerings.

• R&D expenses rose to CAD 13.2 million from CAD 3.7 million year-over-year, reflecting increased investment in engineering and development.

• G&A costs remained stable at CAD 10.2 million.

• Cash used in operations totaled CAD 16 million, up from CAD 9 million the prior year.

Outlook and guidance

• Expect another step up in investment in fiscal 2027 as major components are received and engineering staff expands.

• Current cash position provides more than 24 months of liquidity, even with increased development spending.

• Targeting completion of the full-scale demonstrator by spring 2027, with ground and flight testing to follow.

• Continued engagement with certification authorities and suppliers planned.

• Certification targeted for 2030, with ongoing discussions with potential buyers and operators.