Al Root

Vertical Aerospace's stock rose after the company announced a smaller-than-expected full-year loss. It looks like it will be raising more money in 2026.

On Tuesday, the maker of electric vertical takeoff and landing, or eVTOL, aircraft, reported a 2025 operating loss of $127 million, with no sales. Wall Street was looking for a $147 million loss, according to FactSet.

eVTOLs are quieter and relatively easy to operate, which can help unlock urban air taxi markets. Vertical Aerospace is still certifying aircraft for commercial service and isn't as well-known as some of the other players trying to create a " low altitude economy," including Joby Aviation, Archer Aviation, and Beta Technologies.

Vertical used about $112 million in operations in 2025 and expects to use about $195 million over the next 12 months. The company ended 2025 with about $93 million in cash.

The company will eventually need more cash, and its annual filing includes a " going concern" warning. That warning is warranted "when there is substantial doubt the company can continue to conduct its normal business operations in the foreseeable future without having to liquidate a portion of its assets and/or restructure its obligations," explains accounting expert Robert Willens.

Despite the warning, Vertical Aerospace stock was up 1.1% at $3.56 in early trading, while S&P 500 and Dow Jones Industrial Average futures were down about 0.2%. Coming into Tuesday trading, Vertical Aerospace stock was down about 34% this year.

The company made " strong progress" in 2025, according to CEO Stuart Simpson. It launched Valo, its commercial eVTOL aircraft, advanced its flight testing program, and set up a battery production line.

Vertical Aerospace should complete aircraft certification by 2028, finances permitting. That should be a year or two after Joby and Archer.

The company is valued at about $350 million. Joby, Archer, and Beta have billion-dollar valuations. Joby is the most valuable, with a market capitalization of about $9 billion.

Write to Al Root at allen.root@dowjones.com

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March 24, 2026 08:40 ET (12:40 GMT)

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