Serve Robotics Reports 209% Revenue Increase but $33 Million Net Loss in Q3 2025

Serve Robotics Inc. reported its financial results for the third quarter of 2025, revealing a significant increase in revenue but also a substantial net loss. The company generated revenues of $687,000 for the three months ended September 30, 2025, compared to $222,000 for the same period in 2024, marking a 209% increase. For the nine months ended September 30, 2025, total revenues reached $1.77 million, up from $1.64 million in the prior year. Despite this growth, the company reported a net loss of $33 million for the quarter, a 313% increase from the $8 million loss in the same quarter of 2024. The accumulated deficit as of September 30, 2025, stood at $174.6 million.

The increase in revenue was attributed to a larger fleet of delivery robots, which led to higher fleet services revenues, rising to $433,000 from $183,000 year-over-year. Software services revenue also saw growth, increasing to $254,000 from $39,000. However, the cost of revenues surged to $5.07 million, up from $378,000, primarily due to scaling operations and launching in new markets. Operating expenses also rose significantly, totaling $30.4 million for the quarter, compared to $8.3 million in the prior year, driven by increased general and administrative costs, research and development, and operational expenses.

In terms of strategic developments, Serve Robotics completed two acquisitions in 2025: Voysys AB on April 1 and Vayu Robotics, Inc. on August 15. The acquisition of Voysys, a company specializing in ultra-low latency video streaming technology, was valued at approximately $5.75 million, while the Vayu acquisition, which enhances Serve's AI-driven navigation capabilities, had a total purchase consideration of about $39.6 million. These acquisitions are expected to bolster Serve's technology stack and support its growth in the autonomous delivery market.

Operationally, Serve Robotics reported a significant increase in its daily active robots, which rose to 312 from 59 year-over-year, and daily supply hours increased to 3,781 from 465. The company continues to focus on expanding its geographic footprint and increasing the adoption of its robotic delivery services. As of September 30, 2025, Serve had cash and cash equivalents of $116.8 million and marketable securities of $93.6 million, providing a solid liquidity position to support its ongoing operations and growth initiatives.

Looking ahead, Serve Robotics anticipates continued growth in demand for last-mile delivery services, although it acknowledges potential challenges such as customer concentration risks and economic factors that could impact consumer spending. The company remains committed to enhancing its technology and expanding its market presence while managing its operational costs effectively.