Strip District-based startup posts $1.72 billion loss

Driverless vehicle startup Aurora Innovation Inc. ended its first full year as a public company with a net loss of $1.72 billion, which included a $293 million loss that came during the last three months of 2022, according to an earnings report released Thursday.

Last year’s loss compares to a net loss of $755 million in 2021. Cash and short-term assets for 2022 totaled $1.1 billion and the Strip District-based company booked revenue of $68 million from an investment by Japanese carmaker Toyota Motor Corp., which included $2 million in the fourth quarter.

To date, Aurora has received $150 million from Toyota under a collaborative development agreement, CFO Richard Tame said.

Aurora autonomous trucks have hauled 1,150 loads to date, for a total of 324,000 miles and a 98% on-time performance under the supervision of drivers, co-founder and CEO Chris Urmson told investors. The company is preparing to commercialize driverless technology in late 2024, starting with a Dallas to Houston route.

Driverless rigs promise improved safety, lower maintenance costs and around the clock operation, but logistical hurdles remain before they become the industry standard. Mr. Urmson said the company continues to make strides toward commercialization, including improved truck response to highway debris and emergency vehicles and improved sensors for guidance.

Aurora was founded in 2017 and has not yet turned a profit. The company employs about 1,600 people in Pittsburgh and other offices.

The global market for autonomous trucks was estimated at $1 billion in 2019, growing to $2 billion in 2027, according to India-based analyst Fortune Business Insights. British mining giant Rio Tinto hauled million tons of iron ore and waste at sites in Australia with the help of self-driving trucks.

“We’re incredibly excited to share our progress during the coming year and showcase all of the work that has been years in the making to reach what we expect to be incredible milestones for Aurora,” Mr. Urmson told investors in an after-market call Wednesday. “Despite macroeconomic conditions, I’m the most optimistic about the state of our business and our progress than I’ve ever been.”