Serve Robotics significantly cut its fiscal 2026 revenue guidance from $26 million to a new range of $9 million to $10 million, citing lower-than-expected delivery volume from its Uber Eats partnership. This substantial reduction in future revenue expectations has led to a sharp decline in the company's stock price.
Serve Robotics reported a Q2 loss that beat estimates but missed on revenue, which is less significant than the drastic cut to its fiscal 2026 revenue outlook. The company revised its guidance from $26 million down to $9-$10 million, primarily due to underperforming delivery volumes from its Uber Eats partnership. This substantial reduction signals a significant challenge to the company's growth trajectory and fleet utilization, directly impacting investor confidence and leading to a sharp repricing of the stock. While the CEO mentioned strategies for diversification, the immediate concern is the severe downgrade in near-term financial prospects, making SERV a high-risk play for traders in the short term.