MRLN — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-08-14

• covers the initial adaptation of the platform and can be extended to both low-rate and full-rate production for all United States Air Force Special Operations Command (“USSOCOM”) fixed-wing aircraft.

• We plan to deploy the first Merlin Pilot on either commercial or military aircraft within the next three years. We incurred net losses of $58,427 and $16,296 for the three months ended June 30, 2026 and 2025, respectively. We incurred net losses of $148,846 and $29,029 for the six months ended June …

• Revenue for the three months ended June 30, 2026 decreased by $913 thousand, or 29.4%, to $2,194 thousand compared to $3,107 thousand for the three months ended June 30, 2025. This decrease was primarily due to the completion of one phase of our USSOCOM Contract and the beginning of a new phase of t…

• Cost of revenue for the three months ended June 30, 2026 decreased by $976 thousand, or 31.8%, to $2,090 thousand compared to $3,066 thousand for the three months ended June 30, 2025. This decrease was primarily the result of increased benefit recognized from the contract loss provision, as the rela…

• Contract loss adjustments for the three months ended June 30, 2026 increased by $223 thousand as a result of the increase in the contract loss provision related to our USSOCOM Contract. The increase in the contract loss provision is the result of a revision of our estimate of total costs required to…

Text removed vs the prior filing · source: 10-Q · 2026-05-15

• We plan to deploy the first Merlin Pilot on either commercial or military aircraft within the next three years. We incurred net losses of $90,419 thousand and $12,733 thousand for the three months ended March 31, 2026 and 2025, respectively. We expect to continue to generate losses over the next few…

• Change in fair value of convertible promissory notes (87,824) —

• Comparison of the Three months ended March 31, 2026 and 2025

• Revenue for the three months ended March 31, 2026, increased by $134 thousand, or 15.4%, to $1,002 thousand compared to $868 thousand for the three months ended March 31, 2025. This increase was primarily due to additional work completed under our USSOCOM Contract for the three months ended March 31…

• Cost of revenue for the three months ended March 31, 2026, increased by $926 thousand, or 129.7%, to $1,640 thousand compared to $714 thousand for the three months ended March 31, 2025. This increase was primarily the result of subcontractor costs incurred, and other direct charges to cost of revenu…

Text added vs the prior filing · source: 10-Q · 2026-08-14

• We depend on aircraft manufacturers and other third parties for proprietary technical data, interface specifications, and software necessary to integrate our autonomy systems onto their aircraft, and our access to this information may be limited, delayed, or withdrawn.

• Integrating our autonomy software onto a given aircraft platform generally requires access to proprietary information controlled by the aircraft's manufacturer, including interface control documents, avionics and flight control software specifications, wiring and systems data, and in some cases sour…

• Our access to this data may be limited or withdrawn. Such limitations may occur if a manufacturer views our autonomy capabilities as competitive with its own current or future offerings, if commercial terms cannot be agreed, if a program contract or teaming arrangement terminates or is not renewed, …

• If we lose access to this information for any aircraft type on which we depend, we may be unable to complete, certify, maintain, or update our integration for that aircraft, which could delay or terminate programs, require costly and time-consuming redesign or reverse engineering efforts (which may …