New Horizon Aircraft Swings to $26.5M Loss as R&D Spending Surges in Q3 2026

New Horizon Aircraft Ltd., an aerospace development company, reported a net loss of $26.5 million for the nine months ending February 28, 2026, reversing a net income of $11.8 million in the same period a year earlier. The company reported no revenue for either period. Read more earnings reports.

Operating expenses surged to $18.6 million for the nine-month period, up 95% from $9.5 million in the prior year. Research and development spending drove the increase, climbing to $9.6 million from $1.2 million, an eightfold jump as the company ramped up development activity.

For the three months ending February 28, 2026, New Horizon posted a net loss of $6.9 million compared to a loss of $4.9 million in the same quarter last year. R&D expenses for the quarter reached $4.3 million, nearly ten times the $443,000 spent in the prior-year quarter.

Cash Position Strengthens Despite Losses

The company closed the period with $19.7 million in cash and cash equivalents, up sharply from $7.5 million at the end of May 2025. Total assets reached $21.9 million as of February 28, 2026, compared to $8.4 million nine months earlier.

Cash from financing activities totaled $24.7 million for the nine-month period, reflecting capital raised during the year. Cash used in operations was $11.8 million, compared to $6.8 million in the prior-year period. Common shares outstanding increased to 44.96 million from 32.33 million at the start of fiscal 2026.

Equity and Liabilities

Stockholders' equity stood at $14.1 million as of February 28, 2026, up from $2.6 million at May 31, 2025. Retained deficit widened to $35.9 million from $9.5 million. The common stock value on the balance sheet increased to $111.9 million from $84.6 million.

Total liabilities rose to $7.8 million from $5.8 million. Current liabilities edged up to $1.4 million from $1.3 million, while accounts payable climbed to $1.1 million from $679,000.

Per-Share Results

The company reported a basic loss per share of $0.64 for the nine months ending February 28, 2026, compared to earnings of $0.49 per share in the prior-year period. For the third quarter alone, the loss per share was $0.16 versus $0.17 a year earlier.

The company is incorporated in Canada and qualifies as a non-accelerated filer and small business under securities regulations.