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DATE

Thursday, Aug. 13, 2026 at 8:30 a.m. ET

CALL PARTICIPANTS

• Chairman, CEO, and Founder - Daniel O'Toole
• Head of Commercialization - Ian Geise
• Chief Financial Officer - Piyush Phadke
• Chief Operating Officer - Mark Hamm
• Head of Marketing - Tasha Jones
• Chief Legal Counsel - John Ritchison

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TAKEAWAYS

• Revenue -- $14,700, consistent with first-quarter levels and rising slightly year over year when excluding a nonrecurring consulting project in the prior year.
• Reported Net Loss -- $14.1 million, compared to $3.7 million in the year-ago period, reflecting $9.7 million in noncash expenses from note conversions.
• Non-GAAP Net Loss -- $4.3 million, excluding noncash charges related to the conversion of outstanding notes.
• Cash and Liquid Investments -- $5.1 million as of June 30, an increase from $2.1 million on Dec. 31.
• Monthly Cash Burn -- approximately $1.1 million, supporting investments in technology, team expansion, and infrastructure development.
• S-3 Registration Statement -- up to $100 million, providing future capital flexibility for growth and scaling initiatives.
• ATM Offering Capacity -- $15 million, finalized to allow for strategic sales of equity at prevailing market prices.
• Available Capital -- $19 million in future prepaid advances remaining under the existing 2025 equity line facility.
• AP3 Plus Production -- more than 12 units scheduled for shipment by mid-September, representing the company's first wave of expanded hardware availability.
• AP4 Development -- targeted for launch in the first quarter of 2027, with a supply chain designed to scale to hundreds of units throughout that year.
• APX Scaling Target -- prototypes expected by the end of 2027, with manufacturing architecture intended to support tens of thousands of units.
• Hancock Regional Hospital Deployment -- expanded with one additional Arrive Point to facilitate autonomous building-to-building movement on the healthcare campus.
• Avride Campus Footprint -- expected to reach more than 20 campuses nationwide by the end of 2026 through established food service partnerships.
• U.S. Intellectual Property -- 10 issued patents and four pending applications establishing an infrastructure moat for autonomous delivery and pickup.
• International Intellectual Property -- 13 issued patents across regions including India, Singapore, Australia, Japan, South Africa, and Brazil.
• European Union Expansion -- received approval for the first European Union patent, allowing the company to enter multiple European markets.
• Engineering Workforce -- 40 on-site engineers focused on research and development with approximately 19 new invention ideas currently in the pipeline.
• Inbound Business Inquiries -- reached a historical peak in the 30 days preceding the call, exceeding the cumulative total of all previous company history.
• Manufacturing Pipeline -- partnerships with DXC focused on pharmaceutical facilities exceeding 500,000 square feet requiring drone and robot integration.
• Winch Patent -- specialized intellectual property covering mechanisms for controlled drone package handling and delivery.
• Investor Base -- 5,000 pre-public investors on the capitalization table following the company's public listing 1 year ago.

SUMMARY

Management detailed the transition of Arrive AI Inc. (ARAI -7.73%) from technology development toward commercial scaling, highlighted by the upcoming shipment of AP3 Plus units and a strategic leadership transition. The company is focusing its commercialization efforts on the healthcare, manufacturing, and specialty pharmacy sectors, utilizing partnerships with Nexus AMR and DXC to integrate its smart mailbox infrastructure into large-scale facilities. Management stated that the company's current cash position and available financing through an S-3 shelf registration and at-the-market offering provide sufficient capital to support ongoing operations and the planned 2027 production ramp-up. The company reported record inbound inquiry volume as it continues to expand its global intellectual property portfolio across Asian and European markets.

• CEO O'Toole emphasized the company's role in the logistics ecosystem, stating, "We unlock autonomy. We're creating a frictionless environment between drones, robots, APs and people, and that is what the market needs."
• The company used AI-generated versions of executive voices for its prepared remarks to demonstrate the practical application of AI in improving communication efficiency and scalability.
• COO Hamm described the manufacturing roadmap, noting that while the 2027 supply chain targets hundreds of units, the subsequent APX generation is "being designed for thousands, tens of thousands."
• Management reported a letter of intent with LifeSpan Pharmacy and CarDon to explore an autonomous drone pharmacy delivery program as part of its specialty delivery vertical.
• Chief Legal Counsel Ritchison highlighted the company's patent position relative to industry peers, stating that Arrive AI secured its first position infrastructure patents ahead of several major logistics companies.
• The anchor deployment at Hancock Regional Hospital reached a milestone by enabling building-to-building movement, which management identified as a key requirement for large campus environments.
• Piyush Phadke will join the company as Chief Financial Officer on Aug. 17, bringing more than two decades of Wall Street experience to manage capital markets and investor relations.

INDUSTRY GLOSSARY

• AP3 Plus / AP4 / APX: Successive generations of Arrive AI's smart, climate-controlled mailbox and delivery reception hardware.
• Arrive Point: The company's automated, secure delivery terminal designed to receive goods from drones, robots, and traditional couriers.
• Nexus AMR: A strategic partner that integrates Arrive AI products into its autonomous mobile robot automation portfolios.
• ATM (At-the-Market) Offering: A financial tool that allows a company to sell its shares directly into the secondary market over time at current market prices.
• AMR (Autonomous Mobile Robot): A type of robot capable of navigating its environment and performing tasks without direct human oversight.
• S-3 Registration Statement: An SEC filing that allows a public company to register a large amount of securities for future sale in multiple offerings.
• Winch Patent: A specific Arrive AI patent for a mechanism that manages the lowering and retrieval of packages by delivery drones.

Full Conference Call Transcript

Operator: Good morning, everyone, and thank you for joining us today. On the call is Dan O'Toole, Arrive AI's Chairman, CEO, and Founder, along with Ian Geise, our Head of Commercialization, who's joining us for the first time today. The rest of Arrive AI's leadership team is also here to answer questions later in the call. The earnings press release issued this morning is available in the Investor Relations section of the company's website at arriveai.com. Before we begin, please note that today's remarks may include forward-looking statements regarding future financial results, operations, and performance. These statements are not guarantees of future results and are subject to risk and uncertainties that could cause actual outcomes to differ materially.

We encourage investors to review the Risk Factors section detailed in Arrive AI's SEC filings, which are also available on the company's website. Now, I will turn the call over to Arrive AI's CEO, Dan O'Toole.

Daniel O’Toole: Thank you. Hey everyone, Dan O'Toole here. Thank you for joining us today. We're going to keep our prepared comments concise, so let's get right to it. But I also want to say, why don't you ever see elephants hiding in trees? Because they've gotten really good at it. But I really want to say the elephant in the room has arrived with AI. We're seeing a huge uptick in big players wanting to explore deploying our technology, and that is what is really exciting. So let's get this going. To start this morning, I'd like to welcome Piyush Phadke as Arrive AI's new CFO, Chief Financial Officer, effective August 17th.

As detailed in this morning's press release, Piyush brings more than two decades of Wall Street experience, including senior capital markets roles at Bank of America, BTIG, and Jefferies before moving into public company CFO leadership. That combination gives him a rare vantage point. He sat on the banking side, structuring financing for growth companies, and he sat in the CFO seat, managing the balance sheet and investor relationships that come with public company life. What stood out to me most is how aligned Piyush is with our vision for Arrive AI. He understands the scale of the opportunity in front of us in autonomous logistics.

And he's just as focused as we are on translating this quarter's commercial traction into long-term shareholder value, which I will elaborate on shortly. We'll hear directly from him on future calls and in the investor conversations as we move forward. I also want to thank Todd Pepmeier for his contributions while here at Arrive AI. Now let's get into what's driving the business forward, including real commercial traction, continued technology progress and a clear opportunity ahead for Arrive AI. The prepared remarks you're about to hear will be delivered using AI-generated versions of both mine and our Head of Commercialization's voice, Ian Geise. That's the same format that we've used in the past.

For us, this reflects how we think about artificial intelligence as a practical tool that can improve efficiency, scalability, and communication, the same philosophy that drives our platform and autonomous logistics network. After the prepared remarks conclude, we'll return to a live question-and-answer session on questions that were submitted ahead of this call. So with that said, let's begin the prepared remarks. Thanks, everyone. This quarter, we want to spend less time talking about where we're headed in the abstract and more time talking about the deals and partnerships and the progression we have made over the past several months.

We expect to have more than a dozen AP3 Plus Arrive Points in stock and ready to ship by mid-September, representing our first wave of expanded availability and the solidification of our supply chain. Looking ahead, we're already developing the AP4, which is targeted for the first quarter of 2027 and will build on what AP3 Plus brings to the network. This is ideal timing to take advantage of the commercial traction we are seeing in the second half of the year. To walk through that in detail, I've asked Ian Geise, our Head of Commercialization, to join us today for the first time.

Ian leads our commercial pipeline, and he's going to provide you with an inside look at where things stand.

Ian Geise: Thanks, Dan. It's easiest to think about our pipeline across three industries where we're seeing the strongest traction right now: healthcare, manufacturing and specialty pharmacy delivery. In healthcare, Nexus AMR is pleased to partner with us to deliver end-to-end autonomous solutions for customers across multiple industries. The integration of Arrive AI's products into their automation portfolio enhances productivity and expands the value they deliver to healthcare organizations and other businesses facing persistent and growing labor challenges. Customers from around the world regularly visit the TECNEXUS Innovation Center, where they showcase best-in-class autonomous mobile robots and emerging technologies. Nexus is proud to feature Arrive AI's innovative solutions and has welcomed us as a key strategic partner.

Hancock Regional Hospital remains our anchor healthcare deployment. And this quarter, Hancock expanded their network by adding an additional Arrive Point, enabling building-to-building movement. This is a significant milestone since demand for building-to-building movement and secure exchange will be paramount in healthcare and in large campus facilities. In manufacturing, we've partnered with DXC to bring our technology into large pharmaceutical manufacturing environments, facilities with a global footprint, each spanning 500,000 square feet or more where moving product across the campus, including by drone for longer distances, is a real operational need. DXC's systems integration expertise also helps us plug into large enterprise customers faster than we could on our own.

We've also announced a letter of intent with LifeSpan Pharmacy and CarDon to explore an autonomous drone pharmacy delivery program. We are also engaged in early-stage discussions with several Fortune 500 companies regarding potential pharmaceutical delivery opportunities. We're also seeing broader momentum with our autonomous delivery partners. Avride, which builds autonomous delivery robots backed by one of the industry's longest-running autonomous driving programs, became the continuity partner for universities when Starship Technologies exited U.S. campus operations. By the end of this year, Avride expects to be operating on more than 20 campuses nationwide, working with Grubhub, Uber Eats and major food service operators.

What's next for Avride is more campuses, expanded city deployments, faster and more reliable service, and most importantly, where we fit in, creating partnerships across the ordering and logistics stack so last-mile delivery becomes truly autonomous, end to end. This mutual goal will be key as we identify potential partners. As of today, we have a growing number of commercialization conversations underway, and a meaningful subset of those have already progressed into second- and third-round discussions. These later-stage conversations are with partners we believe are the most likely to move forward into formal agreements. We're introducing this framing to give you a clearer view into the momentum we're seeing and our traction with potential partners.

At the same time, we'll continue to only treat agreements as firm once they're signed, and we'll announce each finalized partnership individually as it's secured. We expect to keep building on this across healthcare, manufacturing and specialty delivery in the coming quarters.

Daniel O’Toole: Thanks, Ian. On the financial side, given the very recent CFO transition, I will walk through the highlights for the second quarter results. Second quarter revenue was in line with Q1 at $14,700 for the quarter. Our recently announced expansion with Hancock is expected to produce incremental revenue in the third and fourth quarters this year. Excluding revenue from a non-recurring consulting project in the year-ago quarter, revenue was up slightly year over year. Net loss for the second quarter was $14.1 million compared to the $3.7 million net loss in the second quarter of 2025. However, the reported net loss includes $9.7 million in non-cash expenses related to the conversion of our outstanding notes.

Excluding these non-cash expenses on a non-GAAP basis, net loss for the second quarter was $4.3 million. Cash and liquid investments on hand were $5.1 million at June 30th, an increase from $2.1 million in cash at December 31st. Our current cash burn rate is approximately $1.1 million per month. During the quarter, we completed the filing of an S-3 registration statement for up to $100 million. We also finalized the terms of our at-the-market offering, or ATM offering, up to a maximum capacity of approximately $15 million. The amount and timing of sales under that agreement will be disclosed quarterly as required.

In addition, we retain the available capacity of $19 million in future prepaid advances under our previous 2025 equity line facility. I also want to speak directly to something I know is on a lot of people's minds, our ability to keep funding this business going forward. We continue to have real optionality in front of us right now on financing, and Piyush's capital markets background is already helping us sharpen how we think about those paths. Our current cash burn reflects deliberate investment in the team, technology, and infrastructure required to convert our commercial pipeline into scaled revenue.

And we're being careful about which financing and operating decisions we make and when to do what's right for shareholders over the long term. At the same time, we are prudently managing operating and investment spend to drive growth while maintaining a disciplined focus on the balance sheet. I want to be direct about this. We are not in a position where we're at risk of running out of funds. We have options, and with Piyush's experience structuring financing for growth companies, we're working through them strategically and with real discipline. To wrap up, this quarter is about proof: real partnerships, real deployments and real momentum in our pipeline across healthcare, manufacturing and specialty delivery.

We appreciate your continued support and engagement. With that, Ian and I will now return live for Q&A, along with the rest of our team.

Operator: [Operator Instructions] And our first question comes from Jack Codera with Maxim Group.

Jack Codera: You guys highlighted a couple of partnerships. And then you mentioned there, about a dozen Arrive Points kind of targeted to be ready to ship this, I think you said by the end of this year. I'm wondering how many Arrive Points do you have out there operating right now? And kind of how does that connect to, like for example, this like 20 campuses you're taking over? Is that like an incremental 20 Arrive Points? How should we be thinking about that?

Daniel O’Toole: Yes, hey, real quick. Thanks for being on the call here, Jack. Dan O'Toole, CEO. I just want to say that the over a dozen units that we mentioned in the earnings call represents a huge multiplier of our past deployments. So while over a dozen isn't a huge number in the abstract, it really marks on our traction that we're seeing, and it's a huge multiplier on what we've had deployed so far. So I think the trajectory is really vertical for where we're going and what we're doing. I'm going to let Ian Geise, our Head of Commercialization, take the last part of that question. Go ahead, Ian.

Ian Geise: Yes, just to clarify the statement on campuses, the news that was iterated in that statement had to do with Avride's takeover of Starship's departure from campuses to do on-campus delivery. We are in early conversations with Avride right now of employing the Arrive Point network into potential pilot programs in which we could increase efficiencies for unattended delivery.

Jack Codera: Okay, yes, that's perfect clarification. And it's exciting to see that you're getting a multiplier on kind of what was existing out there. I guess, kind of the big question is, how should we think about -- what are the big sticking points that you're kind of seeing that will enable you to start talking about Arrive Points in -- kind of like hundreds of Arrive Points or thousands of Arrive Points? Do you think it's -- is it more about adoption? Do you need more manufacturing scope? I'd just like to get your thoughts like on the main sticking points.

Daniel O’Toole: Thanks, Jack. We appreciate the thoughtful questions and the opportunity to share these answers that I'm sure a lot of people are thinking about. I'm going to ask Mark Hamm, our COO, to take that one. Mark?

Mark Hamm: Yes, thanks, Jack, for the question. In Q1, we consolidated our roadmap, our product plan, our supply chain and the delivery of the 12 units in September. That's the first installment on new units -- it's called AP3 Plus -- that have our new operating system and our new software that enables operators and customers to see everything that's going on with their Arrive Points and their network. Then what comes in Q1 is AP4, which is the first product that will support multiple deliveries at once, AMR pickup and drop off at the same time, drone delivery. And that supply chain has been designed to scale to hundreds over the course of 2027.

It remains to be seen if we deploy that many, but that's what we're looking at supply chain-wise. And then the following year, we would have prototypes at the end of next year for APX, the future generation, or AP5, you may hear it called, which is designed for even greater capacity and more automated handoffs in more situations. And that supply chain is being designed for thousands, tens of thousands. So it's a progression, a ramp. And kind of in parallel, once the supply chains are in place for that, then go-to-market follows that and provides the opportunities.

Operator: Thank you. I would now like to turn the call back over to Arrive AI for questions.

Daniel O’Toole: Yes, real quick. All right. This is Dan. I'm going to take this opportunity to introduce Piyush Phadke, our new CFO. Piyush, thanks for joining the call and thanks for joining the company. I'm really excited. I just -- I want to give a quick shout-out, I guess, to Adele with Alliance Advisors, our trusted partner, our investor relations firm. They knew we were looking to get a really like-minded, educated or streetwise, I guess you could say, CFO. Somebody that -- my personal wish list was somebody that was entrepreneurial, somebody that could navigate the capital markets, could narrate an earnings report to analysts and investors and be M&A-minded. And I think we've got exactly what we're looking for.

Piyush, if you're there, I'd like to say hey to you and have you give a little bit of a background on yourself to our investors.

Piyush Phadke: Sure. Thank you. Thank you, Dan. And thank you to the team and to investors who have joined this call. So I'm Piyush Phadke, I'm the new CFO of Arrive AI. I am very excited to be here. I really believe in the mission and believe we are the future of autonomous deliveries. You know, for me, joining was all about fit. I came to the office near Indianapolis last week and spent time, spent three days there with everyone, up from Dan to all the C-suite, the developers, engineers. And the thing that I noticed was just really the energy that, you know, that flows from Dan.

But really, everyone was just so excited to be there and to be able to be building something that's going to be big. And I was able to see kind of a demo of an Arrive Point, and I had never seen it before other than kind of on the website. And it was really interesting to kind of see that live and see how the different technology works. So I'm really excited for the opportunity, and I'm looking forward to doing a lot of great things with Dan and team.

Daniel O’Toole: Thanks so much, man. We're looking forward to really leveraging your relationships and getting our sleeves rolled up and getting us to the next level. So really excited that you're on our team, man. I can't wait to hit the ground running here. I want to turn this over to Tasha Jones, our Head of Marketing. And she's going to tee us some questions up there. Tasha?

Tasha Jones: Yes. The first question we have here, we received several questions about the stock price and the NASDAQ compliance, including concerns about a potential delisting or liquidity issues. This comes from Leon, Jake, Robert and [ Brenski ].

Daniel O’Toole: I'm going to -- the way we're going to format this, I'm going to assign questions so we're not tripping over each other. I'll assign answers. I'm going to take this one myself. Dan O'Toole, CEO. Obviously, the big thing every day is share price traction, delisting and all these kind of things. Yes, I can tell you this. We went public over a year ago, 5,000 pre-public investors on our cap table. We have everyone shoulder to shoulder with us when we think about share price, market traction, having a great product. There's a whole formula of specifics that come together that equal your share price, your market cap and how you're viewing the market.

And I can tell you, when we went public a year ago, it was never in the plan to be profitable day one. It was never in the plan to be revenue neutral day one. What wasn't the plan was to lose money. And that wasn't because we wanted to lose money. It's just the reality. When you're running in a race, you don't start at the fastest speed, you start from a standing stop and you get faster and faster. Well, I can tell you, we are getting faster and faster. The amount of inbound inquiries that are coming into our company are bigger than we've ever seen.

In the last 30 days, we've had more inquiries than we've had in the history of the company put together. The market is taking note of what we're doing and then realizing that autonomous delivery and pickup of all sorts will not happen without an Arrive Point in that ecosystem. We unlock autonomy. We're creating a frictionless environment between drones, robots, APs and people, and that is what the market needs. Scalability, when you're dropping things on the ground or picking them up from the ground, is a non-starter. When you add unattended delivery from Arrive AI, it all changes. And when you guys invest into this company, you invest in our IP.

Our IP starts where autonomous delivery and pickup starts. So if you have a locker or a mailbox, that's fine. That's public domain, that's old. When you have this new element of autonomous delivery and pickup where everything is going, that is Arrive AI. We are building that infrastructure. We own the doorstep to every public business throughout the world. So that's where you're investing in. Tash, I'm going to hand it to you.

Tasha Jones: Yes, so we also received a couple of questions asking us to describe our growth plan for the remainder of this year and next, including how we plan to scale revenue and secure purchase orders, letters of intent and strategic partner agreements. This was Raul and Albert's question.

Daniel O’Toole: I'm going to hand it over to Ian. Ian is our Head of Commercialization. Go ahead, Ian.

Ian Geise: Thank you for the question. I think we addressed most of that in my prepared statement, but I'll go ahead and answer it, especially off the great words that Dan just stated. And that is the amount of awareness that is now for the inefficiencies of drop-off, pickup throughout all of the different companies that have been launched, whether it's drone companies or robotics companies, there's more and more awareness for what is lacking, and that is indeed the Arrive Point of being able to do the handoff and the pickup.

Nexus saw this clearly, and we created that partnership with Nexus and we're getting more and more leads that are coming in the pipeline for hospital systems, medical, pharmaceutical, and they keep growing exponentially. So we anticipate very big things from all of these different elements of our pipeline. And as Mark stated in terms of the product deployments, we are being very careful with how we are allocating that product and getting the best fit for the next 12 months and forward.

Daniel O’Toole: Tash?

Tasha Jones: Okay. So, this next one comes from Ryan, who's been with us since the DroneDek days. What do you feel has been the biggest challenge with running a new publicly traded company in front of such a broad audience with the ability to say whatever they want, whenever they want? And what's been the biggest advantage?

Daniel O’Toole: You know, I would say no challenge, Ryan, just opportunity. Thanks for asking, and thanks for being with us since the beginning. Now I don't forget the OG guys, Brian Grigsby, [ Jeff Kong ], others. Appreciate everybody that's out there listening today. We know that you care. You know, just opportunity. No two days are the same, every day is an exciting new day. You come in, and then Piyush mentioned the energy in the office. Every day I come in here, it's palpable. You can see high morale. You can see a dizzying evolution of projects. People are prideful. Everyone's trying to outmaneuver the next guy with great ideas and pride and be able to show off.

You know, we have a normal showcase of sharing what's happening here, and we all rally and share that every day. I'd be a hypocrite if I said anything was a negative. While there's things that aren't great sometimes, you gotta take the bad with the good. This is everything that I signed up for. It's better than I could have ever imagined. I know our share price is down, and I'm not diminishing that. But what I'm saying is, I've come up with a mantra, what goes down must go up. It's anti-gravity, and that's what we're doing here at Arrive AI.

I welcome questions not just on these earnings calls, but everybody knows how to reach me, and I want to be there for you guys. So thank you for that question, Ryan.

Tasha Jones: Okay. And this next one is -- we received a question about brand awareness, specifically how we're approaching marketing, given that many investors say they don't hear Arrive AI's name come up in their industries.

Daniel O’Toole: Mark, you want to take that one?

Mark Hamm: Yes. So just as we go through phases on developing our product and our supply chain, there are natural phases to how we develop our capabilities to go to market, and along with that, our brand. While it took a lot of attention and evangelizing the future of drone and robotic delivery to get here and to get funded and to put these resources and team in place, I think everybody's well aware of all the efforts, from Walmart and Zipline and just everybody out there, DoorDash. So that's no longer in question.

What we're focused on now is kind of that rifle shot approach to enterprise accounts and partners that are really the early innovators, the strategic investors in infrastructure like ours and what does it mean to market to them account by account. So you probably don't run into a lot of advertising for GE or Rolls-Royce aircraft engines in your life because you're not the purchaser of those things. We're looking for those equivalents in our industry that need to understand the awareness, the trade-offs, the chain of custody advantages, the efficiency advantages that our network brings to their fleets and their communities and their campuses, and that's where our marketing is focused and our branding is focused on.

Daniel O’Toole: Thank you. Tash?

Tasha Jones: Yes. Finally, you guys have had some strong patent news internationally. What's next? Are you guys looking at Asia? This one is from Rohan.

Daniel O’Toole: I'll tee that over at John Ritchison, our Chief Legal Counsel and our patent attorney. John?

John Ritchison: Thanks, Dan. That's a great question. I appreciate that question from the standpoint, gives me a lead -- I'll lead into it to talk a little bit about our IP. I'm going to break it up into two parts. First, let me speak to the U.S. IP. We currently have 10 approved patents or issued patents. We've got 4 more pending in the patent office. And with that, we believe we've got covered the initial IP that we need for a strong moat to keep us in a competitive position. I think Piyush mentioned about the energy that he saw when he was there. I'd say it's more than energy.

There's a lot of strength in our young engineers, the men and women that are out there have come up with a lot of great ideas. I don't know of any other -- I'm sure they're out there, but I don't know of any other company right off the top that's got their IP attorney right on-site with their engineers. That's one thing that we do, and we try to strongly take those ideas. Currently, we've got about 19 ideas that are in the hopper. Those are coming through at the rate as the engineers finish up their design and development. But again, that's the U.S. Now let me turn to the second part, and that's the international.

We haven't talked much about the international, but we've been very strong in getting our patents across the pond and working out there. The specific question was Asia. We've got -- to date, we've got 13 issued patents. Most of those are in Asia, with the exception, I think, of South African and Brazil patents. The rest of them are in Asia proper, India, Singapore, Australia, Japan. I could list them, but that takes too much time. That's exciting from a standpoint that Asia is an immediate place that we have decided to start working hard on, trying to look at how we can take these international patents and doing some licensing with local concerns.

The other part of international we don't talk about much -- and I don't want to get too technical, but that's Europe. Most of the people in this room know it, but I'm sure the people on the call don't. We just recently got approved with our first patent for the European Union. That opens up the entire European for us to go ahead and open up those additional countries. So along with the Asian efforts, we now have the strong results, and we'll start heading up into Europe with our international licensing opportunities. I'll turn it back to Dan.

Daniel O’Toole: John, another quick question. You would agree that we have a strong first position patent portfolio in this space, right?

John Ritchison: Yes. I don't have it memorized like Dan does, but we beat several strong companies, Amazon, UPS, FedEx, a few others. And with that, when I say beat, our patents got out and approved by the patent office before theirs did. So that put us in a first position. But I'd also be less than honest with you if I didn't say that a first position is nice, but our first position also comes with a strong number of claims. So we've got a lot of components and features in there. I thought that they were pretty well complete.

And then I met these 40 engineers that we've got on-site that are thinking totally out of the box, so we've got a lot more stuff coming down the pipe.

Daniel O’Toole: And one more patent that people don't think about us for, if you could just throw something up about this, our winch patent for a [ drone package ].

John Ritchison: Yes, we've got -- that was one of the things with our strategic purchase, we rolled in what we call around here, a winch patent, which is a different way to handle the product coming from the drones. It's unique, and it allows you to focus or drop that package in a much more organized and controlled method.

Daniel O’Toole: Yes, thanks a lot. Hey, I just want to say, appreciate everybody listening to the call, caring enough to want to know what we're up to from a bird's eye view here at Arrive AI. I just want to say that the trajectory is strong. We are on track with every deliverable that we mark and take note of, and we are right on pace with every aspect of this business. We're running on all cylinders. Things are amazing in regard of getting recognized in the marketplace. And I want to thank everybody for joining the call today. Also, I want to give a shout-out to my son, Bryce O'Toole.

He's listening from his investment banking internship in New York City right now. Go get them, Bryce. Thanks, everybody. Back to our operator.

Operator: Thank you. This concludes the conference. Thank you for your participation. You may now disconnect.