What happened

Forget the fact that Archer Aviation (ACHR -1.72%) came up $0.02 short of analysts' expectations that it would report a loss per share of $0.28. Investors seem much more focused on other areas of the electric plane maker's second-quarter 2022 earnings, which were reported Wednesday after the market closed.

As of 10:45 a.m. ET Thursday, shares of Archer Aviation have soared 12.7% higher.

So what

Still in the pre-revenue phase of its development, Archer Aviation didn't have anything on the top line to lift investors' spirits. Instead, the market is celebrating the company's progress in bringing its urban air mobility solution to market. For example, the company reported that United Airlines has provided a $10 million deposit for 100 of Archer's electric vertical takeoff and landing (eVTOL) aircraft.

Addressing Midnight, the company's four-passenger piloted aircraft, and inspiring hope that the company is accelerating toward generating revenue, Adam Goldstein, Archer's CEO, stated the following:

Archer is now advancing our commercialization efforts. We are executing our plan including the development and certification of our production aircraft, Midnight, and initiating efforts for our early launch markets for commercial operations. Our recent successful completion of Midnight's Preliminary Design Review provides us confidence that our technology supports our commercial objectives.

Now what

Growth investors are paying close attention to this company that is attempting to reimagine how urbanites get around town. Looking to provide a ridesharing service of sorts -- in the skies instead of on the roads -- Archer is at the forefront of what some foresee as a massive opportunity. Morgan Stanley, for example, estimates that the urban air mobility market has the potential to be reach $1.5 trillion by 2040.

While Archer is making progress, it's important to recognize that plenty of risks remain, and Archer's ability to fly high its far from a guarantee.