SAN FRANCISCO - Serve Robotics, a company specializing in autonomous sidewalk delivery, has announced the promotion of Euan Abraham to Chief Hardware & Manufacturing Officer. Abraham, previously the Senior Vice President of Hardware Engineering at Serve, has played a pivotal role in the development of the company's award-winning robots.
The appointment of Abraham is part of Serve Robotics' strategy to expand its footprint in the autonomous delivery market. "Euan's promotion reflects his significant contributions to our company and our confidence in his ability to drive innovation as we enter our next phase of growth," said Serve Robotics co-founder and CEO, Dr. Ali Kashani.
Serve Robotics, backed by prominent investors such as Uber (NYSE:UBER) and NVIDIA (NASDAQ:NVDA), has been making strides in the delivery sector with its AI-powered, low-emission robots. The company, which spun off from Uber in 2021, has completed numerous deliveries for partners such as Uber Eats and 7-Eleven. Serve's growth plan includes deploying up to 2,000 robots in U.S. markets, a move supported by scalable multi-year contracts and a licensing partnership with Magna.
Abraham brings over two decades of experience in hardware design to his new role. His career includes key positions at Latch, GoPro, Otto LLC, and Apple (NASDAQ:AAPL), Inc., where he contributed to the development of various products and holds patents including those related to the MacBook Pro Touch Bar and iMac.
"I am honored to take on this expanded role," said Abraham. "Serve has established itself as a leader in cutting-edge engineering and design, and our Magna licensing partnership positions us to be a platform upon which new types of robots will be built."
This strategic appointment is expected to bolster Serve's commitment to leading in product design, safety, and reliability as the company aims to solidify its place in the competitive landscape of autonomous delivery services. The information provided in this article is based on a press release statement from Serve Robotics.
In other recent news, Serve Robotics Inc. has solidified its partnership with Magna International (NYSE:MGA) Inc., one of the largest global automotive suppliers, to enhance the production of delivery robots. This development marks the initiation of an exclusive contract manufacturing agreement, facilitating Serve's expansion of its robot fleet for Uber Eats and other markets in the U.S. This move follows a licensing agreement where Serve allowed Magna to use its technologies to develop new robotic products. The extended collaboration aims to advance Serve's deployment plans, potentially introducing up to 2,000 robots on the Uber Eats platform across various U.S. locations. Serve Robotics' CEO, Ali Kashani, and Magna's Executive Vice President, Matteo Del Sorbo, have expressed optimism about the partnership. These are recent developments in the company's strategic moves to enhance its robotic fleet and broaden the application of its robotics technology.
InvestingPro Insights
As Serve Robotics steps up its game in the autonomous delivery market with strategic leadership changes, investors and market watchers are keeping a close eye on the company's financial health and stock performance. According to InvestingPro, Serve Robotics is currently facing some financial challenges. The company is quickly burning through cash and has recently seen its stock price take a significant hit. With short term obligations exceeding its liquid assets, the financial stability of Serve Robotics is something investors should monitor closely.
InvestingPro Data highlights a market capitalization of $68.4 million USD, indicating the company's relatively small size within the industry. Additionally, the company's gross profit margin over the last twelve months as of Q1 2024 stands at a concerning -53.99%, reflecting struggles in maintaining profitability. The stock has also been trading near its 52-week low, with a price performance over the last year showing a sharp decline of -92.56%.
These insights provide a sobering counterbalance to the optimism surrounding Serve Robotics' operational achievements and expansion plans. For those considering an investment in Serve Robotics or looking for more information, there are 17 additional InvestingPro Tips available, which can offer deeper analysis into the company's performance and outlook. Interested readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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