This article is based on an official press release from Horizon Aircraft and financial data released January 14, 2026.

Horizon Aircraft Reports $24 Million Cash Position, Confirms 2026 Prototype Timeline

Horizon Aircraft (NASDAQ: HOVR) has released its financial results for the second quarter of fiscal year 2026, ending November 30, 2025. The company reported a strengthened balance sheet with over $24 million in cash on hand, a liquidity position management states is sufficient to fund operations through the completion of its full-scale Cavorite X7 prototype in 2026.

According to the company’s official statement, the quarter was marked by significant operational growth and the securing of non-dilutive funding, positioning the aerospace manufacturer to advance its hybrid-electric Vertical Take-Off and Landing (eVTOL) technology.

Financial Highlights and Liquidity

In its Q2 fiscal 2026 report, Horizon Aircraft confirmed it has secured the necessary capital to execute its near-term engineering goals. The company highlighted a cash balance of $24 million as of November 30, 2025. This financial runway is supported by a combination of equity financing and government grants.

Recent financing activities include a capital raise of approximately C$10.8 million during the second quarter through the sale of 2.6 million shares. Additionally, analyst coverage indicates the closing of a financing tranche in December 2024 involving $1.5 million (approximately C$2.1 million) in common shares.

Beyond private capital, Horizon has successfully tapped into public funding. The company was awarded a C$10.5 million non-dilutive grant from the Initiative for Sustainable Aviation Technology (INSAT). This funding is specifically earmarked to support the development of all-weather flight capabilities for the Cavorite X7.

Brian Merker, CFO of Horizon Aircraft, commented on the company’s financial stability in the press release:

“With significantly improved working capital and incoming non-dilutive funding… we are well positioned to continue investing in our people, advancing our technology, and executing toward completion of our full-scale aircraft.”

Operational Progress: The Cavorite X7

Horizon Aircraft is focused on the development of the Cavorite X7, a seven-seat hybrid-electric eVTOL designed for regional air mobility, medical evacuation, and cargo transport. The aircraft distinguishes itself with a patented “fan-in-wing” system, which allows it to fly 98% of its mission configuration as a traditional fixed-wing plane. This design covers the vertical lift fans during forward flight to significantly reduce drag.

Prototype Timeline

The company has outlined a clear roadmap for the next 18 months. According to the Q2 update:

• 2026: Assembly of the first full-scale Cavorite X7 prototype is scheduled for completion.
• Early 2027: Initial flight testing is expected to commence.

To support this timeline, Horizon has doubled its engineering headcount year-over-year and plans to double the team size again by the end of 2026.

Brandon Robinson, CEO of Horizon Aircraft, emphasized the momentum behind the project:

“The progress achieved during the second quarter of fiscal 2026 provides strong momentum toward completing our full-scale aircraft and commencing initial testing within the next 12 to 18 months.”

AirPro News Analysis

The Hybrid Advantage in a Crowded Market

While many competitors in the Advanced Air Mobility (AAM) sector are pursuing pure electric architectures tailored for short-range urban air taxi services, Horizon Aircraft’s hybrid-electric approach targets a different segment. By utilizing a hybrid system that recharges batteries in-flight, the Cavorite X7 offers a projected range of 800 kilometers (500 miles) and speeds of up to 450 km/h (280 mph).

This technical choice allows Horizon to bypass the immediate need for extensive ground charging infrastructure, a major bottleneck for pure electric eVTOLs. Furthermore, the ability to operate in “austere environments”, areas without prepared runways, makes the aircraft particularly viable for military and medevac applications, sectors where reliability and range often outweigh the benefits of zero-emission propulsion.

Strategic Outlook

Horizon Aircraft is actively deepening relationships with supply chain partners to ensure the timely delivery of components for the full-scale prototype. The company is also exploring military applications for the Cavorite X7, leveraging its design suitability for rugged environments.

The company’s stock (NASDAQ: HOVR) has reflected the volatility typical of the emerging eVTOL sector, though the confirmation of a funded runway through 2026 provides a degree of certainty regarding the company’s ability to reach its next major technical milestone.

Frequently Asked Questions

What is the Cavorite X7?
The Cavorite X7 is a hybrid-electric Vertical Take-Off and Landing (eVTOL) aircraft being developed by Horizon Aircraft. It carries one pilot and six passengers and features a patented fan-in-wing design.

When will the Cavorite X7 fly?
According to the company’s latest schedule, the full-scale prototype will be assembled in 2026, with initial flight testing slated to begin in early 2027.

How much cash does Horizon Aircraft have?
As of November 30, 2025, the company reported $24 million in cash on hand.

What makes Horizon different from other eVTOL companies?
Horizon focuses on regional transport rather than urban air taxis. Its hybrid-electric powertrain allows for longer ranges and removes the dependency on ground charging stations.

Sources

• Horizon Aircraft Press Release