The BrainChip Holdings Ltd (ASX: BRN) share price is currently shooting higher after spending the previous session in the red.

This comes after the artificial intelligence (AI) company posted its quarterly cash flow update on Wednesday.

Shares finished the session at 22.5 cents, around 2% lower on the day, as investors showed fairly negative reactions to the update.

Moving on to Thursday's session, and the BrainChip share price is up more than 9% at the time of writing, a complete turnaround from the day of its release.

Here's what the company posted and the reaction across both trading sessions.

BrainChip share price gyrates after quarterly update

The BrainChip share price drifted lower on the day of the company's quarterly cash flow update, but investors have turned the tide in today's session.

This is interesting because, in many instances, the market is fairly efficient at pricing in new information around earnings. More often than not, the day of.

But this isn't the case for BrainChip shares.

There were several positive takeouts from the quarter which may have investors upping their expectations on BrainChip.

It ended the quarter with a cash balance of US$25.6 million, up more than two times from US$10.9 million in the previous quarter.

BrainChip also booked around US$40,000 in quarterly cash inflow from customers.

This is against net cash outflows of US$3.4 million, a slight improvement from the previous quarter's US$3.9 million.

During the quarter, it also secured an injection of A$25 million through equity-raising efforts, including a fully underwritten A$20 million placement.

The company then signed agreements with Frontgrade Gaisler and Airbus Defence and Space, valued at €190,000, to provide its Akida 1.0 technology for space applications.

The contracts followed a European Space Agency call for ultra-low power BrainChip's neuromorphic solutions for space missions.

Meanwhile, BrainChip welcomed Steven Brightfield as Chief Marketing Officer and announced the impending retirement of co-founder Anil Mankar. This may or may not impact the BrainChip share price.

What's next?

Looking ahead, BrainChip plans to direct resources toward commercialising its Akida 2.0 technology and new TENNs products.

It also announced a "reconstituted its Scientific Advisory Board (SAB)", appointing several key members to get the ball rolling on the venture.

The SAB provides independent advice and expert consultation for the executive staff of BrainChipto guide the scientific and technical aspects of the Company's short-and long-term goals.

The SAB also reviews and evaluates the research and development programs of BrainChip with respect to quality and scope. The re-envisioned SAB provides new perspectives from key industry leaders in AI with increasing focus under the leadership of Chief Technology Officer (CTO) Dr. Tony Lewis.

BrainChip share price snapshot

In the last 12 months, the BrainChip share price has been on quite the ride. After being heavily sold over the year, it has staged a small recovery.

It is up 44% since then, after a 22% jump in value over the past month.