SpaceX beats Wall Street expectations in first earnings release

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Set us as preferred In its first quarterly earnings release since its $86-billion initial public offering in June, Elon Musk’s SpaceX grew its revenue, sharply cut its losses and beat Wall Street’s expectations.The Texas rocket, internet and AI company founded and run by the world’s richest man reported a second-quarter loss of $541 million, compared to a $1-billion loss for the same period a year ago.Revenue rose 92% to $7.81 billion.The loss amounted to 9 cents a share, less than the 24-cent forecast by analysts, while revenue topped the $6.81 billion analysts polled by Bloomberg had estimated.

Business SpaceX shares rose 19% in the first day of trading Friday after the rocket company’s historic IPO.Capital expenditures rose dramatically to $18.4 billion for the quarter, up from $2.8 billion a year ago, largely because of investments in its artificial intelligence unit.“We had an exceptional second quarter,” SpaceX President Gwynne Shotwell said during a call with analysts.“It really feels like we’re just getting started all over again.”SpaceX shares closed up $10.80, or 9.4%, to $125.33 on the Nasdaq in advance of the earnings report, which was released after markets closed Tuesday.Founded in 2002 in El Segundo, SpaceX moved its headquarters from Hawthorne to Texas in 2024.

However, it retains large operations in the South Bay city and blasts off regularly from Vandenberg Space Force Base in Santa Barbara County.The second-quarter earnings were driven by sharp growth in the company’s connectivity business, which includes its Starlink internet broadband service.Net income rose 79% to $1.66 billion, while revenue grew 66% to $4.29 billion.

Shotwell said the company had a net gain of 1.7 million subscribers in the quarter, with 9,600 Starlnk satellites now in orbit.It also signed a new contract with A...